Markets

Insider Trading

Hedge Funds

Retirement

Opinion

11 Best Dividend Stocks Under $5

In this article, we discuss 11 best dividend stocks under $5. You can skip our detailed analysis of dividend investing and returns of dividend stocks relative to the broader market, and go directly to read 5 Best Dividend Stocks Under $5

The investment trends are consistently changing this year as stock markets come under pressure due to rising inflation. Investors are leaning on previously overlooked defensive securities while dumping growth tech stocks. Moreover, in the current rising interest rate environment, investors are finding solace in dividend stocks. The tech-heavy NASDAQ recorded a harsh decline of 29.4% this year, compared with a 19.2% drop in the S&P 500, as of the close of October 25.

Over the years, dividend stocks have generated returns that have surpassed the broader market. Especially dividend reinvestments have a significant impact on overall returns. In the last 15 years ending August 2021, the total return of dividend stocks with reinvestments stood at 10.62%, compared with a 6.89% price return, as reported by CIBC Asset Management. The report also mentioned that the High Dividend Index for Canada, America, and the World has outperformed the broader market from 2001 to 2020. According to analysts, investing in dividends can be trickier as investors often fall victim to troubled companies paying hefty dividends. Rather investors should focus on quality companies boasting dividend growth track records with the potential to maintain those payments. Some popular dividend stocks include Altria Group, Inc. (NYSE:MO), JPMorgan Chase & Co. (NYSE:JPM), and Pfizer Inc. (NYSE:PFE).

In addition to dividend stocks, mutual funds that specialize in dividend securities have seen record inflows this year. According to a report by Bloomberg, inflows in dividend ETFs grew 25% from the previous record of 2021, reporting positive inflows every month this year. Bloomberg Intelligence estimates high dividend ETFs to double their inflows this year.

Our Methodology:

For this list, we selected stocks that have share prices below $5 and pay dividends to shareholders. We analyzed these companies through their financials, balance sheets, and dividend policies. The stocks are ranked according to their share prices, as of October 27.

Best Dividend Stocks Under $5

11. Diversified Healthcare Trust (NASDAQ:DHC)

Share Price as of October 27: $1.20

Diversified Healthcare Trust (NASDAQ:DHC) is an American real estate investment trust company that owns and managed high-quality healthcare properties across 36 states in the US. At the end of June 2022, the company had approximately $868.4 million available in cash and cash equivalents, compared with $634.8 million six months ago. The company’s revenue in Q2 2022 amounted to $313 million.

Diversified Healthcare Trust (NASDAQ:DHC) has not raised its dividend since the pandemic of 2020 unlike some of the best dividend stocks like Altria Group, Inc. (NYSE:MO), JPMorgan Chase & Co. (NYSE:JPM), and Pfizer Inc. (NYSE:PFE), which raised their dividends during this period. However, the company paid regular dividends to shareholders over these years. The company currently offers a quarterly dividend of $0.10 per share and has a dividend yield of 3.33%, as of October 27.

As per Insider Monkey’s Q2 2022 database, 24 hedge funds owned stakes in Diversified Healthcare Trust (NASDAQ:DHC), up from 21 in the previous quarter. These stakes have a collective value of over $32.7 million.

10. Lloyds Banking Group plc (NYSE:LYG)

Share Price as of October 27: $1.94

Lloyds Banking Group plc (NYSE:LYG) is one of the UK’s largest financial services companies with over 30 million customers worldwide. In October, JPMorgan maintained an Overweight rating on the stock with a 56 GBP price target, appreciating the company’s earnings in the recent quarter.

In the first half of FY22, Lloyds Banking Group plc (NYSE:LYG) paid £550 million in dividends to shareholders. The company has also completed £1.3 billion worth of its share buyback program. Its net interest income for this period came in at £6.14 billion, up 13.3% from the same period last year.

Lloyds Banking Group plc (NYSE:LYG) currently pays a quarterly dividend of $0.038 per share. The stock has a dividend yield of 5.32%, as recorded on October 27.

At the end of Q2 2022, 9 hedge funds tracked by Insider Monkey owned stakes in Lloyds Banking Group plc (NYSE:LYG), up from 8 in the previous quarter. The collective value of these stakes is over $31.6 million. With roughly 10 million shares, Arrowstreet Capital was the company’s largest stakeholder in Q2.

