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Top Utilities Stocks Offering High Dividend Yields: What Wall Street's Best Analysts Are Saying

MarketDash Editorial Team
1 day ago
When markets get choppy, dividend-paying utilities stocks become investor favorites. Here's what Wall Street's most accurate analysts think about three high-yielding utilities companies, including recent price target changes and performance updates.

When market volatility strikes and uncertainty starts creeping in, there's a type of investor behavior that becomes almost predictable: the flight to dividends. Companies that generate strong free cash flows and share those profits with shareholders through regular dividend payments suddenly look a lot more attractive than high-flying growth stocks that might crater at any moment.

The utilities sector is classic dividend territory. These companies aren't going to double overnight, but they're not going away either. People need electricity and gas whether the market is soaring or tanking, which creates the kind of reliable cash generation that makes regular dividend payments possible.

So what are Wall Street's sharpest analysts saying about high-yielding utilities right now? We're looking at three companies through the lens of analysts with proven track records, the kind whose predictions actually pan out more often than not. Analyst accuracy matters because, let's be honest, plenty of analysts on Wall Street are wrong more than they're right.

Dominion Energy: Split Opinion on a 4.49% Yielder

Dominion Energy Inc. (D) is serving up a dividend yield of 4.49%, which is the kind of number that catches attention when Treasury yields are bouncing around.

The analyst community is showing some interesting divergence here. Barclays analyst Nicholas Campanella, who gets it right about 65% of the time, maintained his Overweight rating and nudged his price target up from $63 to $64 on December 17, 2025. That's a vote of confidence, even if it's a modest bump.

Meanwhile, JP Morgan analyst Jeremy Tonet, working with a 63% accuracy rate, went the other direction. He kept his Underweight rating and actually lowered his price target from $62 to $59 on December 11, 2025. Same company, same timeframe, opposite conclusions about where the stock is headed.

The company's recent performance might explain some of the optimism. Back on October 31, Dominion Energy delivered a strong third quarter for 2025, with both adjusted earnings and revenue beating consensus expectations. When a company demonstrates operational resilience and executes its strategy effectively, it tends to build confidence among at least some segment of analysts.

Eversource Energy: Cautious Optimism at 4.48%

Eversource Energy (ES) is offering a 4.48% dividend yield, putting it almost exactly in line with Dominion from a yield perspective. But the analyst commentary here skews a bit more cautious.

UBS analyst William Appicelli, who boasts a 66% accuracy rate (the highest in this group), maintained a Neutral rating but reduced his price target from $78 to $73 on December 17, 2025. That's a meaningful haircut, taking about 6.4% off his previous target.

JP Morgan's Jeremy Tonet shows up again here, maintaining his Underweight rating and trimming the price target from $72 to $71 on December 12, 2025. Consistency matters, and Tonet seems consistently bearish on utilities, or at least these particular names.

The recent news for Eversource was actually positive. On November 4, the company reported quarterly results that came in better than expected. So we've got a situation where the fundamentals look decent, but analysts are still cutting price targets. Sometimes the market has already priced in the good news, or expectations for future quarters might be softening.

Avista Corp: The Highest Yield, The Most Skepticism

Avista Corp (AVA) is the yield champion of this group at 5.20%. That's the kind of yield that immediately raises the question: what's the catch? Higher yields often signal either higher risk or market skepticism about the company's ability to maintain those payments.

Wells Fargo analyst Shahriar Pourreza, with a 66% accuracy rate, initiated coverage on October 28, 2025 with an Underweight rating and a $38 price target. Starting coverage with an Underweight rating is never a bullish signal. It means the analyst thinks the stock will underperform relative to its peers.

Jefferies analyst Julien Dumoulin-Smith, working with a 65% accuracy rate, took a more middle-of-the-road approach. He maintained a Hold rating and actually raised his price target slightly from $40 to $41 on October 22, 2025. That's not exactly a ringing endorsement, but it's not negative either.

The recent news mentioned for Avista was that on December 16, Regency Centers elected Mark J. Parrell to its board of directors. Board appointments can signal strategic shifts or bring in fresh expertise, though they don't typically move the stock in the short term.

Reading Between the Ratings

What's interesting about this snapshot of utilities stocks is the pattern it reveals. Even among Wall Street's most accurate analysts, those with proven track records of getting calls right, there's significant disagreement about where these dividend-payers are headed.

The utilities sector is supposed to be boring and predictable, but these divergent views suggest the market is grappling with some genuine uncertainty. Maybe it's interest rate expectations, regulatory concerns, capital expenditure requirements for grid modernization, or the transition to renewable energy. Whatever the underlying factors, they're creating enough ambiguity that even the best analysts can't reach consensus.

For dividend-focused investors, these stocks offer yields well above the typical S&P 500 dividend yield. But those dividends come with questions about capital appreciation potential. When your most bullish analyst rating is "Overweight" and you've got multiple "Underweight" and "Neutral" calls, it's clear that Wall Street isn't expecting these stocks to run.

Then again, that might be exactly the point. Investors buying utilities for 4.5% to 5.2% yields probably aren't expecting fireworks. They're looking for steady income and relative stability while other parts of their portfolio take on more risk. In that context, mixed analyst ratings might not be a dealbreaker, they're just part of the realistic assessment of what these investments are meant to deliver.

