In this article, we will take a look at the 10 Best Dow Stocks to Invest In Now.
The Dow Jones Industrial Average closed above 50,000 for the first time in its nearly 130-year history on February 6, 2026. It was the third time this decade the index cleared a 10,000-point milestone. Each step has come a bit quicker. This one took less than two years after it first moved past 40,000.
The ETF Stream reported that the Dow has managed to stay relevant by evolving with the broader market. Since May 1896, there have been 136 changes to its constituents. More recent updates have helped it better reflect shifts across sectors. Those changes have also affected how long companies tend to stay in the index. When the Dow expanded from 12 stocks to 20 in 1916, and then to 30 in 1928, the average tenure dropped in the early years.
Later on, a long stretch with fewer changes pushed the average tenure up to about 48 years by the mid-1980s. That has come down again over time. By the end of January 2026, the average tenure was around 25 years. The Dow works differently from many other indices. Its 30 components are weighted by share price, not market value. The S&P 500, for example, uses market capitalization.
A recent shift away from tech stocks has supported more economically sensitive names, which tend to carry more weight in a price-weighted index like the Dow. On April 20, the Dow Jones Industrial Average slipped 4.87 points, or 0.01%, to close at 49,442.56. The move came after tensions between the US and Iran escalated over the weekend.
Given this, we will take a look at some of the best Dow stocks to invest in.
Francisco Amaral Leitao / shutterstock.com
Our Methodology:
For this article, we began with a pool of 30 stocks from the Dow Jones Industrial Average (DJIA) and identified stocks with positive analyst sentiment. From that group, we limited our final selection to companies that have recently reported noteworthy developments likely to impact investor sentiment.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).
10. The Travelers Companies, Inc. (NYSE:TRV)
Number of Hedge Fund Holders: 58
The Travelers Companies, Inc. (NYSE:TRV) is one of the best Dow stocks to invest in.
On April 20, BMO Capital raised its price recommendation on The Travelers Companies, Inc. (NYSE:TRV) to $314 from $297. It reiterated an Outperform rating on the shares. The firm expects the company’s EPS revision trendline to move above consensus over the next 1–2 years. It pointed to more conservative reserve loss-ratio profit margin assumptions as a key driver, the analyst noted in a research report. BMO also sees potential upside to EPS from net investment income. It highlighted the spread between new money rates and existing bond yields. Buybacks could add support as overall growth begins to slow.
On April 20, Roth Capital raised its price goal on TRV to $345 from $320. It kept a Buy rating on the shares. The firm cited Q1 results that came in ahead of expectations. This was largely due to more favorable loss reserve development than it had modeled, according to the analyst. It also pointed out that underwriting performance remained strong. The company reported a combined ratio of 88.6% and an underlying combined ratio of 85.3%, which the firm described as solid.
The Travelers Companies, Inc. (NYSE:TRV) provides property and casualty insurance across auto, home, and business markets. Its operations are divided into Business Insurance, Bond & Specialty Insurance, and Personal Insurance segments.
9. 3M Company (NYSE:MMM)
Number of Hedge Fund Holders: 62
3M Company (NYSE:MMM) is among the best Dow stocks to invest in now.
On April 13, Citigroup lowered its price recommendation on 3M Company (NYSE:MMM) to $166 from $175. It kept a Neutral rating on the shares. The firm made the change as part of its Q1 preview across the industrials group. Citi said “gradually improving” industrial trends are still in place and should support solid Q1 earnings for most companies in the sector.
On April 1, Wells Fargo analyst Joseph O’Dea lowered the firm’s price goal on MMM to $160 from $175. It reiterated an Overweight rating. The firm said the Middle East conflict did not lead to a noticeable rise in caution during its recent calls. At the same time, it noted that tariffs had stalled a PMI recovery last year. Wells now sees a similar risk, where a new layer of uncertainty could weigh on sentiment until there is a clearer direction.
Earlier in March, 3M announced a partnership with Bain Capital to acquire Madison Fire & Rescue for $1.95 billion. The deal sets up a joint venture. 3M will hold a 50.1% stake and contribute its Scott Safety unit, while receiving $700M in cash. The combined business is expected to broaden 3M’s safety portfolio and strengthen its offerings for firefighters and industrial workers. The transaction is expected to close in the second half of 2026.
3M Company (NYSE:MMM) operates as a diversified technology company, manufacturing and marketing a wide range of products and services. Its segments include Safety and Industrial, Transportation and Electronics, and Consumer.