9. Mizuho Financial Group, Inc. (NYSE:MFG)

Share Price as of October 27: $2.24

Mizuho Financial Group, Inc. (NYSE:MFG) is a Tokyo-based bank holding company that offers financial and strategic services to its consumers. In fiscal Q1 2022, the company reported an ordinary income of 1.24 trillion JPY, which shows a 67.6% growth from the same period last year. It reported roughly 54 trillion JPY in cash and due from the banks at the end of the quarter.

Mizuho Financial Group, Inc. (NYSE:MFG) currently pays a quarterly dividend of 20 JPY and has a dividend yield of 6.88%, as of October 27.

In August, Daiwa upgraded Mizuho Financial Group, Inc. (NYSE:MFG) to Outperform with a 1,700 JPY price target, appreciating the company’s strong earnings and strategic management.

As of the close of Q2 2022, 7 hedge funds tracked by Insider Monkey owned stakes in Mizuho Financial Group, Inc. (NYSE:MFG), compared with 8 in the previous quarter. These stakes have a total value of over $8 million. Among these hedge funds, Renaissance Technologies owned the largest stake in the banking company, worth nearly $9 million.

8. Silvercorp Metals Inc. (NYSE:SVM)

Share Price as of October 27: $2.53

Silvercorp Metals Inc. (NYSE:SVM) is a Canadian precious metals company that is involved in the exploration and development of silver-containing properties. The company pays dividends twice a year. Currently, it pays a semi-annual dividend of $0.0125 per share, with a dividend yield of 0.99%.

In August, Silvercorp Metals Inc. (NYSE:SVM) announced a share repurchase program for over 7 million of its common shares. These shares represent approximately 4% of the company’s 177 million shares outstanding as of August. The program will expire in August 2023.

In fiscal Q1 2023, Silvercorp Metals Inc. (NYSE:SVM) reported revenue of roughly $64 million, up from $58.8 million during the same period last year. At the end of June, the company had over $150.2 million available in cash and cash equivalents, compared with $113.3 million six months ago. The company is one of the best dividend stocks on our list as it paid nearly $2.2 million to shareholders in dividends during Q1.

At the end of Q2 2022, 8 hedge funds in Insider Monkey’s database owned stakes in Silvercorp Metals Inc. (NYSE:SVM), the same as in the previous quarter. These stakes have a total value of $26.4 million, compared with $37.2 million worth of stakes owned by hedge funds in the preceding quarter. Sprott Asset Management was one of the company’s most prominent stakeholders in Q2.

7. New York Mortgage Trust, Inc. (NASDAQ:NYMT)

Share Price as of October 27: $2.62

New York Mortgage Trust, Inc. (NASDAQ:NYMT) is an American real estate investment trust company that delivers stable distributions to its customers. In October, B. Riley maintained a Buy rating on the stock with a $5 price target. The firm expects the company to generate stable results in the upcoming quarter and also presented a positive outlook on fixed-income markets.

New York Mortgage Trust, Inc. (NASDAQ:NYMT) currently pays a quarterly dividend of $0.10 per share and has a dividend yield of 15.27%, as of October 27.

In the second quarter of 2022, New York Mortgage Trust, Inc. (NASDAQ:NYMT) reported an operating cash flow of over $40 million, compared with $38.1 million in the previous quarter. The company’s total net interest income came in at $26.1 million. It also reported a portfolio net interest margin of 3.48% and a book value of $4.06 per share.

As of the end of the June quarter, 9 hedge funds in Insider Monkey’s database owned stakes in New York Mortgage Trust, Inc. (NASDAQ:NYMT), down from 12 in the preceding quarter. These stakes are collectively valued at over $35 million. With over 5 million shares, Balyasny Asset Management was the company’s leading stakeholder in Q2.

6. Harmony Gold Mining Company Limited (NYSE:HMY)

Share Price as of October 27: $2.86

Harmony Gold Mining Company Limited (NYSE:HMY) is the largest gold mining company in South Africa. The company possesses nine underground mines and several surface operations in the country. Recently, the company announced the acquisition of the Eva Copper project in Australia for $170 million plus a contingent payment of over $60 million. The acquisition is made to extend its diversification into copper.

