In this article, we will be looking at the 14 best cheap dividend stocks to buy under $10.
Political headlines and central decisions are influencing the investor sentiment in the current market. This week, for instance, President Donald Trump’s announcement to fire Federal Reserve Governor Lisa Cook sent shockwaves through global markets. It raised new questions about the Fed’s independence as well as the future path of interest rates. According to CNBC, the equities initially rallied, but the U.S. dollar weakened, and gold prices climbed as investors looked for safer alternatives. The phenomenon highlights the market’s sensitivity to both monetary policy and political risk.
Amid such uncertainty, the dividend-paying stocks under $10 become an ideal option for investors seeking steady returns with the exposures inherent to high-priced securities. Rate cuts now appear increasingly likely, with futures markets pricing in an 89% probability of a Fed reduction at the September meeting. The move would immensely benefit income-based strategies. Growth stocks may continue to attract attention, but history shows that when interest rates trend downward, dividend stocks shine among investors.
With that context, we have hand-picked for you 14 of the best cheap dividend stocks to buy under $10. The top 5 might just be what your portfolio needs.
Copyright: olegdudko / 123RF Stock Photo
Our Methodology
When putting together our list of 14 best cheap dividend stocks to buy under $10, we followed a few criteria. Primarily, we sorted only those stocks with a dividend yield of 5% or more that are available for $10 or less. It is to ensure a notable income for the investors at the lowest price. Additionally, we also filtered our list with an anticipated EPS growth rate of 10% or more in the next year, to include those stocks with strong, stable earnings. We have ranked the entries in our list based on the dividend yield. All the data used in the article was taken from financial databases and analyst reports, with all information updated as of August 28, 2025.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
14. Gray Media, Inc. (NYSE:GTN)
Dividend Yield: 5.25%
Closing Share Price as of August 28, 2025: $6.09
Gray Media, Inc. (NYSE:GTN) is among our list of 14 best cheap dividend stocks to buy under $10. Despite the mixed second-quarter results, the company thrives with the renewal of Fox affiliation agreements and a new video streaming deal.
Gray Media, Inc. (NYSE:GTN), formerly known as Gray Television, Inc., is a publicly traded television broadcasting company headquartered in Georgia. As one of the largest television station operators in the U.S, the company owns and/or operates stations and digital assets in numerous markets across the country. Its portfolio includes affiliates of major networks like ABC, CBS, NBC, and FOX.
On August 8, 2024, Gray Media, Inc. (NYSE:GTN) reported its second-quarter earnings results. The report indicated a 7% decline in the total revenue compared to the same quarter previous year. Later, on August 18, 2025, Gray Media, Inc. (NYSE:GTN) announced reaching an agreement with the Fox Television Network. The agreement extends the network affiliations for all the company’s Fox-affiliated television stations across 27 markets.
Additionally, on August 21, 2025, the company reported a new video streaming deal with Google Cloud. The deal involves a full end-to-end solution on Google Cloud, powered by Quickplay. The company’s President and Co-CEO, Pat LaPlatney, made the following statement:
“With this game-changing infrastructure, we are leading the charge into the future of local streaming, one personalized viewing experience at a time.”
Investors interested in purchasing the stock must take note of its current dividend yield of 5.25% and the closing stock price $6.09 as of August 28, 2025.
13. Banco Bradesco S.A. (NYSE:BBD)
Dividend Yield: 5.53%
Closing Share Price as of August 28, 2025: $3.11
Banco Bradesco S.A. (NYSE:BBD) joins the ranks of 14 best cheap dividend stocks to buy under $10. The company denies an acquisition rumor and reports strong earnings during the second quarter.
Based in Brazil, Banco Bradesco S.A. (NYSE:BBD) is one of the largest financial services companies in the country. Listed on the New York Stock Exchange as an American Depositary Receipt (ADR), the bank offers a wide range of financial products and services. Its product portfolio includes services such as commercial banking, insurance, and asset management. The company serves both individuals and businesses in Brazil and internationally.
On July 24, 2025, Banco Bradesco S.A. (NYSE:BBD) provided clarification on the rumours regarding the acquisition of Alelo by iFood for R$5 billion. The company holds notable shares in Alelo, and an acquisition of the latter could affect Banco Bradesco S.A. (NYSE:BBD)’s share price. But the company denied receiving any formal proposals or agreements regarding the acquisitions, thus ending the rumor for the time being.
In its Q2 earnings call, released on July 30, 2025, the company reported a net income of $6.1 billion, reaching a year-on-year growth of 28.6%. The revenue growth also stood positive at 15.1%. The bank also reported that the use of Gen AI has improved productivity and anticipates a bigger contribution to growth in the upcoming quarters.
