The momentous collapse in crude oil and energy stocks this year has some on Wall Street questioning whether big dividend cuts are in store for big oil stocks. So where should investors looking for income go?
According to data pulled by FactSet, among the 30 stocks that populate the Dow Jones industrial average, only four have a yield above 3 percent and are still positive on the year. The highest-yielding stock in the index is Pfizer, which sports a 3.5 percent dividend and is up 3 percent year to date.
Fast-food giant McDonald's as well as industrial giant General Electric are among the best-performing stocks in the Dow, with respective 24 and 21 percent gains year to date. Both stocks have a yield of roughly 3 percent.
Despite the Golden Arches' well publicized troubles, "I'm very much enjoying the yield of dreams with McDonald's," said CNBC "Fast Money" trader Tim Seymour this week. "A number of analysts on the Street are suggesting that with this company you are not only getting a yield benefit but you are essentially getting an implied [earnings per share] boost," he said.
"I think it's a great place to sit for yield and relative value in the fast-food dining space," Seymour added.