Back to Stock Market News

Top Utilities Stocks Offering High Dividend Yields: What Wall Street's Best Analysts Are Saying

MarketDash Editorial Team
1 day ago
When markets get choppy, dividend-paying utilities stocks become investor favorites. Here's what Wall Street's most accurate analysts think about three high-yielding utilities companies, including recent price target changes and performance updates.

When market volatility strikes and uncertainty starts creeping in, there's a type of investor behavior that becomes almost predictable: the flight to dividends. Companies that generate strong free cash flows and share those profits with shareholders through regular dividend payments suddenly look a lot more attractive than high-flying growth stocks that might crater at any moment.

The utilities sector is classic dividend territory. These companies aren't going to double overnight, but they're not going away either. People need electricity and gas whether the market is soaring or tanking, which creates the kind of reliable cash generation that makes regular dividend payments possible.

So what are Wall Street's sharpest analysts saying about high-yielding utilities right now? We're looking at three companies through the lens of analysts with proven track records, the kind whose predictions actually pan out more often than not. Analyst accuracy matters because, let's be honest, plenty of analysts on Wall Street are wrong more than they're right.

Dominion Energy: Split Opinion on a 4.49% Yielder

Dominion Energy Inc. (D) is serving up a dividend yield of 4.49%, which is the kind of number that catches attention when Treasury yields are bouncing around.

The analyst community is showing some interesting divergence here. Barclays analyst Nicholas Campanella, who gets it right about 65% of the time, maintained his Overweight rating and nudged his price target up from $63 to $64 on December 17, 2025. That's a vote of confidence, even if it's a modest bump.

Meanwhile, JP Morgan analyst Jeremy Tonet, working with a 63% accuracy rate, went the other direction. He kept his Underweight rating and actually lowered his price target from $62 to $59 on December 11, 2025. Same company, same timeframe, opposite conclusions about where the stock is headed.

The company's recent performance might explain some of the optimism. Back on October 31, Dominion Energy delivered a strong third quarter for 2025, with both adjusted earnings and revenue beating consensus expectations. When a company demonstrates operational resilience and executes its strategy effectively, it tends to build confidence among at least some segment of analysts.

Eversource Energy: Cautious Optimism at 4.48%

Eversource Energy (ES) is offering a 4.48% dividend yield, putting it almost exactly in line with Dominion from a yield perspective. But the analyst commentary here skews a bit more cautious.

UBS analyst William Appicelli, who boasts a 66% accuracy rate (the highest in this group), maintained a Neutral rating but reduced his price target from $78 to $73 on December 17, 2025. That's a meaningful haircut, taking about 6.4% off his previous target.

JP Morgan's Jeremy Tonet shows up again here, maintaining his Underweight rating and trimming the price target from $72 to $71 on December 12, 2025. Consistency matters, and Tonet seems consistently bearish on utilities, or at least these particular names.

The recent news for Eversource was actually positive. On November 4, the company reported quarterly results that came in better than expected. So we've got a situation where the fundamentals look decent, but analysts are still cutting price targets. Sometimes the market has already priced in the good news, or expectations for future quarters might be softening.

Avista Corp: The Highest Yield, The Most Skepticism

Avista Corp (AVA) is the yield champion of this group at 5.20%. That's the kind of yield that immediately raises the question: what's the catch? Higher yields often signal either higher risk or market skepticism about the company's ability to maintain those payments.

Wells Fargo analyst Shahriar Pourreza, with a 66% accuracy rate, initiated coverage on October 28, 2025 with an Underweight rating and a $38 price target. Starting coverage with an Underweight rating is never a bullish signal. It means the analyst thinks the stock will underperform relative to its peers.

Jefferies analyst Julien Dumoulin-Smith, working with a 65% accuracy rate, took a more middle-of-the-road approach. He maintained a Hold rating and actually raised his price target slightly from $40 to $41 on October 22, 2025. That's not exactly a ringing endorsement, but it's not negative either.

The recent news mentioned for Avista was that on December 16, Regency Centers elected Mark J. Parrell to its board of directors. Board appointments can signal strategic shifts or bring in fresh expertise, though they don't typically move the stock in the short term.

Reading Between the Ratings

What's interesting about this snapshot of utilities stocks is the pattern it reveals. Even among Wall Street's most accurate analysts, those with proven track records of getting calls right, there's significant disagreement about where these dividend-payers are headed.

The utilities sector is supposed to be boring and predictable, but these divergent views suggest the market is grappling with some genuine uncertainty. Maybe it's interest rate expectations, regulatory concerns, capital expenditure requirements for grid modernization, or the transition to renewable energy. Whatever the underlying factors, they're creating enough ambiguity that even the best analysts can't reach consensus.

For dividend-focused investors, these stocks offer yields well above the typical S&P 500 dividend yield. But those dividends come with questions about capital appreciation potential. When your most bullish analyst rating is "Overweight" and you've got multiple "Underweight" and "Neutral" calls, it's clear that Wall Street isn't expecting these stocks to run.

Then again, that might be exactly the point. Investors buying utilities for 4.5% to 5.2% yields probably aren't expecting fireworks. They're looking for steady income and relative stability while other parts of their portfolio take on more risk. In that context, mixed analyst ratings might not be a dealbreaker, they're just part of the realistic assessment of what these investments are meant to deliver.