Banco Bradesco S.A. (NYSE:BBD) offers a dividend yield of 5.53% and its price as of August 28, 2025, stands at $3.11.
12. SunCoke Energy, Inc. (NYSE:SXC)
Dividend Yield: 6.32%
Closing Share Price as of August 28, 2025: $7.59
SunCoke Energy, Inc. (NYSE:SXC) gains a spot in our list of 14 best cheap dividend stocks to buy under $10. Amid a negative second quarter, the company acquires Phoenix Global, extends a revolving credit facility, and declares a dividend payable.
Illinois-based company, SunCoke Energy, Inc. (NYSE: SXC), is engaged in the business of raw material processing and handling. In the U.S., it is the largest independent producer of high-quality metallurgical coke – a key component for blast furnace steel production. The company uses a heat-recovery coke-making technology and relies on an extensive logistics network to serve its customers.
In its second quarter earnings report, released on July 30, 2025, it reported a revenue of $434.1 million, down 7.8% compared to the same quarter in 2024. Net income was also down by 91%. On the other hand, in the earnings call, the company announced the acquisition of Phoenix Global for $325 million. On August 1, 2025, it completed the acquisition and anticipates an increase in value through expansion in its operations, including electric arc furnace capabilities and international markets.
SunCoke Energy, Inc. (NYSE:SXC) also reported extending its revolving credit facility to July 2030, maintaining similar covenants to the previous agreement. Additionally, it has also declared a $0.12 per share dividend payable to its existing shareholders on September 2, 2025.
SunCoke Energy, Inc. (NYSE:SXC) trades at $7.59 as of August 28, 2025, and promises a 6.32% dividend yield, making it attractive for income-based investors.
11. VAALCO Energy, Inc. (NYSE:EGY)
Dividend Yield: 6.41%
Closing Share Price as of August 28, 2025: $3.90
VAALCO Energy, Inc. (NYSE:EGY) holds a place in the list of 14 best cheap dividend stocks to buy under $10. The company declares quarterly cash dividends after achieving its production guidance and reiterating its full-year guidance.
VAALCO Energy, Inc. (NYSE:EGY) is an independent energy company focused on the acquisition, exploration, development, and production of crude oil and natural gas. Headquartered in Texas, the company’s primary operations are concentrated in Africa, while holding interests in various blocks in countries like Gabon and Angola.
The company announced a revenue of $96.9 million for the second quarter of 2025, matching the analyst estimates. Meanwhile, the company’s EPS $0.081 surpassed the analyst estimates. Reported on August 7, 2025, the earnings call also highlighted producing 16,956 net revenue interest (NRI) barrels of oil equivalent per day (BOEPD), which stands above the high end of guidance.
VAALCO Energy, Inc. (NYSE:EGY) further reiterated full-year guidance. The guidance earlier included a reduction to capital expenditures in Q1 2025 by approximately 10%. The company aims to achieve this target without compromising full-year production or sales guidance. Additionally, the company has declared a quarterly cash dividend of $0.0625 per share of common stock to be paid to existing shareholders on September 19, 2025.
The stock is available to investors at $3.90 per share as of August 28, 2025, with a steady 6.41% dividend yield.
10. Smith & Wesson Brands, Inc. (NASDAQ:SWBI)
Dividend Yield: 6.44%
Closing Share Price as of August 28, 2025: $8.07
Smith & Wesson Brands, Inc. (NASDAQ:SWBI) gains an entry into our list of 14 best cheap dividend stocks to buy under $10. The company’s financial flexibility is impacted by mixed Q4 results and credit agreement amendments.
Tennessee-based company, Smith & Wesson Brands, Inc. (NASDAQ:SWBI) is a leading American firearms manufacturer known for its wide range of handguns, including revolvers and semi-automatic pistols, as well as long guns such as rifles and shotguns. Covering also the firearm-related accessories segment, the company is a prominent brand for law enforcement, military, and civilian markets.
On June 18, 2025, Smith & Wesson Brands, Inc. (NASDAQ:SWBI) released its Q4 earnings report. The report indicated a 11.6% decline in net sales compared to the same quarter the year prior. On the other hand, the revenue from new products accounted for 43.9% of total revenue in the fourth quarter, suggesting a notable demand for the same in the market. Also, the company gained market share in handguns, with shipments declining less than the overall market, indicating a better positioning than its peers.
