13 Best Stocks to Buy for Retirement

In this article, we will take a look at the 13 Best Stocks to Buy for Retirement.

Although many people aim to save $1 million before they retire, the majority of Americans find it difficult to reach that savings goal. Vanguard reports that, in plans run by the asset management company, the average retirement account balance for individuals between the ages of 55 and 64 at the end of 2024 came in at only $271,000.

In that regard, it’s no surprise that Americans remain concerned regarding retirement since the above-mentioned number isn’t anywhere close to the $1 million mark. To put this into perspective, a June report from the nonprofit Transamerica Center for Retirement Studies revealed that Americans are more afraid of outliving their money than they are of any other possible retirement setback, including deteriorating health.

The last thing an aspiring retiree needs to hear is future uncertainty. That said, the retirement landscape, much like the rest of the financial market, is ever-evolving. Recently, President Donald Trump issued an executive order opening the $9 trillion US retirement market to private equity, cryptocurrencies, and other nontraditional investments. The directive instructs regulatory authorities in Washington to review and clarify current restrictions to permit the investments to be included in professionally managed funds used by around 90 million US investors for 401(k) retirement plans.

The move will likely allow crypto investments to US retirement savings accounts and support the expansion of the private capital sector, which has been looking for new sources of funding. However, critics argue that while an individual’s investment basket will be diversified beyond conventional stocks and bonds as a result, they will also be exposed to additional risks like increased leverage and volatility, higher fees, and decreased liquidity.

Image by Mike Flynn from Pixabay

Our Methodology

We employed a screener to select dividend stocks with a yield of 5% or higher for this list. These stocks are suitable for a retirement stock portfolio, as they are diversified across multiple industries and have demonstrated robust and consistent payout policies. The stocks are ranked according to hedge funds having stakes in them as per Insider Monkey’s Q2 2025.

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 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).

13. MPLX LP (NYSE:MPLX)

Dividend Yield: 7.54%

Number of Hedge Fund Holders: 13

MPLX LP (NYSE:MPLX) ranks among the best stocks to buy for retirement. Stifel raised its price target for MPLX LP (NYSE:MPLX) to $60 from $57 on August 14, retaining a Buy rating on the company. The price target hike follows MPLX’s second-quarter 2025 earnings, which Stifel reported were below forecasts.

While pointing to MPLX’s recent acquisition of Northwind as a positive catalyst, Stifel warned that it might take 12 to 18 months for the full advantages to become apparent when growth projects begin.

Additionally, the firm cited management’s remarks that the partnership’s distribution growth rate should be maintained at 12.5% “for the foreseeable future, while living within cash flows” as a positive indication.

Founded in 2012 by Marathon Petroleum Corporation, MPLX LP (NYSE:MPLX) owns and operates midstream energy infrastructure alongside logistics assets and offers fuels distribution services.