10 Cheapest Dividend Aristocrats to Buy Now

4. Chevron Corporation (NYSE:CVX)

Forward P/E Ratio: 13.97

Chevron Corporation (NYSE:CVX) ranks fourth on our list of the best dividend aristocrat stocks. The American energy company produces crude oil, natural gas, and many other essential products. The company recently announced a partnership to create scalable power solutions using natural gas turbines, coupled with carbon capture and storage, to address the growing energy needs of US data centers. In addition, it successfully commenced gas production at the Sanha Lean Gas Connection project, securing a consistent natural gas supply for the Angola Liquefied Natural Gas facility.

In the fourth quarter of 2024, Chevron Corporation (NYSE:CVX) reported earnings of $2.06 per share, falling short of analyst expectations due to weaker margins, which led its refining business to report a loss for the first time since 2020. However, the company generated $52.23 billion in revenue for the quarter, a 10.7% increase from the previous year, surpassing Wall Street’s forecasts by over $3.8 billion. This growth was driven by a 7% rise in global production and a 19% increase in US production, both hitting record levels for 2024. Moreover, the company raised nearly $8 billion from asset sales and ended the year with a solid balance sheet, maintaining a net debt ratio of 10%.

Chevron Corporation (NYSE:CVX) ended FY24 with a strong cash position, generating $31.5 billion in operating cash flow and $15 billion in free cash flow. The company returned almost $12 billion to shareholders through dividends. Furthermore, it repurchased over $15 billion of its own shares in 2024, continuing a trend of share buybacks it has maintained in 17 of the past 21 years. Chevron currently pays a quarterly dividend of $1.71 per share, having raised it by 4.9% in January. This was the company’s 38th consecutive year of dividend growth. The stock offers a dividend yield of 4.37%, as of February 14.