1 Magnificent S&P 500 Dividend Stock Down 14% to Buy and Hold Forever

The S&P 500 has risen about 16% this year and is hovering near its all-time high. It looks historically expensive at 31 times earnings, and plenty of near-term headwinds -- including sticky inflation, elevated Treasury yields, geopolitical conflicts, and the Trump administration's unpredictable policy shifts -- could compress those valuations.However, investors should remember that most of the S&P 500's rally was driven by high-growth tech giants like Nvidia, Apple, Microsoft, Amazon, Alphabet, Meta, and Tesla. Those "Magnificent Seven" companies still account for more than a third of the index's entire market cap and often overshadow its smaller and less popular stocks.But if we look beyond the Magnificent Seven stocks, we'll see plenty of undervalued stocks in the S&P 500 that are trading well below their all-time highs. Some of them also pay high dividends -- and they could attract more income investors as interest rates decline. One of those stocks is Altria (NYSE: MO), the largest tobacco company in America. It's currently trading 14% below its all-time high, but I believe it's still a great dividend stock to buy and hold forever.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool