In this article, we are going to discuss the 12 high yield Fortune 500 stocks to buy now.
The 2026 Fortune 500 rankings dropped earlier this month, and it showed that collectively, these companies pulled in $21 trillion in revenue, a 5% increase from last year, while profits climbed a steeper 12% to hit $2.1 trillion. Their combined market value now stands at $55 trillion, nearly a fifth more than it was a year ago. To put that in perspective, these 500 companies account for roughly two-thirds of everything the US economy produces, and they employ 30.5 million people worldwide.
The biggest shake-up at the top: Amazon has replaced Walmart from the No. 1 spot after 13 straight years. It is worth remembering that Amazon first cracked this list back in 2002, sitting at No. 492. Walmart, meanwhile, settles into second place, a ranking it has not occupied since 2012.
Power, however, is increasingly concentrated at the very top. Alphabet, Nvidia, Apple, and Meta each crossed $100 billion in profits individually, together accounting for $466 billion, or about 22 cents of every dollar the entire Fortune 500 earned.
On the leadership front, a record 55 Fortune 500 companies are now led by women. That is 11% of the list, and the fourth consecutive year that the share has held at or above that mark.
With that said, here are the Best Fortune 500 Dividends Stocks to Buy in 2026.
Photo by Viacheslav Bublyk on Unsplash
Our Methodology
To collect data for this article, we scanned the top companies among the Fortune Global Rankings and shortlisted dividend stocks with an annual yield of at least 2.50%, as of June 11. We then limited our final selection to companies that have recently reported noteworthy developments likely to impact investor sentiment. The following are the Best Fortune 500 Dividend Stocks to Buy Now.
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. Insider Monkey’s quarterly newsletter strategy selects 14 small-cap and large-cap stocks every quarter and has returned 599.2% since May 2014, beating its benchmark by 372 percentage points (see more details here).
12. International Business Machines Corporation (NYSE:IBM)
Dividend Yield as of June 11: 2.50%
International Business Machines Corporation (NYSE:IBM) is a provider of global hybrid cloud and AI and consulting expertise.
On June 8, BofA analyst Wamsi Mohan boosted the firm’s price target on International Business Machines Corporation (NYSE:IBM) from $300 to $315, while keeping a ‘Buy’ rating on the shares. The revised objective represents an upside of over 15% from the current share price.
BofA believes that the demand for AI infrastructure continues to be broader, deeper, and more durable. The analyst firm raised its price targets on several tech stocks following the bullish sentiment surrounding the strong long-term demand trends expressed by industry experts at the BofA 2026 Global Technology Conference.
International Business Machines Corporation (NYSE:IBM) continues to bolster its position in cutting-edge technologies and disclosed last month that it would invest $10 billion into quantum computing over the next five years. The move follows a letter of intent between the company and the US federal government to build a quantum chip foundry in the country. IBM also revealed that it would put $5 billion towards an AI-linked open-source software project.
11. CVS Health Corporation (NYSE:CVS)
Dividend Yield as of June 11: 2.65%
America’s leading health solutions company, CVS Health Corporation (NYSE:CVS), provides advanced health care from pharmacy services and health plans to health and wellness.
On June 8, Mizuho upped its price target on CVS Health Corporation (NYSE:CVS) from $110 to $115, and maintained its ‘Outperform’ rating on the shares. The revised target indicates an upside of over 14% from the current price level.
According to Mizuho, the managed care industry is going into a “more stable and predictable” policy backdrop. The analyst firm believes that the severity and frequency of policy-related surprises should ease down from the unusually high levels seen over the past three years. This should allow investors to focus on the company fundamentals, pricing recovery, and the underlying earnings potential of the overall sector.
As a result, Mizuho boosted its price targets across the managed care sector to reflect the more stable regulatory and legislative environment.
CVS Health Corporation (NYSE:CVS) has grown its dividends by 56.5% over the last decade and boasts an impressive annual yield of 2.65%. This makes it especially attractive for institutional investors and puts it among the 12 Best Dividend Stocks to Invest In According to Hedge Funds.
10. The Toronto-Dominion Bank (NYSE:TD)
Dividend Yield as of June 11: 2.80%
The Toronto-Dominion Bank (NYSE:TD) and its subsidiaries are collectively known as TD Bank Group (TD). TD is the sixth largest bank in North America by assets and serves around 28 million customers in a number of locations in key financial centres around the globe.
On June 1, RBC Capital upped its price target on The Toronto-Dominion Bank (NYSE:TD) from C$138 to C$156, while maintaining an ‘Outperform’ rating on the shares.
Similarly, on the same day, the analysts over at Scotiabank also raised the firm’s price target on The Toronto-Dominion Bank (NYSE:TD) from C$150 to C$165, while keeping an ‘Outperform’ rating on the shares. The target boost reflects an upside of over 3% from the current price level.
The bullish sentiment comes after TD exceeded expectations in its Q2 report on May 28, helped by the robust performance at its Canadian personal and commercial banking, wealth, and wholesale banking units. The company delivered record Q2 earnings in Canadian Personal and Commercial Banking, all-time high earnings in Wealth Management and Insurance and Wholesale Banking, and also achieved accelerated momentum in US Banking.
The Toronto-Dominion Bank (NYSE:TD) also raised its quarterly dividend by 3.7% to C$1.12 per share, payable on July 31 to shareholders as of the July 10 record. The stock currently boasts an impressive annual dividend yield of 2.80%.
