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Top Analysts Flag 3 Utilities Stocks Paying Over 4% in Dividends

MarketDash Editorial Team
3 days ago
When markets get choppy, investors often look for stability in dividend-paying utilities. Here's what Wall Street's most accurate analysts are saying about three utility stocks offering yields above 4%.

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When volatility hits the markets, you know what tends to happen? Investors start hunting for stocks that pay them to wait things out. Enter dividend-yielding utilities stocks, those typically steady operators with hefty free cash flows who reward shareholders with regular dividend checks.

The beauty of tracking analyst ratings is that not all analysts are created equal. Some have proven track records that actually mean something. So let's dig into what Wall Street's most accurate analysts are saying about three utilities stocks currently offering dividend yields above 4%.

Eversource Energy: 4.59% Yield With Cautious Analyst Sentiment

Eversource Energy (ES) is delivering a dividend yield of 4.59%, which isn't bad in today's environment. But the analyst community isn't exactly throwing confetti.

UBS analyst William Appicelli, who boasts a 65% accuracy rate, maintained a Neutral rating on December 17, 2025, while slashing the price target from $78 down to $73. That's a meaningful haircut that suggests some concern about the stock's near-term trajectory.

Meanwhile, JP Morgan analyst Jeremy Tonet, with a 64% accuracy rate, kept his Underweight rating and trimmed the price target from $72 to $71 on December 12, 2025. An Underweight rating essentially means the analyst thinks the stock will underperform relative to the broader market.

On the positive side, Eversource reported better-than-expected quarterly results on November 4, which at least demonstrates operational execution even if analysts remain skeptical about valuation.

Avista Corp: The Highest Yielder at 5.03%

Avista Corp (AVA) takes the crown in this trio with a dividend yield of 5.03%. That's a pretty attractive income stream, especially for investors looking to offset market uncertainty.

The analyst coverage here is mixed but leans cautious. Wells Fargo analyst Shahriar Pourreza initiated coverage on October 28, 2025, with an Underweight rating and a $38 price target. This analyst has a 66% accuracy rate, so his opinions carry some weight.

Jefferies analyst Julien Dumoulin-Smith, also with a 66% accuracy rate, maintained a Hold rating and actually bumped the price target from $40 to $41 on October 22, 2025. That's at least a modest vote of confidence, even if he's not ready to recommend buying.

Avista posted mixed quarterly results on November 5, which probably explains why analysts are taking a wait-and-see approach despite that juicy dividend yield.

AES Corp: Recent Upgrades and a 4.87% Yield

AES Corp (AES) offers a 4.87% dividend yield and has been getting some positive attention from analysts lately, which makes it stand out in this group.

Argus Research analyst John Eade upgraded the stock from Hold to Buy on December 5, 2025, setting a price target of $18. What makes this particularly interesting is that Eade has a 73% accuracy rate, the highest among all the analysts mentioned here. When someone with that kind of track record upgrades a stock, people tend to listen.

Jefferies analyst Julien Dumoulin-Smith also upgraded AES from Underperform to Hold on November 18, 2025, raising his price target from $12 to $13. With a 66% accuracy rate, his move from negative to neutral signals improving sentiment.

On December 5, AES declared a quarterly common stock dividend of $0.17595 per share, reaffirming its commitment to returning cash to shareholders.

The Bottom Line on High-Yield Utilities

These three utilities stocks offer something increasingly rare in today's market: dividend yields well above 4%. That income component can provide a cushion during volatile periods and helps explain why utilities often serve as portfolio ballast when things get choppy.

But yield alone doesn't tell the whole story. The analyst ratings here range from cautious (Eversource and Avista) to cautiously optimistic (AES). If you're shopping for dividend income, Avista offers the highest yield at 5.03%, though analyst sentiment suggests some near-term headwinds. AES might be the more interesting play given recent upgrades from analysts with strong accuracy records, even though its yield is slightly lower.

The key is understanding that high dividends often come with trade-offs. These companies might have limited growth prospects, regulatory challenges, or other factors keeping their stock prices in check. That's precisely why the dividend yield is high in the first place. But for investors prioritizing income over capital appreciation, these utilities stocks deserve a closer look, especially with Wall Street's most accurate analysts weighing in on where they see value and risk.

