In this article, we will take a look at some of the best performing stocks in 2025.
Investors have been flocking to high-dividend stocks, attracted by the promise of generous payouts from a sector that often lags, especially with anticipated interest-rate cuts on the horizon later this year. Craig Basinger, chief strategist at Purpose, made the following comment about dividend investing:
“The dividend factor didn’t perform all that well for the previous few years. That softer performance has led to better yields being available.”
The hunt for dividends has become trickier, as fewer US companies are raising their payouts. In the second quarter, S&P firms announced just $9.8 billion in dividend increases, a sharp drop from $19.5 billion in the first quarter.
Independent strategist Jim Paulsen noted that the three-year annualized dividend growth rate is now similar to levels seen back in 2000, when many tech companies slowed dividend hikes to focus on future investments. He added that while the economy has held up well so far, businesses may be bracing for tougher conditions ahead and choosing to conserve cash.
Even so, Purpose Investments’ Basinger suggested that income-seeking investors won’t be discouraged. With relatively inexpensive stocks offering generous yields, he remarked that “the dividend winter appears to be over.”
Given this, we will take a look at some of the best performing stocks that pay dividends.
Our Methodology
For this list, we scanned the list of year-to-date highest-returning stocks and selected dividend stocks with the highest stock price returns in 2025, as of September 15. The stocks are ranked according to their YTD returns.
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).
15. Archer-Daniels-Midland Company (NYSE:ADM)
YTD Performance as of September 15: 21.4%
Archer-Daniels-Midland Company (NYSE:ADM), one of the world’s largest agribusinesses, has been operating since 1902 and provides agricultural products and services to over 180 countries. The stock has surged by over 21% since the start of 2025.
The company grows a wide range of crops such as soybeans, corn, and wheat, while also playing a role in innovation. ADM has helped develop products like textured vegetable protein, high-fructose corn syrup, ethanol, and Omega-3 fatty acids.
Archer-Daniels-Midland Company (NYSE:ADM) is a solid dividend company. On August 6, it declared a quarterly dividend of $0.51 per share, which fell in line with its previous dividend. Overall, the company has raised its payouts for 52 years in a row and has paid regular dividends to shareholders for 90 consecutive years. The stock has a dividend yield of 3.34%, as of September 15.
14. Nucor Corporation (NYSE:NUE)
YTD Performance as of September 15: 23.5%
Nucor Corporation (NYSE:NUE) is a North Carolina-based company that produces steel and related products. The company produces about a quarter of all raw steel made in the US. Its wide product lineup includes bars, beams, sheets, plates, grating, fasteners, joists, overhead doors, and full metal building systems. The company also serves a highly diversified customer base of more than 10,000 clients, with no single customer contributing more than 5% of its revenue. The stock is up by over 23.5% since the start of 2025.
A major advantage for Nucor Corporation (NYSE:NUE) is its use of electric arc furnaces, which are smaller and more efficient than traditional blast furnaces. These furnaces melt scrap metal rather than relying on coking coal and iron ore, which reduces both energy use and carbon emissions. Adding to this edge, the company owns The David J. Joseph Company, one of the largest scrap brokers and processors in the US, ensuring it has a reliable supply of low-cost recycled metal.
In addition to Nucor Corporation (NYSE:NUE)’s solid portfolio, the company is also popular among income investors because of its consistent dividend policy. NUE is a Dividend King with 52 consecutive years of dividend growth under its belt. The company pays a quarterly dividend of $0.55 per share and has a dividend yield of 1.56%, as recorded on September 15.
13. Altria Group, Inc. (NYSE:MO)
YTD Performance as of September 15: 24.2%
Altria Group, Inc. (NYSE:MO) is among the world’s biggest tobacco companies, owning popular brands such as Marlboro, Black & Mild, Parliament, Copenhagen, and Skoal. While some investors may hesitate to back a tobacco business, those who do are usually drawn by its exceptionally high and steadily growing dividend.
Altria Group, Inc. (NYSE:MO) owns the US rights to the iconic Marlboro cigarette brand and has long followed a steady strategy to maximize cash flow from the declining cigarette market. Despite falling sales volumes and reduced consumer demand, the company offsets these declines by regularly increasing cigarette prices.
On August 21, Altria Group, Inc. (NYSE:MO) declared a 3.9% hike in its quarterly dividend. This was the company’s 60th dividend increase in the past 56 years, which makes it one of the best performing stocks. It currently offers a quarterly dividend of $1.06 per share and has a dividend yield of 6.49%, as of September 15.
Hedge Fund Resource Center