Sierra Bancorp And 2 Other Top Dividend Stocks For Your Portfolio

As major U.S. stock indices reach record highs, driven by expected Federal Reserve rate cuts and stable inflation data, investors are increasingly seeking opportunities to enhance their portfolios with reliable income streams. In this environment, dividend stocks like Sierra Bancorp offer a compelling option for those looking to capitalize on steady returns while navigating the evolving economic landscape.

Top 10 Dividend Stocks In The United States

Click here to see the full list of 125 stocks from our Top US Dividend Stocks screener.

Let's review some notable picks from our screened stocks.

Sierra Bancorp (BSRR)

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: Sierra Bancorp, with a market cap of $401.40 million, operates as the bank holding company for Bank of the Sierra, offering retail and commercial banking products and services to individuals and businesses in California.

Operations: Sierra Bancorp generates its revenue primarily from its banking segment, which accounts for $145.37 million.

Dividend Yield: 3.3%

Sierra Bancorp offers a stable dividend history, paying regular dividends since 1987, with the latest quarterly dividend set at US$0.25 per share. Despite a low payout ratio of 33.9%, ensuring dividends are covered by earnings, recent insider selling and net charge-offs raise concerns. The company trades at a good value relative to peers and has seen earnings growth of 13.8% over the past year, though its dividend yield of 3.33% is below top-tier payers in the US market.

• Unlock comprehensive insights into our analysis of Sierra Bancorp stock in this dividend report.
• Our comprehensive valuation report raises the possibility that Sierra Bancorp is priced lower than what may be justified by its financials.

EOG Resources (EOG)

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: EOG Resources, Inc. is involved in the exploration, development, production, and marketing of crude oil, natural gas liquids, and natural gas across various producing basins in the United States and internationally, with a market cap of $64.05 billion.

Operations: EOG Resources generates revenue primarily from its crude oil and natural gas exploration and production activities, amounting to $22.80 billion.

Dividend Yield: 3.4%

EOG Resources has a reasonably low payout ratio of 37%, indicating its dividends are well covered by earnings and cash flows. Despite this, the dividend yield of 3.39% is lower than the top 25% of US dividend payers. The company's dividend history shows volatility, with unreliable payments over the past decade. Recent earnings results reported a decline in revenue to US$5.48 billion for Q2 2025, impacting net income and EPS compared to last year.

• Get an in-depth perspective on EOG Resources' performance by reading our dividend report here.
• Our expertly prepared valuation report EOG Resources implies its share price may be lower than expected.

Watsco (WSO)

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: Watsco, Inc. is a distributor of air conditioning, heating, and refrigeration equipment and related parts across the United States, Canada, Latin America, and the Caribbean with a market cap of $15.24 billion.

Operations: Watsco generates revenue from its wholesale electronics segment, which amounts to $7.51 billion.

Dividend Yield: 3.1%

Watsco's dividend yield of 3.08% is lower than the top US dividend payers, and its high cash payout ratio of 115.4% indicates dividends are not well covered by free cash flows, though earnings coverage is adequate with an 84.4% payout ratio. Despite stable and growing dividends over the past decade, recent earnings show a slight decline in sales to US$2.06 billion for Q2 2025, with net income slightly increasing to US$183.61 million compared to last year.

• Delve into the full analysis dividend report here for a deeper understanding of Watsco.
• In light of our recent valuation report, it seems possible that Watsco is trading beyond its estimated value.

Key Takeaways

• Click here to access our complete index of 125 Top US Dividend Stocks.
• Have you diversified into these companies? Leverage the power of Simply Wall St's portfolio to keep a close eye on market movements affecting your investments.
• Discover a world of investment opportunities with Simply Wall St's free app and access unparalleled stock analysis across all markets.

Interested In Other Possibilities?

• Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
• Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management.
• Find companies with promising cash flow potential yet trading below their fair value.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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