Dividends in dollars by MarkgrafAve via iStock
When markets shake, headlines scream and volatility hits Wall Street. Income investors keep calm and get paid for it. That’s the quiet power of dividend-paying stocks. They not only survive the crisis, but also provide you with a stable income.
While some chase enthusiasm and momentum, income investors are quietly racking up returns quarter after quarter, making the most of every opportunity.
And when Wall Street analysts say these high-performing companies are a “strong buy,” that doesn’t just mean safety, but potential growth waiting to happen.
Today, let’s take a look at the top-performing stocks rated “Strong Buys.”
How I came up with the following actions
I used the one from Barchart Stock screener to find the top performing companies on my watchlist.
- Number of analysts: 16 or higher, as more analyst scores generate a stronger consensus.
- Current Analyst Rating: 4.5 – 5. I’m limiting the list to “strong buy” stocks that Wall Street expects to do well over the next 12 months.
- Annual dividend yield (FWD), %: Leave blank to order from largest to smallest.
The results give us 154 companies. I’ll cover the five highest-yielding dividend stocks that have a “strong buy” rating.
That said, let’s start with the highest-yielding dividend stocks:
LP energy transfer (eastern time)
Energy Transfer LP is a midstream company founded in 1996 and now based in Dallas, Texas. Midstream companies are primarily involved in the transportation, storage and processing of energy commodities such as oil and gas.
Energy Transfer recently announced a binding open season for its Southwest Desert Expansion Projectwhich will expand 1.5 Bcf/d of Permian gas capacity by 2029. This will connect crucial supply points in Texas and New Mexico and serve growing demands in the desert Southwest.
in your most recent financial statementsThe company reported that sales decreased 7% year over year to $19.2 billion, while net income also decreased about 10% to $1.2 billion, due to lower raw material prices. But this is something Energy Transfer can recover from, given its diversified asset base and long-term contracts.
Energy transfer pays a advance annual dividend of $1.32which translates to approx. 8% performance. At the same time, a consensus among 16 analysts rates the stock as a “Strong Buy”. Sentiment has been consistent over the past three months, highlighting the quality of Energy Transfer’s business.
HA Sustainable Infrastructure Capital Inc (HASI)
The second stock on this list is Hannon Armstrong Sustainable Infrastructure Capital, an investor in sustainable infrastructure assets advancing the energy transition. The company was founded in 1981 and is now headquartered in Annapolis, Maryland, United States.
Earlier this month, HASI announced a strategic partnership to expand its investment in clean energy and decarbonization projects. The collaboration will accelerate the deployment of low-carbon solutions in the transportation and infrastructure sectors.
The company pays a advance annual dividend of $1.68which reflects around a 6% yield. With that, a The consensus among 17 analysts rates the stock as a “Strong Buy.”a sentiment that has strengthened in the last three months, which could make the stock a more interesting investment.
Vici Properties Inc (VICI)
The third dividend company on my list is Vici Properties Inc., a real estate investment trust (REIT) that focuses on the gaming, hospitality, entertainment, and destination industries. It was founded in 2017 as a spin-off of Caesars Entertainment Corporation. It now has more than 54 casinos and 38 bowling alleys.
Last week, the company announced its agreements related to MGM Northfield Parkfollowing the sale of the property’s operations to Clairvest Group Inc. With this, Vici signs a new 25-year lease with Clairvest, generating an initial annual rent of $53 million.
Vici Properties’ latest financials Reported sales rose about 5% from the same quarter last year to $1 billion, while net income also rose about 17% year over year to $865 million.
Vici Properties pays an advance annual dividend of $1.80which translates to around a 5.7% yield. Even with lower performance than the first two companies, a consensus among 23 analysts rates the stock as a “Strong Buy”with a score of 4.61/5, highlighting the company’s strong performance expectations.
Permian Resources Corporation (public relations)
Permian Resources Corp is an independent oil and natural gas company focused on these properties, primarily in the Delaware Basin. The company was formed in 2022 following the merger of Centennial Resource Development and Colgate Energy.
Permian resources recently closed in the acquisition of lease and royalty rights in Eddy and Lea Counties, New Mexico. This agreement will strengthen its position in the center of the Delaware Basin.
passing to your most recent financial statementsPermian Resources reported that sales decreased about 4% from the same quarter last year to $1.2 billion. It also incurred a net loss of about 12% year over year to $207.1 million.
Permian Resources pays an annual forward dividend of $0.60which translates to approximately a 5% return. A consensus of 23 analysts rated the stock a “Strong Buy.”a rating that has remained constant over the past three months. And notably, 19 of those 23 analysts rate the stock as a Strong Buy.
Nestreit Corp (NTST)
Last, but definitely not least, is Netstreit Corp, an internally managed REIT that specializes in acquiring single-tenant net lease retail properties. It was recently founded in 2019 and is based in Dallas, Texas.
Last month, NETSTREIT Corp raised $450 million in new financing and modified its credit lines. The deal adds two senior unsecured term loans totaling $450 million, with $300 million funded at closing and the remainder available through 2026.
Since we are talking about numbers, the company most recent financial statements Reported sales increased 22% from the same quarter last year to $48.3 million, while its net income also increased about 243% year-over-year to $3.3 million, recovering from a significant loss.
NTST shares are trading at about $19 and the company pays a advance annual dividend of $0.86which translates to a yield of around 4.5%. Now, this may be the lowest performing stock on this list, but it’s still higher than average. Meanwhile, a The consensus among 17 analysts rates the stock as a “Strong Buy.”rating that has been strengthening over the last three months.
Final thoughts
These five dividend-paying companies offer solid returns and strong growth potential. But while dividend yield is an attractive metric to invest in, it’s also essential to monitor a company’s stability, cash flow strength, and other factors that could alter payouts.
As of the date of publication, Rick Orford had no (directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article are for informational purposes only. For more information, see Barchart’s Disclosure Policy here.
