Top Wall Street analysts like these dividend-paying energy stocks

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Top Wall Street analysts like these dividend-paying energy stocks

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The fears of a potential recession and fear of tariff policy put a strain on the markets, but dividend shares can help to ensure that investors' portfolios are steady.

Top Wall Street analysts help identify companies that withstand short-term challenges and create solid cash flows so that they can consistently pay solid dividends.

Here are three dividend playing shares that are highlighted by the top professionals of Wall Street on Tipranks, a platform that is based on the analysts based on their earlier performance.

Energy transmission

Energy transfer of the Midstream Energy Company (energy transmissionEt) Is the first dividend selection this week. The company has a diversified portfolio of energy capacity in the United States with more than 130,000 miles pipeline and an associated energy infrastructure.

In February, ET paid a quarterly cash release of $ 0.3250 per joint unit, which contradicts an increase in the previous year by 3.2%. The share offers a dividend yield of 7.5%.

The energy transfer is scheduled to announce its results in the first quarter on May 6th. In her Q1 preview in the US Midstream sector, the RBC capital analyst Elvira Scotto called the energy transfer as one of the companies that she prefers in this area. The analyst claims that the latest withdrawal from the shares in the Midstream coverage universe of RBC “seems to be exaggerated in view of the highly contractual and chargeable type of midstream company.

Scotto believes that ETS could comment on the advantages of Waha prize spreads (the price difference between natural gas, which is traded at the Waha Hub in the Perm basin and the Benchmark Prize Henry Hub Price) one of the most important drivers. You also expect ET Stock to benefit from all updates to potential projects for data center/artificial intelligence. The analyst added that management's comments on export markets, mainly China, would also influence investor's mood due to the trade war.

Due to its diversified cash flow streams, the analyst is optimistic about energy transmission, including a significant amount of the based cash flow. Scotto expects the cash flow growth of ET in conjunction with a solid balance sheet to increase the cash return on the owners of the units. She believes that ET Stock has an attractive assessment with a limited disadvantage. Overall, Scotto confirmed a merchanting for ET shares, but lowered the price target due to market uncertainty to $ 22.

Scotto ranks 24 among more than 9,400 analysts, which were followed by Tipranks. Their ratings were 67% of cases successful and provided an average return of 18.1%. See energy transmission structure on Tipranks.

The Williams Companies

Another Midstream Energy player on which scotto is optimistic The Williams Companies ((WMB). The company is to announce its results for the first quarter of 2025 on May 5. The WMB recently increased its dividend on a year -based dividend by 5.3% to $ 2.00 for 2025. WMB offers a dividend yield of 3.4%.

Before the Q1 results, Scotto listed several potential important drivers for WMB stocks, including long-term growth opportunities for AI/data center, the activities of dry gas basin, the marketing segment result and the time of the growth project online.

“We believe that investors currently prefer the natural gas -focused operations of WMB, since the effects on natural gas demand in view of the underlying demand support by increasing the LNG exports and AI/data centers are lower than crude oil,” said Scotto.

Scotto confirmed a merchanting for WMB shares with a price target of $ 63. The analyst expects continued strong volumes in the Williams segments, although there can be some volume overcrowds in the northeast segment. Scotto expects a solid quarter for WMB's sequent business due to weatherer guided storage facilities.

Overall, Scotto is optimistic that the WMB will perform its gap of growth projects and strengthen its balance sheet. With a long -term horizon, the analyst expects that Williams remain conveniently in credit metrics in the investment quality during their forecast period and that its dividend remains intact. See Williams Technical Analysis on Tipranks.

Diamondback -Energie

Diamondback -Energie ((Catch) focuses on the onshore oil and natural gas reserves in the Perm basin. In February, the company announced an increase of 11% in its annual basic dividend of $ 4 per share. Fang offers a dividend yield of 4.5%.

Before the company's results in the first quarter, which was announced in early May, the JPMorgan analyst Arun Jayaram repeated a merchant for catch shares and slightly reduced the price target to $ 166. The analyst assumes that the results of the company's Q1 2025 correspond relatively to the estimates of the street. Jayaram expects Fang to report the Q1 -Cashflow per share (CFPS) of $ 8.12 compared to the estimates of the road of $ 8.09.

Despite the volatility of raw material prices, Jayaram does not expect any changes to the Fang maintenance capital plan, at least at short notice, whereby the business activity after the purchase of double eagles is still on the right track. The analyst also found solid trends for the productivity of Diamondback from Diamondback, which turned around in 2024, which was supposed to deliver additional capital efficiency back winch.

Jayaram expects Fang to generate a Free Cashflow (FCF) of around 1.4 billion US dollars, whereby cash returns per share in quarterly dividends and $ 437 million in share purchases.

“Fang is a leader in the capital efficiency of the E&S [exploration and production companies] And has one of the lowest FCF Break Eve in the group, ”said the analyst.

Jayaram is among more than 9,400 analysts persecuted by Tipranks, number 943. His ratings were successful in 49% of the cases and provided an average return of 6.2%. See Diamondback Energy Insiderhandel with Tipranks.