Why Chevron (CVX) is a Great Dividend Stock Right Now

All investors aim for high returns from their investments, but income investors focus on generating consistent cash flow. Dividends are a key source of cash flow for income investors, as they represent a distribution of a company’s earnings to shareholders. Chevron (CVX) is a company in the Oils-Energy sector that currently offers a dividend yield of 4.2%, higher than the industry average. The company has a history of increasing its dividend annually, with a payout ratio of 52%. Chevron is expected to see earnings growth this fiscal year, making it an attractive dividend play with a Zacks Rank of #2 (Buy). It’s important for income investors to consider the stability of a company’s profits when choosing dividend stocks.

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