5 Best Oil and Gas Dividend Stocks to Buy Right Now

3. The Williams Companies, Inc. (NYSE:WMB)

Number of Hedge Fund Holders: 80

Dividend Yield as of Mar. 5: 2.77%

The Williams Companies, Inc. (NYSE:WMB), together with its subsidiaries, operates as an energy infrastructure company primarily in the United States.

The Williams Companies, Inc. (NYSE:WMB) received a boost on March 4 when BofA increased its price target on the stock from $79 to $87, while maintaining a ‘Buy’ rating on the shares. The revised target, which reflects an upside potential of over 17% from the current share price, comes as BofA sees more runway for gas levered companies and expects them to witness additional growth post 2030.

The Williams Companies, Inc. (NYSE:WMB) boasts stable and predictable cash flows thanks to its fee-based midstream business. The company earns revenue primarily from transporting, storing, and processing gas, rather than depending on commodity price swings. Moreover, the firm’s business model involves long-term contracts with automatic inflation adjustments, insulating earnings from short-term market volatility.

The Williams Companies, Inc. (NYSE:WMB) is benefiting strongly from the growing natural gas volumes across the United States, especially with the fuel emerging as a top contender to power the ongoing AI boom and the American LNG exports reaching record levels.