5 Best Energy Dividend Stocks to Buy Now

4. Chevron Corporation (NYSE:CVX)

Dividend Yield as of October 23: 3.28%

An American multinational energy company, Chevron Corporation (NYSE:CVX) is up 45.2% year-to-date and delivered a 52.1% return to shareholders in the last 12 months, as of the market close of October 21. The company is one of the best dividend stocks on our list as it has been raising its dividends consistently for the past 35 years. Currently, it pays $1.42 per share in dividends every quarter and has a dividend yield of 3.28%, recorded on October 23.

In September, Piper Sandler raised its price target on Chevron Corporation (NYSE:CVX) to $190 and kept an Overweight rating on the shares, highlighting the company’s strategic priorities. The firm presented a positive stance on integrated oil companies.

In the second quarter of 2022, Chevron Corporation (NYSE:CVX) posted strong cash generation with $13.7 billion in operating cash flow and $10.6 billion in free cash flow. The company’s payout ratio for the quarter came in at 36.8%.

The number of hedge funds tracked by Insider Monkey owning stakes in Chevron Corporation (NYSE:CVX) grew to 59 in Q2 2022, from 53 in the previous quarter. The collective value of these stakes is over $26 billion. Warren Buffett’s Berkshire Hathaway was the company’s leading stakeholder in Q2.

Diamond Hill Capital mentioned Chevron Corporation (NYSE:CVX) in its Q1 2022 investor letter. Here is what the firm had to say:

“Other top contributors in Q1 included multinational energy company Chevron Corp. (NYSE:CVX). The company benefited from increased energy demand as COVID-related economic restrictions eased in tandem with concerns regarding supply interruptions related to Russia’s invasion of Ukraine.”