These dividend stocks are forecasted to perform well by top Wall Street analysts.

In volatile markets, investors can seek refuge in dividend-paying stocks that provide income and can soften the impact on their portfolio.

Investors can simplify the challenging task of choosing dividend-paying stocks by following the recommendations of Wall Street experts, who meticulously evaluate a company's earnings growth prospects and dividend history.

According to TipRanks, a platform that ranks analysts based on their past performance, here are three attractive dividend stocks recommended by Wall Street's top pros.

IBM

IBM, a tech giant, was chosen as the first dividend pick this week, despite mixed first-quarter results. While the company's earnings surpassed expectations, revenue fell short of estimates in an uncertain macroeconomic climate. Additionally, IBM announced a $6.4 billion acquisition of cloud software maker HashiCorp.

In Q1 2024, IBM generated free cash flow of $1.9 billion and expects to deliver about $12 billion in the full year. The company's yield is approximately 4%.

Evercore analyst Amit Daryanani has maintained a buy rating on IBM stock with a price target of $215. The analyst is optimistic about the company's growth prospects and anticipates it will benefit from several favorable factors, including generative artificial intelligence and the growth of consulting revenue.

Daryanani stated that IBM expressed optimism about their potential to increase revenues on the consulting side in H2, based on the 2% growth seen in Q1.

Despite the impact of macro challenges on discretionary spending in the consulting business during Q1 2024, the analyst believes that there are several catalysts that suggest growth opportunities in the future. These catalysts include the ramp-up of generative AI, backlog conversion, and M&A contributions from previously announced deals in the second half of 2024. Additionally, Daryanani is optimistic about the potential for durable growth in the mainframe business.

Daryanani is ranked No. 243 among more than 8,800 analysts on TipRanks. He has a profitable track record, with ratings delivering an average return of 13.2% 59% of the time. (See IBM Stock Buybacks on TipRanks)

Hasbro

In April, Hasbro reported better-than-expected first-quarter earnings due to its turnaround efforts. The company paid dividends worth $97.2 million in Q1 2024 and offers a dividend yield of 4.7%.

After conferring with Hasbro's executives at JPMorgan's 52nd Annual TMC Conference, JPM analyst Christopher Horvers revised his assessment of HAS stock from hold to buy and raised the price target from $61 to $74.

The analyst believes that his predictions for Hasbro are higher than the consensus forecasts because the Street is underestimating the company's cost efficiency efforts and digital gaming prospects, which will be reflected in the second half of 2024 and the first half of 2025.

Although the holiday season was shorter, Horvers is hopeful that the industry will see increased growth in 2024 due to the recovery of low ticket and short replacement cycle product categories.

The analyst stated that "HAS is better positioned in 2H24 due to the shift of Transformers from 2Q to 3Q and early benefits from improved merchandising under new management."

Among more than 8,800 analysts tracked by TipRanks, Horvers ranks No. 769. His ratings have been successful 60% of the time, delivering an average return of 7.2%. (See Hasbro Technical Analysis on TipRanks)

Target

In the first quarter of 2024, Target paid out $508 million in dividends to its shareholders, giving it a dividend yield of 2.8%.

Baird analyst Peter Benedict observed that Target's first-quarter earnings per share were slightly below analysts' expectations, due to the increase in gross margin being offset by higher operating expenses.

Benedict believes that the post-earnings selloff in TGT stock is excessive due to lower-than-expected earnings and price cuts announced by the company. He argues that an incremental investment in value and affordability through low pricing was always part of Target's strategy for fiscal 2024. The analyst also notes that the company's inventory remains in good shape.

Benedict believes that management's objective of achieving positive comparable sales growth in the fiscal second quarter is attainable because the comparisons with the previous year will be easier.

The analyst believes that the company is cautious in its planning due to the current value-conscious spending climate.

The analyst reiterated a buy rating on Target with a price target of $190, and Benedict believes the risk/reward profile of TGT stock is compelling.

Benedict is ranked No. 77 among more than 8,800 analysts on TipRanks, with a profitable rating 68% of the time and an average return of 15.1%. (Check out Target Insider Trading Activity on TipRanks)