10 Best Energy Dividend Stocks To Buy Right Now

6. Chevron Corporation (NYSE:CVX)

Number of Hedge Fund Holders: 63

Chevron Corporation (NYSE:CVX) ranks sixth on our list of the best dividend stocks from the energy sector. The American multinational energy company manufactures and sells a range of high-quality refined products. It recently announced a partnership focused on creating scalable power solutions using natural gas-fired turbines, incorporating carbon capture and storage to support the growing energy demands of US data centers. In addition, the company successfully launched gas production from the Sanha Lean Gas Connection project, securing a reliable natural gas supply for the Angola Liquefied Natural Gas facility. CVX has surged by over 4% since the start of 2025.

In 2024, Chevron Corporation (NYSE:CVX) delivered an exceptional performance, setting new records. Global production rose by 7%, while US output saw a remarkable 19% increase, reaching all-time highs. Looking ahead to 2025, growth is expected to continue, supported by the full-year impact of its PDC Energy acquisition, finalized in August 2023. In addition, key project launches in the Gulf of Mexico and continued expansion in the Permian Basin—where production grew by 18%—further strengthened its overall performance.

Chevron Corporation (NYSE:CVX) maintained a strong cash position in FY24. The company generated an operating cash flow of $31.5 billion and a free cash flow of $15 billion. It returned almost $12 billion to shareholders in the form of dividends. Moreover, the company repurchased over $15 billion of its own shares in 2024, continuing its long-standing practice of share buybacks, which it has done in 17 of the past 21 years. It currently pays a quarterly dividend of $1.71 per share, having raised it by 4.9% in January. This marked the company’s 38th consecutive year of dividend growth. The stock supports a dividend yield of 4.48%, as of February 8.

Chevron Corporation (NYSE:CVX) was included in 63 hedge fund portfolios at the end of Q3 2024, compared with 64 in the previous quarter, as per Insider Monkey’s database. The stakes owned by these hedge funds are worth more than $21 billion. Warren Buffett’s Berkshire Hathaway was the company’s leading stakeholder in Q3.