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12 Best Dividend Stocks Under $5

In this article, we discuss 12 best dividend stocks under $5. You can skip our detailed analysis of dividend stocks and their historical performance, and go directly to read 5 Best Dividend Stocks Under $5.

In 2022, dividends were a popular choice for investors, with S&P 500 companies paying a record $565 billion in dividends. During a tough year, investors turned to dividend-paying companies for the income they offered. These companies and certain dividend-focused ETFs performed better than the overall S&P 500 index last year.

Dividend investing strategies are well-regarded for delivering appealing long-term returns, especially in terms of risk-adjusted returns. This is because they offer defensive benefits, which means they tend to experience less price fluctuation when the market is performing poorly, making them a relatively stable choice in such conditions on average. The consistency of dividends in supporting stock market returns becomes evident when considering that they have played a notable role, constituting 40% of the market’s returns since 1930, and an even larger 54% during decades with high inflation, as reported by Fidelity.

The stability of dividend strategies, known for their resilience, is connected to specific traits commonly seen in companies that pay and increase dividends. The capacity to consistently pay and boost dividends is generally considered a sign of dependable earnings and growth. According to a report by Abrdn, dividend growers and initiators outperformed non-dividend payers over the past 20 years ending in December 2022. This group has also shown superior performance compared to no-change dividend payers, as well as no dividend payers. Another significant benefit of dividend investing is the reduced risk it offers, leading to historically attractive risk-adjusted returns over the long term. The report illustrates that among global equities, Dividend Growers and Initiators have notably lower annual return volatility compared to companies that don’t pay dividends and dividend cutters & eliminators.

Some of the best dividend stocks that hold decades-long dividend growth track records include The Procter & Gamble Company (NYSE:PG), Colgate-Palmolive Company (NYSE:CL), and PepsiCo, Inc. (NASDAQ:PEP). These stocks have not only consistently increased their dividend payments over the years but also maintained a strong cash position, indicating their ability to keep raising their payouts in the future. In this article, we will discuss dividend stocks to buy under $5.

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Our Methodology:

We scanned Insider Monkey’s database of 910 hedge funds and picked 12 dividend stocks priced under $5 as of October 28. We preferred companies with stable dividend histories. The stocks are ranked in ascending order of the number of hedge funds having stakes in them as of Q2 2023.

12. Network-1 Technologies, Inc. (NYSE:NTIP)

Number of Hedge Fund Holders: 2

Share Price as of October 28: $2.12

Network-1 Technologies, Inc. (NYSE:NTIP) is an American tech company that primarily focuses on the development and licensing of intellectual property and technology solutions. On September 8, the company declared a semi-annual dividend of $0.05, which was in line with its previous dividend. It started paying dividends in 2016 and has paid regular dividends to shareholders since then, which makes NTIP one of the best dividend stocks on our list. The stock’s dividend yield on October 28 came in at 4.72%.

Other dividend stocks with strong dividend growth include The Procter & Gamble Company (NYSE:PG), Colgate-Palmolive Company (NYSE:CL), and PepsiCo, Inc. (NASDAQ:PEP).

Network-1 Technologies, Inc. (NYSE:NTIP) reported a strong cash position in the second quarter of 2023. The company ended the quarter with over $16.6 million available in cash and cash equivalents, up from $13.4 million at the end of December 2022.

At the end of Q2 2023, 2 hedge funds tracked by Insider Monkey reported having stakes in Network-1 Technologies, Inc. (NYSE:NTIP), which remained unchanged from the previous quarter. The collective value of these stakes is over $1.2 million. Cannell Capital owned the largest stake in the company.

11. Global Self Storage, Inc. (NASDAQ:SELF)

Number of Hedge Fund Holders: 4

Share Price as of October 28: $4.46

Global Self Storage, Inc. (NASDAQ:SELF) is a real estate investment trust company that specializes in owning, operating, and managing self-storage facilities. In the second quarter of 2023, the company reported revenue of $3.09 million, which showed a 3.7% growth from the same period last year. The company ended the quarter with over $6.6 million in cash and cash equivalents, compared with $6.3 million six months ago.

Global Self Storage, Inc. (NASDAQ:SELF) has been making regular dividend payments to shareholders since 1998. It currently pays a quarterly dividend of $0.0725 per share and has a dividend yield of 6.50%, as of October 28.

As of the end of Q2 2023, 4 hedge funds in Insider Monkey’s database owned stakes in Global Self Storage, Inc. (NASDAQ:SELF), up from 3 in the previous quarter. The overall value of these stakes is $285,000.