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Top Analysts Flag 3 Utilities Stocks Paying Over 4% in Dividends

MarketDash Editorial Team
3 days ago
When markets get choppy, investors often look for stability in dividend-paying utilities. Here's what Wall Street's most accurate analysts are saying about three utility stocks offering yields above 4%.

Get AES Alerts

Weekly insights + SMS alerts

When volatility hits the markets, you know what tends to happen? Investors start hunting for stocks that pay them to wait things out. Enter dividend-yielding utilities stocks, those typically steady operators with hefty free cash flows who reward shareholders with regular dividend checks.

The beauty of tracking analyst ratings is that not all analysts are created equal. Some have proven track records that actually mean something. So let's dig into what Wall Street's most accurate analysts are saying about three utilities stocks currently offering dividend yields above 4%.

Eversource Energy: 4.59% Yield With Cautious Analyst Sentiment

Eversource Energy (ES) is delivering a dividend yield of 4.59%, which isn't bad in today's environment. But the analyst community isn't exactly throwing confetti.

UBS analyst William Appicelli, who boasts a 65% accuracy rate, maintained a Neutral rating on December 17, 2025, while slashing the price target from $78 down to $73. That's a meaningful haircut that suggests some concern about the stock's near-term trajectory.

Meanwhile, JP Morgan analyst Jeremy Tonet, with a 64% accuracy rate, kept his Underweight rating and trimmed the price target from $72 to $71 on December 12, 2025. An Underweight rating essentially means the analyst thinks the stock will underperform relative to the broader market.

On the positive side, Eversource reported better-than-expected quarterly results on November 4, which at least demonstrates operational execution even if analysts remain skeptical about valuation.

Avista Corp: The Highest Yielder at 5.03%

Avista Corp (AVA) takes the crown in this trio with a dividend yield of 5.03%. That's a pretty attractive income stream, especially for investors looking to offset market uncertainty.

The analyst coverage here is mixed but leans cautious. Wells Fargo analyst Shahriar Pourreza initiated coverage on October 28, 2025, with an Underweight rating and a $38 price target. This analyst has a 66% accuracy rate, so his opinions carry some weight.

Jefferies analyst Julien Dumoulin-Smith, also with a 66% accuracy rate, maintained a Hold rating and actually bumped the price target from $40 to $41 on October 22, 2025. That's at least a modest vote of confidence, even if he's not ready to recommend buying.

Avista posted mixed quarterly results on November 5, which probably explains why analysts are taking a wait-and-see approach despite that juicy dividend yield.

AES Corp: Recent Upgrades and a 4.87% Yield

AES Corp (AES) offers a 4.87% dividend yield and has been getting some positive attention from analysts lately, which makes it stand out in this group.

Argus Research analyst John Eade upgraded the stock from Hold to Buy on December 5, 2025, setting a price target of $18. What makes this particularly interesting is that Eade has a 73% accuracy rate, the highest among all the analysts mentioned here. When someone with that kind of track record upgrades a stock, people tend to listen.

Jefferies analyst Julien Dumoulin-Smith also upgraded AES from Underperform to Hold on November 18, 2025, raising his price target from $12 to $13. With a 66% accuracy rate, his move from negative to neutral signals improving sentiment.

On December 5, AES declared a quarterly common stock dividend of $0.17595 per share, reaffirming its commitment to returning cash to shareholders.

The Bottom Line on High-Yield Utilities

These three utilities stocks offer something increasingly rare in today's market: dividend yields well above 4%. That income component can provide a cushion during volatile periods and helps explain why utilities often serve as portfolio ballast when things get choppy.

But yield alone doesn't tell the whole story. The analyst ratings here range from cautious (Eversource and Avista) to cautiously optimistic (AES). If you're shopping for dividend income, Avista offers the highest yield at 5.03%, though analyst sentiment suggests some near-term headwinds. AES might be the more interesting play given recent upgrades from analysts with strong accuracy records, even though its yield is slightly lower.

The key is understanding that high dividends often come with trade-offs. These companies might have limited growth prospects, regulatory challenges, or other factors keeping their stock prices in check. That's precisely why the dividend yield is high in the first place. But for investors prioritizing income over capital appreciation, these utilities stocks deserve a closer look, especially with Wall Street's most accurate analysts weighing in on where they see value and risk.