Later, on August 15, 2025, On August 15, 2025, along with its subsidiaries, Smith & Wesson Brands, Inc. (NASDAQ:SWBI) amended its credit agreement with TD Bank and other financial institutions. The First Amendment allows for specific financial data exclusion and changes ratio calculations in 2026, impacting financial flexibility.
Investors interested in the company’s significant dividend yield of 6.44% can purchase the stock at $8.07 as of August 28, 2025.
9. UWM Holdings Corporation (NYSE:UWMC)
Dividend Yield: 7.17%
Closing Share Price as of August 28, 2025: $5.58
UWM Holdings Corporation (NYSE:UWMC) secures a spot in our list of 14 best cheap dividend stocks to buy under $10. Following strong Q2 earnings, analysts are reiterating their Buy rating on the stock.
UWM Holdings Corporation (NYSE:UWMC) is the publicly traded indirect parent of United Wholesale Mortgage (UWM), which is one of the largest wholesale mortgage lenders in the U.S. The Michigan-based company, founded in 1986, offers a range of residential mortgage loans through a network of independent mortgage brokers.
On August 7, 2025, the company reported its second-quarter earnings, highlighting $39.7 billion of production, a 20% increase from the previous year’s Q2. With it, the company marks its best quarter since 2021. It also claimed heavy investment in AI technology, such as their AI-based underwriting system BOLT, which is used for improving loan processing efficiency. The positive outlook for the company is also notably influenced by the company’s intention to bring service in-house, which is expected to have a positive impact on its financials from 2026 onwards.
Following these developments, various analysts, including Barclays and BTIG, reiterated their Buy rating on the stock, signaling strong confidence in its growth prospects. However, the stock is expected to face a fall in price, with a 1-year median target set at -10.63%.
With shares priced at $5.58 as of August 28, 2025, UWM Holdings Corporation (NYSE:UWMC) provides investors a 7.17% yield, balancing affordability with reliable income.
8. ACCO Brands Corporation (NYSE:ACCO)
Dividend Yield: 7.54%
Closing Share Price as of August 28, 2025: $3.98
ACCO Brands Corporation (NYSE:ACCO) ranks in our list of 14 best cheap dividend stocks to buy under $10. Though the second quarter earnings call suggests savings efficacy and product expansion, the price target sees a decline.
Headquartered in Illinois, ACCO Brands Corporation (NYSE:ACCO) is a global company that designs, manufactures, and markets branded products for consumers, students, and businesses. The company has an extensive portfolio that includes office supplies, academic products, and computer accessories sold under well-known brands such as Five Star, Swingline, Kensington, and Mead.
ACCO Brands Corporation (NYSE:ACCO) released its Q2 earnings results on August 01, 2025, reporting sales and adjusted EPS in line with the company’s outlook. Having achieved over $40 million in savings, the company also claimed notable progress on its $100 million multi-year cost reduction program. Through the report, the company announced the expansion of its product offerings. This includes new gaming accessories for the Nintendo Switch and a Thunderbolt 5 docking station for Apple users.
After the release of the second quarter earnings call, the company saw changes in its price target among analysts. For instance, Noble Capital lowered its price target on the stock from $12 to $9. On the other hand, the consensus rating from the analysts stands at Buy, as per CNN.
ACCO Brands Corporation (NYSE:ACCO) current price of $3.98, offers investors an appealing 7.54% dividend yield in today’s market.
7. Granite Ridge Resources, Inc. (NYSE:GRNT)
Dividend Yield: 7.77%
Closing Share Price as of August 28, 2025: $5.66
Granite Ridge Resources, Inc. (NYSE:GRNT) finds its way among our list of 14 best cheap dividend stocks to buy under $10. Analyst opinion remains mixed despite a strong quarter and top executives’ bold purchases.
Based in Texas, Granite Ridge Resources, Inc. (NYSE:GRNT) is a hybrid energy and investment company. Founded in 2022, the non-operated oil and natural gas exploration and production company invests in a diversified portfolio of wells and acreage across various U.S. basins, though it does not drill or operate the wells itself. Instead, the company partners with and is managed by proven operators.
Granite Ridge Resources, Inc. (NYSE:GRNT) reported a strong performance in its Q2 2025 earnings call. During the quarter, the company generated total oil and gas sales revenue of $109 million, an increase of 20% compared to Q2 2024. Net income stood at $25.1 million, or $0.19 per share, while production saw an increase of 37% year-over-year, with oil production up 46%.
The company’s top executives made bold moves following the earnings call release, with the latest being Director John McCartney’s significant purchase of 5,000 shares on August 20, 2025. The transaction, valued at $26,250, boosts confidence in the stock. However, the consensus analyst rating is split between Hold and Buy, though the 1-year median price target is significantly high at 35.50%.
