Dividend shares provide stable income for investors and increase total portfolio yields.
However, choosing real dividends from the enormous universe of public trading companies could be difficult. For this purpose, the recommendations of top analysts on Wall Street can help investors make the right decision, as these experts choose shares of companies that could provide strong financial support services for consistent dividend payments.
Here are three The stocks that pay dividendpointed out Top professionals on Wall Street As the Tipranks followed, the platform ranked by analysts based on their past performance.
McDonald’s
Quick food chain McDonald’s (MCD) recently reported The earnings of the fourth quarter In accordance with the expert in the market. However, the company’s revenue was lagging behind the estimates of the street because sales at US restaurants were hit by E. Coli epidemic At the end of October. Accordingly, the MCD section has increased on the day of earnings due to strong international sales and expectations of improvement of the 2025 -year -old success, assisted by strategic efforts.
Earlier this month, McDonald’s announced Cash dividend From $ 1,77 per share, which is worth it on March 17th. On an annual dividend per share of $ 7.08, the MCD section offers a dividend yield of 2.3%. It is worth noting that McDonald’s dividend is Aristocrat and has increased its dividends by 48 consecutive districts.
After the Q4 results, Jeffers analyst Andy Barish repeated the purchase rating on MCD sections and increased the target aim to $ 349 with $ 345. Although the fall in the same store in the US store is largely predicted, the analyst believes that modestly positive traffic and the continuation of momentum in the Q1 2025 makes it favorable.
Furthermore, Barish believes that recent traffic trends indicate that McDonald’s Value Messaging gets attraction, and it is expected that the launch of McValue menu will support the momentum along with other growth drivers such as digital sales, delivery, drive and core initiative. The analyst continues to expect 2025 and 2026. Sales growth in the same store of 2.3%and 2.6%.
Noticing improved fundamental traffic trends in the domestic market and solid sales trends in the same store in international markets, Barish believes that the MCD “is the best positioned to surpass peers in ’25+ through an attractive value of a sceling, global brand.”
Barish has taken 566 among more than 9,300 analysts accompanied by the Tipranks. His grades were profitable 57% of the time, bringing an average return of 10.4%. See McDonald’s shares On the vibrations.
Ares Capital
We move on to this week’s second dividend selection, Ares Capital (Bow). It is a business development company that offers solutions to finance the middle market subjects. Earlier this month, Ares Capital has announced its Q4 2024 results and declared a 48 -cents dividend per share for the first quarter, which is paid on March 31. Ares stock offers a yield of 8.2%dividend.
In the Q4 press reaction, RBC Capital Analyst Kenneth Lee He again confirmed the purchase assessment on the ARCC sections slightly increased the target price to $ 24 with $ 23. The analyst stated that the Q4 results are a bit mixed with its expectations. Although the net value of the property per share of $ 19.89 was modestly above the RBC assessment of $ 19.87, the basic earnings per share of 55 cents were a bit lacking in the RBC forecast of 58 cents per share.
On the positive side, Lee noted that the activity of the portfolio is slightly better than expected. Meanwhile, an impact on 1.03x was lower than expectations, partly due to capital capital collected in a quarter. The analyst pointed out that the credit effect of the ARCC remained firm in the middle of the current economic background. Specifically, Lee noted that the non-analysis rate increased to 1.7% (the basis of depreciated cost) with 1.3% in Q3 2024, but was still lower than the average rate of 2.8% that the company testified about from a large financial crisis.
Lee revised his Core EPS 2025 estimate at $ 2.13 at $ 2,13, and Core EPS 2026 estimate at $ 2.14 at $ 2.16 to reflect assumptions about the fall of property yields, partly recovered audit down in debt costs.
Overall, Lee is a bull at the ARCC, because it favors “strong risk management records through the cycle, well supported dividends and the benefits of proportions.”
Lee took 15th place among more than 9,300 analysts accompanied by the Tipranks. His grades were successful 74% of the time, which brought an average return of 19.1%. See Owner structure Ares Capital On the vibrations.
Energy transfer
Let’s see Energy transfer (Et), an energy company in the middle stream that manages an extensive pipeline network and associated energy infrastructure in 44 countries in the United States, a company The results of the fourth quarter and adapted earnings before interest, tax, depreciation and depreciation were missed expectations. Nevertheless, he plans to spend $ 5 billion on growth projects this year, including capacity expansion. Capex growth comes due to the growing demand for the powers of supporting data centers.
In the meantime, Energy transfer has announced a three -month cash distribution in the amount of $ 0.3250 per common unit for the Q4 2024, which has reflected an increase of 3.2% compared to one year. ET stock offers a yield of 6.7%.
Responding to Q4 results, mizuho analyst Gabriel Moreen repeated the purchase rating on ET shares with a target price of $ 24. The analyst said he was not overly concerned about the FY25 misses, because he thinks the main story is a significant guideline of Capex of about $ 5 billion for this year.
Moreen noted that Capex Outlook is far above 2.5 billion to $ 3.5 billion in the USD annual “Running” expectations and seems elevated. Nevertheless, the analyst is constructive on this Capex leadership, given that most of the planned spending will be directed towards projects in which energy transmission has an extensive experience, such as Hugh Brinson’s pipelines, exports and storage of NGL, as well as development, as well as for the development of a permian gathering and processing of the company.
While 2025. Adapted EBITDA guidelines missed expectations, Moreen claims that ET has a strong record when it comes to optimization, which could be turned into some earnings upside down. Generally, the analyst is optimistic about the future Energy Transfer -expects his strong chapex to turn into a strong growth in earnings after 2026.
Moreen has occupied 62 years among more than 9,300 analysts accompanied by the Tipranks. His grades were profitable 78% of the time, bringing an average return of 16.4%. See Energy transfer insider activity On the vibrations.
