2 High-Yield Stocks to Buy in October Without Any Hesitation

I prefer to buy historically well-run businesses when they have historically high yields. I acquired medical device giant Medtronic (NYSE: MDT) a few years ago, leaving me a little early to the business upturn that is happening right now. I've been buying flavor specialist McCormick (NYSE: MKC), recently doubling my stake as the company laid out some of the benefits it expects from its planned acquisition of Unilever's (NYSE: UL) food business. I think both are solid long-term dividend buys as October gets underway.

I was early with Medtronic

My investment approach is to first focus on companies with long histories of dividend increases. Medtronic just hit 49 years, one year shy of Dividend King status. I believe a strong dividend history is a quick way to find well-run businesses. Then I look for companies with historically high yields, which I think indicates their stocks are on sale. Medtronic's yield is toward the high end of its historical range.

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Medtronic's story is actually pretty simple. It got big and bloated, requiring a business overhaul. It has pretty much completed that process (I bought in while it was still in progress). Wall Street isn't giving the company credit for its success, and I think that's an opportunity for long-term dividend investors. Notably, the company's revenues grew the fasted in a decade in fiscal 2026, with revenue growth of nearly 14% in the first quarter of fiscal 2027.

It looks to me like this reliable dividend stock has turned the corner, making its well-above-market 3.3% yield a timely and opportunistic buy in October.

McCormick is about to be a much bigger business

I just doubled my position in McCormick, a consumer staples company that sells spices and flavorings to consumers and other businesses. It has increased its dividend annually for 39 years, and its yield is over 4% and near its highest level in the company's recent history.

There are two market concerns here. First, food companies are facing headwinds today as consumer buying habits shift and high inflation leads to belt-tightening. That said, flavors are a pretty resilient category, so I expect McCormick to be just fine over the long term. Notably, its second-quarter 2026 organic sales growth was solid at 1.9%, up from 1.7% in the first quarter. This isn't a business that is falling apart.

The second concern stems from McCormick's plan to acquire Unilever's food business, which would roughly double its sales. This is a very big deal, but McCormick recently fleshed out some of the positives that increased scale will provide. There are very clear opportunities to cut costs, and there will be material cross-selling opportunities (for example, McCormick's emerging-market exposure will increase from 25% to over 40% of sales).

To be fair, I'm probably early again, since the acquisition hasn't even closed yet. However, even if it falls through, McCormick remains a very well-run consumer-staples company with a historically attractive yield and strong dividend history. I think buying while investors are downbeat on food stocks, and on McCormick specifically, will work out well over the long term for dividend investors.

Either one would be a strong choice

I'm all in on Medtronic and McCormick. If you are looking for reliable high-yield dividend stocks, I think you should take a close look at them both as October gets underway. Medtronic, which appears to have turned the corner on its business overhaul, is probably the less risky choice. But if you can stomach some acquisition uncertainty, McCormick offers a more attractive yield.

Reuben Gregg Brewer has positions in McCormick, Medtronic, and Unilever. The Motley Fool has positions in and recommends Medtronic. The Motley Fool recommends McCormick and Unilever. The Motley Fool has a disclosure policy.