In September, UBS expressed concerns regarding the company’s earnings but the firm recommends increasing exposure to gold. In view of this, the firm maintained a Neutral rating on Harmony Gold Mining Company Limited (NYSE:HMY) with a ZAR 47 price target.

On October 12, Harmony Gold Mining Company Limited (NYSE:HMY) announced an interim dividend of $0.01 per share, consistent with its previous dividend. As of October 27, the stock’s dividend yield came in at 1.38%. The company can be a good addition to dividend portfolios due to its different dividend policy alongside some of the best dividend stocks like Altria Group, Inc. (NYSE:MO), JPMorgan Chase & Co. (NYSE:JPM), and Pfizer Inc. (NYSE:PFE).

At the end of Q2 2022, 8 hedge funds tracked by Insider Monkey reported owning stakes in Harmony Gold Mining Company Limited (NYSE:HMY), down from 11 in the previous quarter. These stakes have a total value of over $108.5 million.

Click to continue reading and see 5 Best Dividend Stocks Under $5

Suggested articles:

Disclosure. None. 11 Best Dividend Stocks Under $5 is originally published on Insider Monkey.

AI, Tariffs, Nuclear Power: One Undervalued Stock Connects ALL the Dots (Before It Explodes!)

Artificial intelligence is the greatest investment opportunity of our lifetime. The time to invest in groundbreaking AI is now, and this stock is a steal!

AI is eating the world—and the machines behind it are ravenous.

Each ChatGPT query, each model update, each robotic breakthrough consumes massive amounts of energy. In fact, AI is already pushing global power grids to the brink.

Wall Street is pouring hundreds of billions into artificial intelligence—training smarter chatbots, automating industries, and building the digital future. But there’s one urgent question few are asking:

Where will all of that energy come from?

AI is the most electricity-hungry technology ever invented. Each data center powering large language models like ChatGPT consumes as much energy as a small city. And it’s about to get worse.

Even Sam Altman, the founder of OpenAI, issued a stark warning:

“The future of AI depends on an energy breakthrough.”

Elon Musk was even more blunt:

“AI will run out of electricity by next year.”

As the world chases faster, smarter machines, a hidden crisis is emerging behind the scenes. Power grids are strained. Electricity prices are rising. Utilities are scrambling to expand capacity.

And that’s where the real opportunity lies…

One little-known company—almost entirely overlooked by most AI investors—could be the ultimate backdoor play. It’s not a chipmaker. It’s not a cloud platform. But it might be the most important AI stock in the US owns critical energy infrastructure assets positioned to feed the coming AI energy spike.

As demand from AI data centers explodes, this company is gearing up to profit from the most valuable commodity in the digital age: electricity.

The “Toll Booth” Operator of the AI Energy Boom

  • It owns critical nuclear energy infrastructure assets, positioning it at the heart of America’s next-generation power strategy.
  • It’s one of the only global companies capable of executing large-scale, complex EPC (engineering, procurement, and construction) projects across oil, gas, renewable fuels, and industrial infrastructure.
  • It plays a pivotal role in U.S. LNG exportation—a sector about to explode under President Trump’s renewed “America First” energy doctrine.

Trump has made it clear: Europe and U.S. allies must buy American LNG.

And our company sits in the toll booth—collecting fees on every drop exported.

But that’s not all…

As Trump’s proposed tariffs push American manufacturers to bring their operations back home, this company will be first in line to rebuild, retrofit, and reengineer those facilities.

AI. Energy. Tariffs. Onshoring. This One Company Ties It All Together.

While the world is distracted by flashy AI tickers, a few smart investors are quietly scooping up shares of the one company powering it all from behind the scenes.

AI needs energy. Energy needs infrastructure.

And infrastructure needs a builder with experience, scale, and execution.

This company has its finger in every pie—and Wall Street is just starting to notice.

Wall Street is noticing this company also because it is quietly riding all of these tailwinds—without the sky-high valuation.

While most energy and utility firms are buried under mountains of debt and coughing up hefty interest payments just to appease bondholders…

This company is completely debt-free.

In fact, it’s sitting on a war chest of cash—equal to nearly one-third of its entire market cap.

