America's Best Dividend Stock Yields Over 6%

So far this year, Altria has offered another benefit, which is relatively unusual for high-yield stocks. The share price has risen 27% since the start of the year. The S&P 500 is 10% higher. Megacap tech companies are considered the market leaders this year. Amazon (NASDAQ: AMZN) is up only 5% in 2025. Apple (NASDAQ: AAPL) is down 5%.

In terms of decades-long high yields, the two most often mentioned in the same breath as Altria are Dow (NYSE: DOW) and Pfizer (NYSE: PFE). Pfizer’s stock is down 8% this year. Dow’s is down 37% this year, and recently cut its dividend.

In total Altria has paid out $32 billion in dividends over the fiscal years 2020-2024. It has also purchased $8 billion of its shares during the same period.

In the most recently reported quarter, Altria’s revenue was down 6% to $5.3 billion. However, its adjusted diluted EPS was up 6% to $1.23. It affirmed its guidance of a 2% to 5% increase in EPS for the full year. Its success in the most recent quarter came from its legacy business: Billy Gifford, Altria’s Chief Executive Officer, commented, “Our highly profitable traditional tobacco businesses performed well in a challenging environment in the first quarter.”

Since almost all of Altria’s revenue comes from cigarettes, there is a theory that many investors are hesitant to buy its stock for this reason. However, the dividend is a significant incentive to offset that.

There is another reason to invest in Altria. That is the potential danger to the global economy. People typically do not cut back on cigarette smoking in tough economic times. Altria’s dividend is unlikely to go away. Its balance sheet is too solid.

The stock market has become perilous, according to those who believe it has reached its peak. President Trump has threatened to impose high tariffs on imports from several major nations, which could drive up US inflation. His latest threat is a 30% tariff on Mexican imports. Mexico is the United States’ second-largest trading partner.

An increase in tariffs and the effects on inflation mean American consumers’ buying power will be hit. That, in turn, threatens GDP. Under those circumstances, Altria may be the best stock to own. That is, if people can ignore its tobacco business.