Viper Energy, Exxon Mobil, and Williams are drawing analyst buy ratings as they leverage strong Q3 results and dividend growth to navigate current market uncertainty.
Q3 production exceeded consensus, a base dividend of 50 cents per share was announced payable Nov. 19, and TD Cowen reiterated a buy rating with a $61 target after two royalty acquisitions worth $809 million in cash plus $82 million in shares. The 5.7% dividend yield and discount to royalty peers support the stock, though the new acquisitions raise leverage.
Exxon reported robust Q3 2026 profits helped by strong diesel prices, raised its dividend 3.9% to $1.07 per share payable Dec. 10 (its 44th consecutive annual increase), and plans $20 billion of buybacks for 2027. TD Cowen raised its price target to $193 from $180 on higher downstream earnings, though Middle East-related headwinds remain.
Q3 results were in line with expectations but showed strong execution, with results tracking toward the higher end of the maintained $8.3 billion to $8.5 billion full-year EBITDA guidance. CIBC reaffirmed a buy rating with an $82 target, supported by a 3.09% dividend yield and a long-term EBITDA CAGR target of at least 11% through 2030.
As market volatility persists, analysts are pointing to energy sector stalwarts for reliable income. Viper Energy, Exxon Mobil, and Williams have all recently announced dividend increases or maintained strong payouts, supported by robust quarterly performance and strategic acquisitions.
A base cash dividend of 50 cents per share for Q3 2026, payable Nov. 19, with a trailing 12-month dividend yield of 5.7%.
TD Cowen's Aaron Bilkoski reiterated a buy rating with a $61 price target, citing production above consensus and a valuation discount to royalty peers.
At an annualized dividend of $4.28 per share, XOM offers a yield of 2.53%.
U.S. refineries boosted production to capitalize on high diesel fuel prices sparked by the Middle East conflict.
WMB pays $0.525 per share quarterly, or $2.10 annualized, for a yield of 3.09%.
Results were in line with expectations, driven by higher transmission, storage and power generation revenues plus the Momentum Midstream acquisition, tracking toward the higher end of $8.3-$8.5 billion EBITDA guidance.