Analysts RBC Capital recommend buying Viper Energy (VNOM) and Permian Resources (PR) shares for strong dividend returns

Global stock markets are experiencing volatility due to geopolitical uncertainties and a focus on artificial intelligence stocks. In this context, dividend stocks are being promoted as a means for investors to secure steady income.

Viper Energy, a subsidiary of Diamondback Energy, has been highlighted by RBC Capital analyst Scott Hanold, who initiated coverage with a buy rating and a price target of $58. Viper offers a dividend yield of 5% and is noted for its strong position in the Permian Basin, with a production mix that benefits from high oil prices and a solid balance sheet.

Hanold also supports Permian Resources, which has a buy rating and a price target of $27, citing its recent acquisition of land in the Delaware Basin as a strategic move to enhance its production capabilities. This stock offers a dividend yield of 3.2%.

Lastly, Chevron has returned $6 billion to shareholders in the first quarter, with a dividend yield of 3.8% and a buy rating from Mizuho analyst Nitin Kumar, who raised his price target to $230. Kumar emphasizes Chevron's focus on maximizing free cash flow and its strategic investments, which position the company favorably despite concerns about long-term production sustainability.

Overall, these recommendations reflect a strategy for investors to seek reliable income and potential capital appreciation in a fluctuating market

Stocks in this article

Company Price Change Change % AI
Permian Resources PR.US 19.73 +0.53 +2.76% Hold
Viper Energy VNOM.US 44.78 -0.34 -0.75% Buy

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