12 Best Fortune 500 Dividend Stocks To Buy Right Now

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7. Chevron Corporation (NYSE:CVX)

Number of Hedge Fund Holders: 63

Dividend Yield: 4.26%

Market Cap: $281.5 billion

Chevron Corporation (NYSE:CVX) manufactures and sells a range of high-quality refined products, including gasoline, diesel, marine and aviation fuels, premium base oil, finished lubricants, and fuel oil additives. The company owns five US fuel refineries and also boasts a network of Chevron and Texaco service stations.

In Q3 of 2024, Chevron Corporation (NYSE:CVX) reported revenue of $50.67 billion, surpassing analysts’ expectations by $1.63 billion, despite the outages and maintenance at several locations. The company also generated $9.7 billion in operating cash flow, up from $6.3 billion in the prior quarter. Additionally, it returned $7.7 billion to shareholders through dividends and share buybacks during the quarter. Chevron Corporation’s (NYSE:CVX) dividend growth streak spans over 37 years, placing it on our list of the Dogs of the Dow Dividend Stocks to Invest In.

Chevron Corporation (NYSE:CVX)’s Q3 2024 worldwide production increased by 7% from the prior year and set a third-quarter record. The company continues to see strong performance in the Permian, executing major turnarounds at TCO and Gorgon ahead of schedule.  These projects, combined with additional project startups through 2025, are expected to grow the oil giant’s Gulf of Mexico production to 300,000 barrels per day by 2026.

Chevron Corporation (NYSE:CVX) also remains focused on strengthening its balance sheet further by divesting its non-core positions at significant value. The company has announced asset sales in Canada, Alaska, and Congo, which will contribute before-tax proceeds of approximately $8 billion pending regulatory approvals. The company is also saving cash by optimizing and improving its capital efficiency. Chevron has reduced its capital expenditure budget from around $40 billion a decade ago to around $15 billion in 2025, reflecting its commitment to spending rationalization. The company’s focus on boosting its free cash flow could result in higher returns for its shareholders, making it an attractive option for investors looking for stable income in the energy industry.

63 hedge funds tracked by IM held a stake in Chevron Corporation (NYSE:CVX) at the end of Q3 2024, with Warren Buffett’s Berkshire Hathaway holding the largest stake worth nearly $17.5 billion.

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