Top Wall Street analysts prefer these dividend stocks for stable returns

Volatile markets call for stability within portfolios, and investors are shopping for dividend stocks to provide a combination of upside potential and solid income.

While the U.S. and China’s recent agreement to slash tariffs for 90-days provided some relief to investors, the threat of steep duties under the Trump administration continues to be a concern.

Recommendations of top Wall Street analysts can help investors pick attractive dividend stocks that are supported by solid cash flows to make consistent payments.  

Here are three dividend-paying stocks, highlighted by Wall Street’s top pros, as tracked by TipRanks, a platform that ranks analysts based on their past performance.

This week’s first dividend pick is Chord Energy (CHRD), an independent exploration and production company with long-held assets primarily in the Williston Basin. The company recently reported solid results for the first quarter of 2025, which it attributed to better-than-modeled well performance, strong cost control, and improved downtime.

Chord Energy returned 100% of its adjusted free cash flow (FCF) to shareholders via share repurchases after declaring a base dividend of $1.30 per share. Based on the total dividend paid over the past 12 months, CHRD stock offers a dividend yield of 6.8%.

Calling CHRD a top pick, Siebert Williams Shank analyst Gabriele Sorbara reiterated a buy rating on the stock and raised the price target to $125 from $121. While no energy stock is immune to weaker commodity prices, Sorbara thinks that his top picks are best positioned on a relative valuation basis due to their attractive assets with low breakeven levels, strong free cash flow and the potential for superior capital returns.

In a research note following the results, Sorbara noted that the company reduced its 2025 capital expenditure outlook by $30 million, while maintaining its total production guidance, supported by improved operational efficiencies.

Nonetheless, CHRD is monitoring the macro situation and has the required operational and financial flexibility to further reduce activity if conditions remain unfavorable or weaken, emphasized the analyst. Further, Sorbara highlighted that Chord Energy reaffirmed its capital returns framework, targeting to return more than 75% of its free cash flow to shareholders through dividends and opportunistic share repurchases.

“We reaffirm our Buy rating on valuation, underpinned by its strong FCF yield providing the capacity for superior capital returns while maintaining low financial leverage (0.3x at the end of 1Q25),” said the analyst.

Sorbara ranks No. 143 among more than 9,500 analysts tracked by TipRanks. His ratings have been profitable 55% of the time, delivering an average return of 20.4%. See Chord Energy Hedge Fund Trading Activity on TipRanks.

We move to oil and gas giant Chevron (CVX), which recently reported first-quarter results that reflected the impact of lower oil prices on its earnings. Chevron’s outlook indicated a slowdown in the pace of its stock buybacks in Q2 2025 compared to the prior quarter amid tariff woes and the decision of OPEC+ to boost supply.

Meanwhile, Chevron returned $6.9 billion of cash to shareholders during the first quarter through share repurchases of $3.9 billion and dividends of $3.0 billion. At a quarterly dividend of $1.71 per share (annualized dividend of $6.84 per share), CVX stock offers a dividend yield of 4.8%.  

Following the Q1 results, Goldman Sachs analyst Neil Mehta trimmed his price target for Chevron stock to $174 from $176 and reaffirmed a buy rating. The analyst said that despite macro uncertainties and moderated stock buyback assumptions, he continues to see an attractive long-term value proposition in CVX stock, with about a 5% dividend yield.

“We additionally highlight expectations for strong free cash flow generation driven by major projects including Tengiz, US Gulf and the Permian,” said Mehta.

Regarding the Tengiz (Tengizchevroil or TCO) project, the analyst highlighted management’s commentary that it reached name-plate capacity ahead of schedule. The company reiterated expectations for robust cash flow generation from the TCO project, including cash distributions and fixed loan repayments. Mehta also noted that CVX remains constructive on the operating outlook in the Gulf of Mexico and expects to increase production in the region to 300,000 boe/d in 2026. About Permian, he stated that Chevron boosted production by about 12% in Q1, thanks to continued efficiencies.

Mehta ranks No. 535 among more than 9,500 analysts tracked by TipRanks. His ratings have been profitable 59% of the time, delivering an average return of 8.8%. See Chevron Ownership Structure on TipRanks.

Finally, let’s look at EOG Resources (EOG), a crude oil and natural gas exploration and production company with proved reserves in the U.S. and Trinidad. Earlier this month, EOG reported market-beating earnings for the first quarter of 2025.  

The company returned $1.3 billion to shareholders, including $538 million in dividends and $788 million via share repurchases. EOG declared a dividend of $0.975 per share (annualized dividend of $3.90 per share), payable on July 31, 2025. EOG stock offers a dividend yield of 3.4%.

In reaction to the Q1 results, RBC Capital analyst Scott Hanold reaffirmed a buy rating on EOG stock with a price target of $145. The analyst noted that the company announced macro uncertainty-led cuts to its activity plans, reducing the capital budget by 3% and organic oil production by 0.6%. Consequently, Hanold boosted his free cash flow (FCF) estimates by 6% to 7%.

The analyst highlighted that EOG is able to revise its planned activity by reducing activity in areas with ample scale, which would not slow or degrade its operational efficiencies. Hanold observed that in total, 550 wells (net) are now planned in the core U.S. onshore basins, which is 30 fewer compared to the original guidance.

Hanold pointed out that EOG again returned at least 100% of its free cash flow back to shareholders in Q1 2025. He expects this trend to continue, supported by the company’s balance sheet optimization strategy announced last year, current cash balance of about $7 billion and EOG’s stock price. “We expect management to flex buybacks to above 100% and think there is a path to over $1 billion resulting total returns at ~150% of 2Q25 FCF,” said Hanold.

Overall, the analyst views EOG as best positioned to handle the ongoing oil price volatility, backed by its best-in-class balance sheet, growing natural gas volumes and low-cost structure.

Hanold ranks No. 11 among more than 9,500 analysts tracked by TipRanks. His ratings have been successful 68% of the time, delivering an average return of 30%. See EOG Resources Insider Trading Activity on TipRanks.