Wall Street Analysts Highlight Three Dividend Stocks for Steady Income

Markets are fluctuating amid geopolitical tensions in the Middle East, rising interest rates, and uncertainty surrounding AI developments.

In this uncertain environment, investors seeking reliable income can enhance their portfolios by adding dividend-paying stocks. Reviewing top Wall Street analysts’ recommendations helps pinpoint dividend opportunities supported by solid fundamentals.

Below are three dividend stocks highlighted by leading Wall Street analysts, as tracked by TipRanks, a platform that ranks analysts on their historical performance.

Chevron

Integrated oil and gas giant Chevron (CVX) is the first dividend pick. The company paid a quarterly dividend of $1.78 per share earlier this month, representing an annualized dividend of $7.12 per share and a dividend yield of about 3.5%.

Goldman Sachs analyst Neil Mehta reiterated a buy rating on CVX and raised his price target to $240 from $225. He highlighted Chevron’s solid pipeline of international exploration projects across Latin America, the Middle East, West Africa, and the Eastern Mediterranean, with a focus on Venezuela where the company expects to more than double gross production to 600 kbd by 2031 via three joint ventures.

Mehta also highlighted Chevron’s deployment of new technologies in shale and tight‑oil operations to boost productivity and efficiency, aiming to maximize free cash flow.

Initiatives such as artificial lift optimization, AI and machine learning, and advanced chemical treatments are expected to improve recovery by about 10% in new wells. Consequently, capital spending per barrel in U.S. shale is projected to fall 25% in 2026, with total Permian spending dropping below $3.5 billion.

Mehta also noted that Chevron views power as a growth opportunity and is leveraging its U.S. natural gas portfolio, key equipment and partnerships to meet rising demand. Notably, Chevron recently signed a 20‑year power purchase deal with Microsoft (MSFT) to supply 2.67 GW of behind‑the‑meter capacity. This project, called Kilby, is expected to see its first power delivery in 2028 and generate mid‑teens returns and long‑term cash flows.

Mehta ranks No. 536 among more than 12,500 analysts tracked by TipRanks. His ratings have been profitable 61% of the time, delivering an average return of 11.3%.

Enterprise Products Partners

Enterprise Products Partners (EPD) is a master limited partnership (MLP) that provides midstream energy services to producers and consumers of natural gas, natural gas liquids (NGLs), crude oil, refined products and petrochemicals. The company declared a quarterly cash distribution of 56 cents per common unit ($2.24 annualized), offering a yield of about 6%.

RBC Capital analyst Elvira Scotto reiterated a buy rating on EPD with a price target of $42 after a recent company call. She modestly lowered her estimates for the second half of 2026 due to margin and volume normalization, but noted that demand fundamentals remain robust.

Although she anticipates a sequential decline driven by seasonal factors and normalization after strong first‑half spreads, Scotto still expects EPD to deliver a solid Q3 2026 and begin 2027 with a favorable outlook. Ahead of the quarterly report, she expects investors to watch export demand resilience, the company’s ability to capture spot‑cargo profits, and growth in Permian volumes.

Scotto forecasts $150 million of common‑unit buybacks each quarter in the second half of 2026, rising to $200 million per quarter in 2027 as capex declines and free cash flow strengthens.

Overall, Scotto remains bullish on EPD, viewing it as a core MLP that combines offensive growth potential with defensive characteristics. She highlighted the partnership’s diversified asset base as a source of stable cash flows and noted that its multi‑year organic growth backlog provides visibility for long‑term distribution growth.

Scotto ranks No. 199 among more than 12,500 analysts tracked by TipRanks. Her ratings have been successful 67% of the time, delivering an average return of 15.9%.

Brookfield Infrastructure Partners

Brookfield Infrastructure Partners (BIP) operates a diversified portfolio of high‑quality utilities, transportation, midstream and data assets. The company declared a quarterly distribution of 45.5 cents per unit, payable on September 29, representing an annualized distribution of $1.82 and a dividend yield of roughly 5.2%.

BMO Capital analyst Devin Dodge reaffirmed a buy rating on Brookfield Infrastructure with a price target of $47. He noted improved visibility into BIP’s growth trajectory and highlighted the company’s corporate simplification as a potential catalyst.

“Layering in the benefits from the proposed corporate simplification, a multiple well below historical levels and an attractive yield, we believe BIP offers a compelling risk/reward and it remains a preferred idea,” said Dodge.

Dodge pointed to a robust pipeline of organic growth projects and new partnership opportunities, giving BIP clearer visibility on capital deployment, which should sustain double‑digit growth in funds from operations (FFO) per unit.

The semiconductor foundries BIP is building with Intel are slated to be fully commissioned by the end of 2026, with returns improving through Q4 2026. Dodge anticipates the joint venture will lift FFO by 300‑400 basis points.

Dodge ranks No. 476 among more than 12,500 analysts tracked by TipRanks. His ratings have been profitable 68% of the time, delivering an average return of 13.5%.

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