In this article, we will take a look at the 10 Best Performing Dividend Stocks So Far in 2026.
Dividend stocks can offer solid returns, though some strategies have worked better than others over time. According to Trivariate Research, one of the more effective approaches has been focusing on large-cap companies that consistently grow their dividends. In a recent note, founder Adam Parker said dividends remain a durable return factor for stocks.
Parker highlighted what he called an “investable universe” of 479 stocks. Over both 25-year and five-year periods, this group outperformed the top 700 equities. To qualify, companies needed to have a market capitalization of at least $10 billion and either a dividend yield above 10 basis points that is still growing or a yield above 50 basis points.
The firm found that the median company in this group increases its dividend by about 5% annually. One basis point equals 0.01%. Parker also found that companies in the two lowest payout ratio quintiles delivered the strongest performance over the past five years. According to the research, dividend increases tend to work best among companies with strong cash positions and lower valuations.
He added that lower payout ratio companies that raise their dividends tend to “strongly outperform” their industry group after making the announcement. A payout ratio measures how much of a company’s earnings is paid out to shareholders.
Given this, we will take a look at some of the best performing dividend stocks in 2026 so far.
Photo by Vitaly Taranov on Unsplash
Our Methodology:
For this article, we screened for dividend stocks that have strong gains in 2026 so far. We picked companies that have recently reported noteworthy developments likely to impact investor sentiment. These companies are also popular among elite funds and analysts.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).
10. Pitney Bowes Inc. (NYSE:PBI)
YTD Returns as of May 5: 36.9%
On April 24, Goldman Sachs raised its price recommendation on Pitney Bowes Inc. (NYSE:PBI) to $13.70 from $12. It reiterated a Neutral rating on the shares. The firm noted that Pitney Bowes reported a 3% year-over-year revenue decline in Q1, though that marked an improvement from the previous quarter. The results were supported by stronger performance in SendTech and competitive gains in Presort, helped by better sales execution and customer retention, the analyst said in a research note.
Despite the drop in revenue, operating margins expanded sharply because of cost controls. Goldman Sachs also modestly raised its 2026 outlook, now expecting a smaller revenue decline and less pressure on margins than previously forecast.
On April 22, Citizens raised its price goal on Pitney Bowes to $17 from $14. It maintained an Outperform rating on the shares. The firm said Pitney Bowes continues to benefit from improving execution under CEO Kurt Wolf. According to the analyst, the company is seeing strength across its core segments, while higher guidance and its market position could support stronger pricing power over time. Citizens also pointed to several additional tailwinds. These include easing headwinds in 2026, aggressive share and debt repurchases that could improve per-share value, and what the firm described as strong alignment between management and shareholders. The analyst said these factors reinforce confidence in further upside for the stock.
Pitney Bowes Inc. (NYSE:PBI) is a technology-focused company that provides SaaS shipping solutions, mailing technology, and financial services to customers worldwide.
9. HF Sinclair Corporation (NYSE:DINO)
YTD Returns as of May 5: 51.7%
On May 4, TD Cowen raised its price target on HF Sinclair Corporation (NYSE:DINO) to $80 from $68 while maintaining a Hold rating on the shares. The firm updated its model after the company’s Q1 results, where renewable diesel performance came in ahead of expectations. Cowen said it is maintaining its segment forecast, though it sees a potential upside scenario that could add $90 million in annual EBITDA. The firm also noted that seasonal trends should support inland refining dynamics in the near term.
On the same day, Barclays analyst Theresa Chen raised the firm’s price target on HF Sinclair to $71 from $61 and kept an Equal Weight rating on the stock following the Q1 report. Chen said the company’s refining operations remain well-positioned to benefit from ongoing supply tightness. Still, the analyst added that demand “will be the main swing factor from here,” according to a research note sent to investors.
HF Sinclair Corporation (NYSE:DINO) is an energy company that produces and markets gasoline, diesel fuel, jet fuel, renewable diesel, and other specialty products. Its business segments include Refining, Renewables, Marketing, Lubricants & Specialties, and Midstream.
8. CF Industries Holdings, Inc. (NYSE:CF)
YTD Returns as of May 5: 53.2%
On April 30, CIBC raised its price recommendation on CF Industries Holdings, Inc. (NYSE:CF) to $128 from $118. It reiterated a Neutral rating on the shares. The firm updated targets across the fertilizer and chemical group as part of its Q1 preview.CIBC said it expects stronger nitrogen pricing because of supply disruptions in the Middle East. It also lowered estimates for Mosaic, noting that phosphate price increases have not kept pace with rising raw material costs.