9. Amgen Inc. (NASDAQ:AMGN)
Dividend Yield as of June 11: 2.85%
Amgen Inc. (NASDAQ:AMGN) discovers, develops, manufactures, and delivers innovative medicines to fight some of the world’s toughest diseases.
On June 10, Morgan Stanley analyst Terence Flynn raised the firm’s price target on Amgen Inc. (NASDAQ:AMGN) from $322 to $340, while keeping an ‘Equal Weight’ rating on the shares. The boosted price goal still indicates a downside of over 4% from the current levels.
The US Food and Drug Administration (FDA) approved Amgen’s Uplizna as the first treatment for adults living with Immunoglobulin G4-related disease (IgG4-RD) last year. The drug was later also approved by the European Commission as an add-on treatment to standard therapy for adults living with generalized myasthenia gravis (gMG) in February 2026.
Morgan Stanley noted that the launch of Uplizna for generalized myasthenia gravis (gMG) is “off to a strong start”. The firm believes that the gMG market has the potential to double to over $10 billion over the next five or so years, fueled by the introduction of new therapies and the rising adoption of biologics.
8. NIKE, Inc. (NYSE:NKE)
Dividend Yield as of June 11: 3.57%
NIKE, Inc. (NYSE:NKE) is engaged in the designing, marketing, and distribution of athletic footwear, apparel, equipment, and accessories and services for sports and fitness activities.
On June 10, RBC Capital analyst Piral Dadhania downgraded NIKE, Inc. (NYSE:NKE) from ‘Outperform’ to ‘Sector Perform’, while also cutting the firm’s price target on the stock from $70 to $50. The lowered target still indicates an upside of almost 14% from the current levels.
According to RBC, Nike’s turnaround under the leadership of CEO Elliott Hill is making progress, but it is “slower and narrower” than expected. The firm believes that while the upcoming FIFA World Cup and Nike’s “ongoing clean up activities” provide some support, the company lacks enough growth engines to deliver a sustained improvement in sales trends throughout 2026. As a result, the analyst firm sees a limited upside for the stock in the near term.
After reducing its earnings estimates below consensus, RBC believes that NIKE, Inc. (NYSE:NKE) valuation appears stretched compared to the growth prospects of its peers.
7. Medtronic plc (NYSE:MDT)
Dividend Yield as of June 11: 3.59%
Next on our list of the Best Fortune 500 Dividend Stocks is Medtronic plc (NYSE:MDT). The company develops, manufactures, and sells device-based medical therapies to healthcare systems, physicians, clinicians, and patients in the United States, Ireland, and internationally.
On June 5, Bernstein analyst Lee Hambright lowered the firm’s price target on Medtronic plc (NYSE:MDT) from $112 to $97, but maintained an ‘Outperform’ rating on the shares. The trimmed target, which still represents an upside of over 21% from the current levels, comes following the company’s solid Q4 2026 report on June 3.
Medtronic plc (NYSE:MDT) exceeded Wall Street expectations in both profits and revenue in the fourth quarter, buoyed by the steady demand for its heart devices used in complex cardiac procedures. The company’s Cardiac Ablation Solutions revenue surged by 78% globally, including 124% growth in the United States, which increased its market share in the country by 8 points.
Medtronic plc (NYSE:MDT) is targeting organic revenue growth of 6.75% to 7.25% in FY 2027, including approximately 11.5% to 12% organic growth in the first quarter. This compares to a YoY growth of 5.8% in FY26. Moreover, the company is expecting an adjusted annual profit in the range of $5.90 to $6 per share for the coming year, below the $6.06 per share analysts were projecting.
Medtronic plc (NYSE:MDT) also declared a quarterly dividend of $0.72 per share, up 1.4% from its prior dividend of $0.71. The dividend is payable on June 17 to shareholders as of the June 26 record.
After a softer EPS growth over the last four years, Bernstein wants to see Medtronic overcome EPS headwinds and deliver better than its guidance.
6. Rio Tinto Group (NYSE:RIO)
Dividend Yield as of June 11: 3.88%
Rio Tinto Group (NYSE:RIO) engages in exploring, mining, and processing mineral resources worldwide. The company operates through its Iron Ore, Aluminium, Lithium, and Copper segments.
On June 8, Citi lifted its price target on Rio Tinto Group (NYSE:RIO) from £7,600 to £8,100, but maintained a ‘Neutral’ rating on the shares. The revised target indicates an upside of more than 6% from the current share price.
On the other hand, RBC Capital turned bearish on Rio Tinto Group (NYSE:RIO) on June 3 when its analyst Ben Davis downgraded the stock from ‘Sector Perform’ to ‘Outperform’, while also cutting the stock’s price target from £6,400 to £6,300.
RIO had posted YTD gains of over 37% until June 2, and the downgrade was motivated by valuation concerns following the stock’s rally. According to RBC Capital, Rio Tinto’s share price now reflects the “supportive” aluminum market conditions, “resilient” margins in the Pilbara iron ore operations in Australia, and effective execution across the company’s major growth projects.
While the analyst firm remains bullish on the outlook for copper and aluminum, it believes that much of the expected improvement in Rio’s EBITDA and free cash flow is already reflected in its stock price, leaving more room for downside surprises at current valuation levels.
While we acknowledge the potential of RIO as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than RIO and that has 100x upside potential, check out our report about the cheapest AI stock.
Click to continue reading and see the 5 High Yield Fortune 500 Stocks to Buy Now.
Disclosure: None. Follow Insider Monkey on Google News.