It also owns a huge equity stake in another red-hot AI play, giving investors indirect exposure to multiple AI growth engines without paying a premium.

And here’s what the smart money has started whispering…

The Hedge Fund Secret That’s Starting to Leak Out

This stock is so off-the-radar, so absurdly undervalued, that some of the most secretive hedge fund managers in the world have begun pitching it at closed-door investment summits.

They’re sharing it quietly, away from the cameras, to rooms full of ultra-wealthy clients.

Why? Because excluding cash and investments, this company is trading at less than 7 times earnings.

And that’s for a business tied to:

  • The AI infrastructure supercycle
  • The onshoring boom driven by Trump-era tariffs
  • A surge in U.S. LNG exports
  • And a unique footprint in nuclear energy—the future of clean, reliable power

You simply won’t find another AI and energy stock this cheap… with this much upside.

This isn’t a hype stock. It’s not riding on hope.

It’s delivering real cash flows, owns critical infrastructure, and holds stakes in other major growth stories.

This is your chance to get in before the rockets take off!

Disruption is the New Name of the Game: Let’s face it, complacency breeds stagnation.

AI is the ultimate disruptor, and it’s shaking the foundations of traditional industries.

The companies that embrace AI will thrive, while the dinosaurs clinging to outdated methods will be left in the dust.

As an investor, you want to be on the side of the winners, and AI is the winning ticket.

The Talent Pool is Overflowing: The world’s brightest minds are flocking to AI.

From computer scientists to mathematicians, the next generation of innovators is pouring its energy into this field.

This influx of talent guarantees a constant stream of groundbreaking ideas and rapid advancements.

By investing in AI, you’re essentially backing the future.

The future is powered by artificial intelligence, and the time to invest is NOW.

Don’t be a spectator in this technological revolution.

Dive into the AI gold rush and watch your portfolio soar alongside the brightest minds of our generation.

This isn’t just about making money – it’s about being part of the future.

So, buckle up and get ready for the ride of your investment life!

Act Now and Unlock a Potential 100+% Return within 12 to 24 months.

We’re now offering month-to-month subscriptions with no commitments.

For a ridiculously low price of just $9.99 per month, you can unlock our in-depth investment research and exclusive insights – that’s less than a single fast food meal!

Space is Limited! Only 1000 spots are available for this exclusive offer. Don’t let this chance slip away – subscribe to our Premium Readership Newsletter today and unlock the potential for a life-changing investment.

Here’s what to do next:

1. Head over to our website and subscribe to our Premium Readership Newsletter for just $9.99.

2. Enjoy a month of ad-free browsing, exclusive access to our in-depth report on the Trump tariff and nuclear energy company as well as the revolutionary AI-robotics company, and the upcoming issues of our Premium Readership Newsletter.

3. Sit back, relax, and know that you’re backed by our ironclad 30-day money-back guarantee.

Don’t miss out on this incredible opportunity! Subscribe now and take control of your AI investment future!


No worries about auto-renewals! Our 30-Day Money-Back Guarantee applies whether you’re joining us for the first time or renewing your subscription a month later!

A New Dawn is Coming to U.S. Stocks

I work for one of the largest independent financial publishers in the world – representing over 1 million people in 148 countries.

We’re independently funding today’s broadcast to address something on the mind of every investor in America right now…

Should I put my money in Artificial Intelligence?

Here to answer that for us… and give away his No. 1 free AI recommendation… is 50-year Wall Street titan, Marc Chaikin.

Marc’s been a trader, stockbroker, and analyst. He was the head of the options department at a major brokerage firm and is a sought-after expert for CNBC, Fox Business, Barron’s, and Yahoo! Finance…

But what Marc’s most known for is his award-winning stock-rating system. Which determines whether a stock could shoot sky-high in the next three to six months… or come crashing down.

That’s why Marc’s work appears in every Bloomberg and Reuters terminal on the planet…

And is still used by hundreds of banks, hedge funds, and brokerages to track the billions of dollars flowing in and out of stocks each day.

He’s used this system to survive nine bear markets… create three new indices for the Nasdaq… and even predict the brutal bear market of 2022, 90 days in advance.

Click to continue reading…