A Chevron state presumption successful San Francisco, California, US, connected Tuesday, Oct. 28, 2025.
Jason Henry | Bloomberg | Getty Images
Heading into 2026, capitalist absorption could displacement from fixed-income instruments to charismatic dividend stocks, fixed a little involvement complaint backdrop.
Picking the close names from a immense beingness of dividend-paying companies is simply a challenging task. Tracking the banal picks of apical Wall Street analysts tin assistance investors marque the close choices, arsenic these experts delegate their ratings aft conducting a thorough investigation of a company's fundamentals.
Here are three dividend-paying stocks, highlighted by Wall Street's apical pros, as tracked by TipRanks, a level that ranks analysts based connected their past performance.
Chevron
Oil and state elephantine Chevron (CVX) is this week's archetypal dividend pick. The institution returned $6 cardinal of currency to shareholders successful the 3rd quarter via $3.4 cardinal successful dividends and $2.6 cardinal successful stock repurchases. With a quarterly dividend of $1.71 per stock (annualized dividend of $6.84 per share), Chevron offers a output of astir 4.5%.
Following meetings with Chevron's management, Piper Sandler expert Ryan Todd reiterated a bargain standing connected CVX banal with a price people of $178. Interestingly, TipRanks' AI Analyst is besides bullish connected the vigor company, with an "outperform" standing and a terms people of $164.
Todd noted that portion the ongoing script of an unfavorable crude backdrop and affirmative refining concern has affected Chevron's performance, his meetings with the absorption reflected the company's coagulated position.
The expert contends that Chevron's superior ratio is underappreciated. Notably, the company's upstream superior expenditure/boe (barrel of lipid equivalent) produced is 29% beneath the adjacent average. He added that fixed the declining capex and operating expenses, the benefits from artificial quality (AI) that person yet to materialize, and a assets basal that is amended than feared, Chevron's escaped currency travel (FCF) yearly maturation outlook of 10% per twelvemonth seems conservative.
Additionally, Todd argued that "while investors whitethorn proceed to interest astir TCO [Tengizchevroil joint venture] declaration extensions, lingering post-2030 assets extent questions are misguided." In this matter, the expert noted that speech from the projects included successful Chevron's authoritative plan, absorption is upbeat astir further opportunities presented by improved planetary entree (especially successful the Middle East), a emergence successful exploration activities, and enlargement and technology-driven prospects.
Todd ranks No. 868 among much than 10,200 analysts tracked by TipRanks. His ratings person been profitable 58% of the time, delivering an mean instrumentality of 8.5%. See Chevron Ownership Structure connected TipRanks.
Darden Restaurants
Restaurant institution Darden Restaurants (DRI) owns a portfolio of brands, including Olive Garden, LongHorn Steakhouse and Yard House. It precocious announced a quarterly dividend of $1.50 per share, payable on Feb. 2, 2026. At an annualized dividend of $6 per share, DRI offers a output of 3.2%.
Following the company's mixed results for the 2nd 4th of fiscal 2026, BTIG expert Peter Saleh reiterated a bargain standing connected Darden banal with a price people of $225. In comparison, TipRanks' AI Analyst has a terms people of $218 with an "outperform" rating.
Saleh noted that Darden posted a mixed, but "mostly positive," quarter, with better-than-anticipated comparable income fueled by improved postulation astatine the company's large brands.
"Its strategy of under-pricing inflation, leaning connected delivery, and offering a desirable paper resonated with guests, driving different 4th of sizable manufacture outperformance," said Saleh.
The five-star expert highlighted that precocious beef prices continued to beryllium a headwind and weighed connected the quarter's edifice margins and net per stock (EPS). That said, Saleh is optimistic astir Darden achieving its guidance, arsenic beef costs look to person peaked, labour outgo pressures are easing, and absorption is relying somewhat connected terms increases to offset commodity costs.
Overall, Saleh continues to beryllium impressed by the momentum successful Darden's sales, and though net haven't kept gait yet, they are expected to amended going forward.
Saleh ranks No. 641 among much than 10,200 analysts tracked by TipRanks. His ratings person been profitable 61% of the time, delivering an mean instrumentality of 10.5%. See Darden Restaurants Statistics connected TipRanks.
Ares Capital
This week's 3rd dividend prime is Ares Capital (ARCC), a specialty concern institution that provides nonstop loans and different investments to backstage middle-market companies. The institution announced a dividend of 48 cents per share, payable connected Dec. 30, 2025. At an annualized dividend per stock of $1.92, ARCC banal offers a output of 9.5%.
In his latest probe enactment connected concern improvement companies (BDCs), RBC Capital expert Kenneth Lee called Ares Capital 1 of his favourite BDC names for 2026 and reaffirmed a bargain standing with a price people of $23. TipRanks' AI Analyst has assigned an "outperform" standing to ARCC banal with a terms people of $24.
While Lee is little constructive connected the BDC abstraction heading into 2026 owed to a imaginable diminution successful nett involvement income (NII) and instrumentality connected equity (ROE) from little basal rates, helium remains bullish connected Ares Capital. In particular, helium cited management's assurance successful sustaining dividends astatine existent levels contempt expectations of little basal rates.
Among the cardinal strengths, Lee noted ARCC's ascendant presumption successful the BDC market, its extended scale, and beardown originations successful the Ares nonstop lending platform. He besides highlighted Ares Capital's much than 20 years of experience.
"In our view, ARCC's dividends are good supported by the company's halfway net per stock procreation positive imaginable nett realized gains," said Lee to enactment his bullish stance.
Lee ranks No. 341 among much than 10,200 analysts tracked by TipRanks. His ratings person been palmy 66% of the time, delivering an mean instrumentality of 11.5%. See Ares Capital Insider Trading Activity connected TipRanks.










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