Top Dividend Stocks for Stability in a Volatile Market
The recent volatility in the market has made dividend-paying stocks more appealing to investors who are seeking stability. Before adding any dividend stock to their portfolio, investors should carefully evaluate the company’s fundamentals and its ability to sustain dividend payments over the long term. Here are five attractive dividend stocks recommended by top experts on TipRanks, a platform that ranks analysts based on their past performance.
Civitas Resources (CIVI) is an oil and gas producer focused on assets in the Denver-Julesburg and Permian Basins. The company recently paid a dividend of $1.74 per share, including a quarterly base dividend of 50 cents per share and a variable dividend of $1.24. Civitas has also announced an agreement to acquire oil-producing assets in the Midland Basin of West Texas. This acquisition is expected to significantly boost CIVI’s free cash flow per share in 2024.
Bristol Myers Squibb
Bristol Myers Squibb (BMY) is a biopharmaceutical company that recently announced a quarterly dividend of 57 cents per share, marking a year-over-year increase of 5.6%. The company has also made an agreement to acquire biotechnology company Mirati Therapeutics, which will strengthen its oncology portfolio. This acquisition is particularly important as BMY gains access to Krazati, a key lung cancer medicine that was approved in December 2022.
Chesapeake Energy (CHK) is an oil and gas exploration and production company that has returned about $515 million to shareholders year-to-date through dividends and share repurchases. The company recently increased its quarterly base dividend per share by 4.5%. Chesapeake Energy focuses on maintaining operational flexibility to adjust its capital expenditure based on natural gas prices.
EOG Resources (EOG) is another energy company that offers an attractive dividend yield. The company is committed to returning a minimum of 60% of annual free cash flow to shareholders through dividends, special dividends, and share repurchases. EOG has a robust free cash flow that supports its attractive shareholder returns.
Cisco Systems (CSCO) is a computer networking giant that has consistently increased its dividend for the past 12 years. The company offers a dividend yield of 2.9%. Cisco is expected to benefit from higher spending on information technology, including the need for increased speed, network security, and artificial intelligence implementation. The recent acquisition of cybersecurity firm Splunk is also expected to drive growth for the company.
Overall, these dividend stocks provide investors with stability and attractive yields in a volatile market. However, it is important for investors to conduct thorough research and analysis before making any investment decisions.