3 high-yielding stocks that Wall Street believes will rise 41% or more in 2025

How would you like to get paid to sit back and watch the stocks you own take off? This is the scenario that most investors will like. But is this unrealistic? No, not with the right stock. Analysts may have found the right stock to buy too. Here are three High yield stocks Wall Street believes it will rise 41% or more in 2025.

Architectural and engineering services (NYSE: AES) Rated as a top seller for Renewable energy for corporate clients and operates two of the fastest growing facilities in the United States. The company owns hydroelectric, solar and wind power generation facilities, as well as natural gas, coal, coke or petroleum facilities.

Although AES’s stock price is down nearly 60% from its peak in late 2022, Wall Street is anticipating a rebound. Analysts’ average 12-month price target reflects an upside potential of 47%. To be sure, not all analysts are optimistic about AES. However, in his January poll LSEG11 of the 16 analysts covering AES recommended the stock as a “buy” or “strong buy.”

This utility stock offers an attractive forward dividend yield of 5.68%. AES has increased its dividend for 12 consecutive years, most recently announcing a 2% increase in its dividend last month. It also has a good payout ratio of 47.5%.

You’re probably already somewhat familiar CVS Health (NYSE: CVS). The company is one of the largest drugstore retailers in the United States. Its CVS Caremark unit is one of the world’s leading pharmacy benefit managers (PBMs). CVS Health also owns Aetna, one of the largest health insurance companies.

As was the case with AES, CVS Health’s stock price is down nearly 60% from its high. But Wall Street loves this stock going forward. The average 12-month price target is 41% above CVS’s current stock price. Eighteen of the 28 analysts surveyed by LSEG in January rated the stock a “buy” or “strong buy.” The other 10 analysts recommended holding CVS.

CVS Health had an impressive string of dividend increases before it acquired Aetna in 2018. After holding its dividend flat for a few years, the company has begun increasing the dividend again in 2022. Its forward dividend yield now stands at 5.78%.

Devon Energy (NYSE: Bury) It is one of the largest oil and gas producers in the United States. It operates in multiple regions of the United States, with significant production capabilities in the Delaware Basin of western Texas and southeastern New Mexico.

After the dramatic rally that followed oil prices bottoming out due to the COVID-19 pandemic in 2020, Devon’s stock price has given up much of its gains. However, the consensus on Wall Street is that the stock may return to its winning ways over the next 12 months. Devon’s average price target reflects an upside potential of 42%. Of the 31 analysts surveyed by LSEG in January, 20 rated the stock a “buy” or “strong buy,” while the others recommended it as a “hold.”

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