Is Chevron Corporation (CVX) Among the Cheapest Dividend Aristocrats to Buy Now?

As an investor, you're always on the lookout for the best deals in the market. Dividend aristocrats, companies that have increased their dividends for at least 25 consecutive years, are often a great place to start. But which one is the cheapest and offers the best value for your money? Let's take a closer look at Chevron Corporation (CVX) and see if it's the right choice for you.



First, let's talk about CVX's dividend history. The company has increased its dividend for 34 consecutive years, making it a reliable choice for income-oriented investors. The current annual dividend is $6.05, which amounts to a dividend yield of 4.04%. This is higher than the average dividend yield of other dividend aristocrats, which is around 3.5%. For example, the dividend yield of Johnson & Johnson is 2.7%, while that of Procter & Gamble is 2.5%. So, CVX's dividend yield is relatively high compared to other dividend aristocrats.

Now, let's discuss the payout ratio. CVX's payout ratio is 66.81%, which is relatively high compared to other dividend aristocrats. This indicates that the company is paying out a significant portion of its earnings as dividends. For example, Johnson & Johnson (JNJ) has a payout ratio of 54.5%, while Coca-Cola (KO) has a payout ratio of 64.5%. CVX's high payout ratio suggests that the company is prioritizing dividend payments over reinvesting in the business.



CVX's expected dividend growth rate is 8.46%. This is higher than the average dividend growth rate of other dividend aristocrats. For instance, JNJ has an expected dividend growth rate of 6.11%, while KO has an expected dividend growth rate of 6.11%. CVX's high expected dividend growth rate indicates that the company is committed to increasing its dividend payments over time, which is attractive to income-oriented investors.



CVX's stock price has been relatively stable over the past year, with a 52-week price change of +5.84%. The beta is 1.08, so CVX's price volatility has been similar to the market average. The company's market cap is $280.7 billion, and its enterprise value is $289.26 billion.



In conclusion, CVX is a strong choice for income-oriented investors looking for a stable and growing dividend stream. The company's high dividend yield, expected dividend growth rate, and relatively low payout ratio make it an attractive option for those seeking value in the dividend aristocrat space. However, it's essential to consider other factors, such as the company's fundamentals, market conditions, and your personal investment goals, when making investment decisions. As always, it's crucial to do your own research and consult with a financial advisor before making any investment decisions.