10. ARC Document Solutions, Inc. (NYSE:ARC)

Number of Hedge Fund Holders: 8

Share Price as of October 28: $2.79

ARC Document Solutions, Inc. (NYSE:ARC) is a California-based company that provides specialized document management and printing services, primarily focused on serving the architecture, engineering, and construction (AEC) industries, as well as other businesses that require document solutions.

ARC Document Solutions, Inc. (NYSE:ARC) initiated its dividend policy in 2019 and has paid uninterrupted dividends to shareholders since then. The company currently offers a quarterly dividend of $0.05 per share and has a dividend yield of 7.17%, as of October 28.

At the end of June 2023, 8 hedge funds in Insider Monkey’s database reported having stakes in ARC Document Solutions, Inc. (NYSE:ARC), which was the same as in the previous quarter. These stakes have a total worth of over $3.2 million.

9. VAALCO Energy, Inc. (NYSE:EGY)

Number of Hedge Fund Holders: 11

Share Price as of October 28: $4.42

VAALCO Energy, Inc. (NYSE:EGY) is an independent energy company that focuses on the exploration, development, and production of oil and natural gas. The company has been paying regular dividends to shareholders since 2021, which makes EGY one of the best dividend stocks to buy under $5. It currently pays a quarterly dividend of $0.0625 per share for a dividend yield of 5.66%, as reported on October 28.

VAALCO Energy, Inc. (NYSE:EGY) was a part of 11 hedge fund portfolios at the end of Q2 2023, compared with 15 in the previous quarter, according to Insider Monkey’s database. The collective value of stakes owned by these hedge funds is over $21.7 million. With 2.7 million shares, Sabrepoint Capital was the company’s leading stakeholder in Q2.

8. Silvercorp Metals Inc. (NYSE:SVM)

Number of Hedge Fund Holders: 12

Share Price as of October 28: $2.3

Silvercorp Metals Inc. (NYSE:SVM) is a Canadian mining company that primarily focuses on the exploration, acquisition, development, and production of silver and other base metals. The company offers a semi-annual dividend of $0.0125 per share for a dividend yield of 1.09%, as of October 28.

In fiscal Q1 2023, Silvercorp Metals Inc. (NYSE:SVM) reported revenue of $60 million, which beat analysts’ estimates by $1.61 million. The company’s cash position also remained stable as it generated nearly $30 million in operating cash flow during the quarter. In addition to this, it also paid $2.2 million to shareholders in dividends during the quarter, which makes SVM one of the best dividend stocks on our list.

The number of hedge funds having stakes in Silvercorp Metals Inc. (NYSE:SVM) grew to 12 in Q2 2023, from 9 in the previous quarter, as per Insider Monkey’s database. The consolidated value of these stakes is over $18.4 million. Among these hedge funds, Two Sigma Advisors was the company’s leading stakeholder in Q2.

7. Safe Bulkers, Inc. (NYSE:SB)

Number of Hedge Fund Holders: 13

Share Price as of October 28: $3.18

Safe Bulkers, Inc. (NYSE:SB) is a shipping company that primarily focuses on the transportation of dry bulk goods by sea. The company currently pays a quarterly dividend of $0.05 per share and has a dividend yield of 6.29%, as of October 28. It is among the best dividend stocks under $5.

In the second quarter of 2023, Safe Bulkers, Inc. (NYSE:SB) reported revenue of $70.6 million, which fell by 23% from the same period last year, but beat analysts’ consensus by $12.1 million. The company ended the quarter with over $88.5 million available in total cash.

As of the end of Q2 2023, 13 hedge funds tracked by Insider Monkey owned stakes in Safe Bulkers, Inc. (NYSE:SB), up from 11 in the previous quarter. The consolidated value of these stakes is nearly $6 million. The largest stakeholder of the company is AQR Capital Management.

6. Nordic American Tankers Limited (NYSE:NAT)

Number of Hedge Fund Holders: 16

Share Price as of October 28: $4.77

Nordic American Tankers Limited (NYSE:NAT) ranks sixth on our list of the best dividend stocks under $5. The Bermuda-based shipping company specializes in the transportation of crude oil using its fleet of oil tankers. It has a 28-year run of paying regular dividends to shareholders and it currently pays a quarterly dividend of $0.15 per share. The stock’s dividend yield on October 28 came in at 10.06%.

NAT can be added to dividend portfolios alongside some other dividend stocks such as The Procter & Gamble Company (NYSE:PG), Colgate-Palmolive Company (NYSE:CL), and PepsiCo, Inc. (NASDAQ:PEP).

At the end of the June quarter of 2023, 16 hedge funds in Insider Monkey’s database reported having stakes in Nordic American Tankers Limited (NYSE:NAT), down from 23 in the preceding quarter. The collective value of these stakes is more than $50.7 million.

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

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Disclosure. None. 12 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.

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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.

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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.

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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…