GIS is undervalued; fair value $40 vs price <$34 implies >17% upside plus dividends in 12-18 months.

Last but not least, General Mills, which has a fair value of $40, and you can buy it for a little less than $34 per share, meaning a profit of over 17% over the next 12 to 18 months, plus dividends.

General Mills also faces similar headwinds to the other companies mentioned, as declining personal disposable income is driving more consumers toward store-brand products .

Instead of buying breakfast cereals sold by General Mills, which are well-known brands, consumers opt for store-brand cereals, which are often similar but not exactly identical.

Its taste is not of the same quality, but it is sold at a much lower price . So, a box of cereal from a well-known brand might sell for $4, while you might find it for $2 if you choose the store's brand.

This makes it an increasingly attractive option for customers whose budgets are being squeezed by rising living costs, reducing their disposable income. But these are headwinds in the short term.

The economy goes through cycles of ups and downs, and currently the economy is going through a recession cycle that is affecting low- and middle-income consumers.

High-income consumers are doing very well because asset prices are rising, and they are seeing an increase in their overall wealth due to rising stock, home, and asset prices. Artificial intelligence contributes to accelerating the pace of asset valuations for that upper class.

On the other hand, low-income earners—or rather, I should say the lower class, low-income earners—have less disposable income because their living costs are increasing at a faster rate than their wages are growing.

Therefore, they are making difficult choices that affect these four companies I mentioned, because they are consumer-oriented companies and are facing headwinds as consumers move towards cheaper options .

Consumers are choosing to reduce their consumption of these products, and therefore these headwinds are affecting all four companies.

Of course, if you are an investor looking for dividends, you are looking for a good return, and these four companies offer attractive returns, with General Mills leading the way at 7.2%, followed by PepsiCo at 4.5% , Procter & Gamble at 3%, and McDonald's at more than 3 %.

Furthermore, I think it is reasonable to assume that these companies will continue to increase their dividend payouts for many years to come. Thus, not only will you receive a certain amount of dividend income this year, but it is likely to be even greater next year, and even greater the year after that, and so on for many years to come.

Therefore, I believe these are four undervalued dividend stocks that investors can buy now and hold perhaps forever or for decades without having to sell them, and simply benefit from the dividend income .