Geopolitical tensions in the Middle East are prompting investors to seek stability through dividend-paying stocks, with Wall Street analysts highlighting several key opportunities. Among these, Enterprise Products Partners (EPD) stands out, offering a 5.9% dividend yield. RBC Capital’s Elvira Scotto maintains a buy rating on EPD, raising her price target to $42, citing potential upside from higher commodity prices while anticipating minimal impact from current geopolitical events on Q1 2026 results.
Chord Energy (CHRD) is another notable pick, with Morgan Stanley’s Devin McDermott upgrading the stock to buy and increasing the price target to $168. CHRD boasts a 3.9% dividend yield and strong free cash flow, making it attractive in a rising oil price environment. McDermott emphasizes the company’s efficiency gains and robust shareholder returns, particularly as it optimizes its drilling strategy.
Devon Energy (DVN) also garners attention, especially following its merger with Coterra Energy, which is expected to enhance its position in the Permian Basin. McDermott has raised his price target for DVN to $59, projecting significant free cash flow growth and an increased dividend. For market professionals, these dividend stocks represent a strategic way to navigate current volatility while capitalizing on potential earnings growth.
Source: cnbc.com