On April 27, Barclays raised its price goal on CF to $145 from $130. It maintained an Overweight rating on the shares. The firm said it still expects strength in the nitrogen segment because of the Iran conflict. Barclays also raised its estimates for both CF and Nutrien. The firm pointed to continued uncertainty surrounding the Iran war, along with expectations for a longer disruption to natural gas supply and the effect that could have on ammonia production.
CF Industries Holdings, Inc. (NYSE:CF) is a global manufacturer of hydrogen and nitrogen products. The company is working to decarbonize its ammonia production network to support low-carbon hydrogen and nitrogen products used in energy, fertilizer, emissions reduction, and other industrial activities.
7. APA Corporation (NASDAQ:APA)
YTD Returns as of May 5: 53.5%
On April 27, BofA raised its price recommendation on APA Corporation (NASDAQ:APA) to $30 from $27. It reiterated an Underperform rating on the stock. The analyst said the firm is updating its price targets for U.S. oil and gas companies under its coverage. BofA believes the market is positioned for de-escalation, though it still sees a forward outlook shaped by flare-ups and elevated geopolitical risks.
On April 22, Scotiabank raised its price goal on APA to $36 from $26. It kept a Sector Perform rating on the shares. The analyst said the firm is updating its price targets for U.S. integrated oil, refining, and large-cap E&P companies under its coverage. Scotiabank said its view on the sector remains mixed. The firm is generally above consensus earnings estimates for the E&P peer group but below consensus for independent refiners. Looking beyond the current quarter, the firm expects investors to focus on whether the recent turmoil in oil markets could lead to changes in industry activity in 2026 and beyond.
APA Corporation (NASDAQ:APA) is an independent energy company. The company owns subsidiaries that explore for and produce oil and natural gas in the United States, Egypt, and the United Kingdom. It also explores for oil and natural gas offshore Suriname.
6. Caterpillar Inc. (NYSE:CAT)
YTD Returns as of May 5: 53.9%
On May 4, DA Davidson raised its price recommendation on Caterpillar Inc. (NYSE:CAT) to $845 from $650. It reiterated a Neutral rating on the shares following the company’s better-than-expected Q1 results. The analyst said most key metrics came in well above expectations, while management also raised its outlook. According to the firm, Caterpillar is being increasingly driven by data center applications and is now targeting 3x growth in its large engine capacity by 2028, up from its previous 2x target.
On May 5, Argus raised its price goal on CAT to $990 from $820. It kept a Buy rating on the stock. The analyst said Caterpillar has recently benefited from strong growth in data centers, which is driving higher demand for its power generation products, including reciprocating engines, gas turbines, and solar microgrid systems. Argus also noted that Caterpillar has seen solid growth in its oil and gas business, along with increased demand for construction equipment used in building data centers. The firm expects demand in these areas to remain strong through 2026 and over the longer term.
Caterpillar Inc. (NYSE:CAT) manufactures construction and mining equipment, off-highway diesel and natural gas engines, industrial gas turbines, and diesel-electric locomotives. Its business segments include Construction Industries, Resource Industries, and Power & Energy.
5. Casey’s General Stores, Inc. (NASDAQ:CASY)
YTD Returns as of May 5: 54.8%
On April 24, KeyBanc raised its price recommendation on Casey’s General Stores, Inc. (NASDAQ:CASY) to $860 from $830. It reiterated an Overweight rating on the shares. The firm sees potential upside to fuel margins in the coming quarters and expects the company to provide an updated long-term algorithm similar to what it shared during its last investor day. KeyBanc believes the sector remains well positioned to benefit from consolidation, along with near-term and long-term upside in fuel margins. The firm also pointed to the nicotine mix shifting toward alternative products, as well as continued growth in prepared foods and energy drinks.
Earlier in April, Casey’s was added to the S&P 500, the index that tracks many of the largest and most influential publicly traded companies in the United States. The company said its inclusion in the S&P 500 reflects its strong financial performance, steady growth, and resilient operating model. Casey’s said these strengths have helped it provide consistent service and quality to customers across its network of more than 2,900 stores.
This marks the first time Casey’s has been included in the S&P 500 since becoming a publicly traded company in 1983.
Casey’s General Stores, Inc. (NASDAQ:CASY) and its subsidiaries operate nearly 2,900 convenience stores across 19 states. The company offers self-service fuel, grocery items, and a range of freshly prepared food products.
