Want $1,000 in Dividend Income? Here's How Much You Have to Invest in McDonald's Stock.

There's nothing like a good dividend stock you can just tuck away in your portfolio and forget about. McDonald's (NYSE: MCD) is that kind of the stock. The company's iconic fast food restaurants are go-to spots for consumers all over the world. And for investors, the stock can be a go-to option for dividends, too.

McDonald's pays a quarterly dividend of $1.67 per share, which totals $6.68 over the course of a full year. And with the stock trading at around $257 as of this writing, that means you're collecting an above-average yield of 2.6% (the S&P 500 average yield is 1.3%).

To ensure you're getting $1,000 in dividend income from the stock, you would need to invest approximately $38,500 in McDonald's. The good news is that even if you can't afford to invest that much in the restaurant stock right now, your annual dividend payouts could still rise to $1,000 over time because McDonald's is a dividend growth stock. In fact, it has raised its payout for 47 consecutive years, including a 10% bump last October.

Beyond its dividend, McDonald's still has expansion on its mind with a goal to reach 50,000 restaurants by 2027, up from its current footprint of about 42,000 restaurants in over 100 countries. The business is still steadily growing with revenue, earnings, and comparable-store sales all up low- to mid-single digits last quarter.

For investors who want a solid blue chip stock they can rely on for long-term dividend growth, McDonald's is an excellent option.

David Jagielski has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy .