12 Best Oil and Gas Dividend Stocks to Buy Now

7. Permian Resources Corporation (NYSE:PR) 

Dividend Yield as of July 15: 4.85%

The strategic advantage of Permian Resources Corporation (NYSE:PR) lies in its low breakeven cost of $40 per barrel, which allows the company to remain profitable and pay dividends even during periods of commodity price volatility. The company announced a quarterly dividend of $0.15 per share in May and boasts an annual dividend yield of 4.85% as of the writing of this piece.

In Q1 2025, Permian Resources Corporation (NYSE:PR) reported the highest free cash flow per share in the company’s history at $0.54 per share, driven by lower per-unit cost and solid production performance. These numbers are expected to receive a boost as the oil and gas producer recently completed the acquisition of Delaware Basin leasehold and royalty interests from APA Corporation, adding approximately 12,000 Boe a day, 13,320 net acres, and 8,700 net royalty acres to its portfolio.

Moreover, these acquired locations have a breakeven price of as low as $30 per barrel, allowing Permian resources to generate in excess of 5% free cash flow per share accretion in the near-term, midterm, and long-term.

Artisan Partners stated the following regarding Permian Resources Corporation (NYSE:PR) in its Q1 2025 investor letter:

“We made one new purchase this quarter, adding Permian Resources Corporation (NYSE:PR), an independent oil and gas company. PR is focused solely on the Delaware Basin of West Texas and southwestern New Mexico—the most prolific oil-producing region in the US. The founders and co CEOs, who also have large ownership interests in the business, have sought to build a business that can produce substantial free cash flow, return capital to shareholders and generate attractive equity returns across varied commodities price environments. To achieve these goals, PR has pursued best-in-class operations and responsible capital stewardship by thoughtfully acquiring assets it believes are undervalued and divesting acreage it believes would be better in someone else’s hands, while meaningfully returning capital to shareholders in the form of dividends. We always seek to align ourselves with shareholder-oriented management teams, but this is even more critical when investing in mid-sized energy companies given their dependence on the underlying commodity prices and minimal diversification by business and geography as well as the sector’s general predilection for reinvesting capital for growth rather than returns. Shares were rangebound for much of 2024 as macro fears have weighed on oil prices and energy sector stocks, giving us an opportunity to purchase a strong operator at a favorable price.”

Permian Resources Corporation (NYSE:PR) is an independent oil and natural gas company with operations focused in the Permian Basin, with assets concentrated in the core of the Delaware Basin.