4. Applied Materials, Inc. (NASDAQ:AMAT)
YTD Returns as of May 5: 58.05%
On May 5, Seaport Research initiated coverage of Applied Materials, Inc. (NASDAQ:AMAT) with a Buy rating and a $500 price target. The firm said that the company is the best-positioned company among global wafer fabrication equipment suppliers. While the company does not hold ASML’s (ASML) monopoly in EUV lithography, Seaport noted that it offers products across nearly every other major tool category, including deposition, etch, implant, CMP, and cleaning systems. The firm added that Applied Materials’ role in advanced semiconductors is “almost as irreplaceable as ASML.”
On April 28, BofA raised its price recommendation on AMAT to $465 from $420. It reiterated a Buy rating on the shares. The firm increased several price targets across the semiconductor capital equipment space following what it described as “strong” results from Lam Research (LRCX). The analyst said higher industry forecasts could lead to broader upward revisions in estimates across the sector.
Applied Materials, Inc. (NASDAQ:AMAT) is a materials engineering solutions company. The company provides equipment, services, and software to the semiconductor, display, and related industries. It operates through two segments: Semiconductor Systems and Applied Global Services (AGS).
3. Power Integrations, Inc. (NASDAQ:POWI)
YTD Returns as of May 5: 101.2%
On May 4, Power Integrations, Inc. (NASDAQ:POWI) named Michael Balow as Senior Vice President of Worldwide Sales, effective immediately. Balow is scheduled to join the company’s executive management team and take charge of its global sales organization, channel strategy, and growth efforts.
Mr. Balow brings more than 30 years of experience in semiconductor sales and business development. Most recently, he served as executive vice president of sales at onsemi, where he led a global sales team across the automotive, industrial, sensing, and power solutions markets. Jen Lloyd, president and CEO of Power Integrations, made the following statement:
“Mike brings an outstanding record of building high-performance sales organizations, along with deep knowledge of power semiconductors. He will be instrumental in strengthening our relationships with customers while accelerating our penetration of high-growth markets like data center, automotive, and industrial. We are thrilled to welcome Mike to our executive leadership team.”
Power Integrations, Inc. (NASDAQ:POWI) develops semiconductor technologies for high-voltage power conversion. Its products are widely used in the clean-power ecosystem and support renewable energy generation.
2. Corning Incorporated (NYSE:GLW)
YTD Returns as of May 5: 101.8%
On April 29, Truist raised its price target on Corning Incorporated (NYSE:GLW) to $149 from $125 and maintained a Hold rating on the shares. The firm said Corning’s Q1 results highlighted faster growth in its Fiber and Solar businesses. At the same time, segments with greater exposure to consumer electronics and automotive markets are expected to remain relatively flat for the near future, the analyst said in a research note.
During the company’s Q1 2026 earnings call, Chairman, President, and CEO Wendell Weeks said sales rose 18% year over year to $4.35 billion, while EPS increased 30% to $0.70. He also said operating margin improved by 220 basis points to 20.2%. Weeks noted that growing demand for the company’s products has led Corning to prepare another upgrade to its long-term strategy. The company is expected to extend that strategy through 2030 during its investor event in New York City on May 6.
He also said Corning signed two additional long-term agreements with hyperscale customers. According to Weeks, both deals are similar in size and duration to the company’s agreement with Meta Platforms.
Corning Incorporated (NYSE:GLW) operates as a materials science company. Its business segments include Optical Communications, Display, Specialty Materials, Automotive, and Life Sciences. Its Optical Communications segment manufactures carrier network and enterprise network components for the telecommunications industry.
1. Powell Industries, Inc. (NASDAQ:POWL)
YTD Returns as of May 5: 164.7%
On April 27, JPMorgan analyst Tomohiko Sano initiated coverage of Powell Industries, Inc. (NASDAQ:POWL) with an Overweight rating. It also set a $310 price target, implying about 25% upside from current levels. The analyst said Powell is a leader in custom-engineered electrical distribution, control, and safety equipment, serving customers across the oil and gas, petrochemical, utility, and diversified industrial markets. In a research note, JPMorgan said the company’s $1.6B backlog and exposure to long-term trends such as AI, automation, and electrification could support continued growth.
During the fiscal Q2 2026 earnings call, President and CEO Brett Cope said Powell generated $490 million in new orders during the quarter. He added that the company’s backlog had grown to $1.8 billion, which he believes provides visibility into fiscal 2028. Cope also said that after the quarter ended, Powell Industries secured a first-phase greenfield data center contract valued at more than $400 million.
He described it as the largest project award in the company’s history and said the contract would support a behind-the-meter design for a planned multiphase campus.
Powell Industries, Inc. (NASDAQ:POWL) develops, designs, manufactures, and services custom-engineered equipment and systems used to distribute, control, and monitor the flow of electrical energy. Its products also provide protection for motors, transformers, and other electrically powered equipment.
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