Analysts are highlighting three energy stocks with significant upside potential for investors looking for a mix of income and growth. Chevron Corporation, Exxon Mobil Corporation, and NextEra Energy, Inc. have all caught the attention of experts.
Chevron, one of the world’s largest integrated energy companies, has been receiving positive attention from analysts. Mizuho recently maintained a Buy rating on the stock and raised the price target to $205, suggesting a potential 27.41% upside from the current price of $160.90. Other analysts, including Truist Securities and HSBC, have set price targets of $170 and $174, respectively, resulting in an average target of $183, indicating a potential 12% upside.
Chevron’s strong performance can be attributed to its robust operational and financial results. The company reported a 12% increase in worldwide production and returned $6 billion in cash to shareholders in its latest earnings release. With 36 consecutive years of dividend growth and a current forward dividend yield of 3.99%, Chevron offers investors an attractive combination of income and growth potential.
Exxon Mobil Corporation, another major player in the energy sector, is also worth considering. While specific upside potential has not been mentioned, the company’s solid track record and industry presence make it an interesting option for investors.
Overall, these dividend-paying energy stocks provide an opportunity for investors to capitalize on the sector’s growth potential while also receiving income through dividends.
Exxon Mobil, a major player in the energy industry, has been gaining favor among analysts. Morgan Stanley recently began covering the stock again, giving it an Overweight rating and a price target of $145, suggesting a potential 24.62% increase from the current price of $116.35. Mizuho and UBS also share in the optimism, with an average price target of $141.67 among the three firms, indicating a potential 20.22% upside.
Exxon Mobil’s strong performance in the first quarter of 2024, with earnings of $8.2 billion and cash flow from operating activities of $14.7 billion, demonstrates the company’s ability to generate significant value for shareholders. The company’s commitment to rewarding shareholders is evident in its 25-year track record of increasing dividends, offering a current forward dividend yield of 3.23%.
NextEra Energy, a leading clean energy company, has also captured the attention of analysts. Wells Fargo recently reaffirmed its positive outlook on the stock and raised the price target from $85 to $95, suggesting a potential 23.81% upside from the current price of $76.73. BMO Capital also expressed confidence in NextEra Energy, with an average price target of $81.67 among the three most recent analyst ratings, indicating a potential 6.12% increase.
NextEra Energy’s strong performance in the first quarter of 2024, with adjusted earnings per share growing by approximately 8.3% year-over-year, showcases the company’s ability to deliver solid financial and operating results. With 28 consecutive years of dividend growth and a current forward dividend yield of 2.73%, NextEra Energy offers investors an opportunity to participate in the growing clean energy sector while enjoying a steady income stream.