Granite Ridge Resources, Inc. (NYSE:GRNT) remains a strong income pick, with a dividend yield of 7.77% while trading at a cheap price of $5.66.
6. Ready Capital Corporation (NYSE:RC)
Dividend Yield: 11.79%
Closing Share Price as of August 28, 2025: $4.24
Ready Capital Corporation (NYSE:RC) earns a rank among our list of 14 best cheap dividend stocks to buy under $10. The company’s second-quarter earnings call highlights sales and purchases capable of impacting its dividend capabilities.
Ready Capital Corporation (NYSE:RC) is a real estate finance company that originates, acquires, finances, and manages a diverse portfolio of commercial loans. Operating from its headquarters in New York, the company specializes in loans for small- to medium-sized balance commercial properties. The company particularly focuses on commercial real estate and commercial and industrial loans.
On August 8, 2025, the company announced its second-quarter earnings results. As per the report, Ready Capital Corporation (NYSE:RC) completed a significant bulk sale of $494 million in legacy multifamily bridge assets. Through the sale, the company generated net proceeds of $85 million, which is anticipated to improve its net interest margin.
During the quarter, the company also took ownership of a mixed-use asset in Portland, Oregon, including a Ritz-Carlton Hotel. With this move, the company avoided an expensive foreclosure process. Ready Capital Corporation (NYSE:RC) aims to stabilize the assets quickly. For the second half of 2025, the company anticipates modest earnings growth contributed by new originations, stabilization of the Portland asset, and increased SBA 7(a) lending volumes.
Offering a dividend yield of 11.79%, Ready Capital Corporation (NYSE:RC)’s stocks were available for purchase at $4.24 per share as of August 28, 2025.
5. Redwood Trust, Inc. (NYSE:RWT)
Dividend Yield: 11.96%
Closing Share Price as of August 28, 2025: $6.02
Redwood Trust, Inc. (NYSE:RWT) enters our list of 14 best cheap dividend stocks to buy under $10. The company’s second-quarter earnings call highlights a significant net loss while it moves toward debt restructuring.
Redwood Trust, Inc. (NYSE:RWT) is a specialty finance company focused on investing in residential and commercial real estate. The company was founded in 1994 with its headquarters in California. Operating through four segments: Sequoia Mortgage Banking, CoreVest Mortgage Banking, and Redwood Investments, the company primarily invests in mortgage loans and other real estate-related assets, including jumbo residential loans and small-balance commercial loans.
On July 30, 2025, Redwood Trust, Inc. (NYSE:RWT) announced a GAAP Net loss of $100.2 million or $0.76 per share for the second quarter. On a positive note, the mortgage banking revenue saw an increase of 88% compared to the same period last year. The earnings call for Q2 2025 also included a note of the company’s repurchase of 2.4 million shares from the start of the second quarter.
Recently, on August 25, 2025, the company announced the issuance of $50 million in 7.75% Convertible Senior Notes due 2027. The notes were issued in addition to the series of notes originally issued in 2022 and 2024, increasing the total outstanding notes to $297.17 million. Though it elevates the company’s unsecured debt obligations, the conversion options and redemption rights allow some flexibility in managing them.
Redwood Trust, Inc. (NYSE:RWT) offers an attractive dividend yield of 11.96%, while being available at a closing price of $6.02.
4. Brandywine Realty Trust (NYSE:BDN)
Dividend Yield: 14.25%
Closing Share Price as of August 28, 2025: $4.22
Brandywine Realty Trust (NYSE:BDN) secures a spot in our list of 14 best cheap dividend stocks to buy under $10. The company’s dividend yield stands strong despite mixed earnings results for the second quarter of 2025.
Based in Pennsylvania, Brandywine Realty Trust (NYSE:BDN) is a publicly traded REIT that owns, develops, leases, and manages a portfolio of office and mixed-use properties. Founded in 1986, the company’s properties are mostly located in Philadelphia, Pennsylvania; Washington, D.C.; and Austin, Texas.
During the second quarter of 2025, Brandywine Realty Trust (NYSE:BDN) reported a strong quarterly retention rate of 82% alongside a leasing activity elevation of 35% quarter-over-quarter. It also signed a significant 100,000 square foot lease with a tech company at their One Uptown development, which is now 40% leased.
The company’s Q2 earnings call also noted issuance of $150 million in unsecured bonds at a lower effective yield of just over 7%. The proceeds were used to pay off a construction loan, and the company currently has no outstanding balance on its $600 million unsecured line of credit. This improved its unsecured borrowing costs by 20% compared to a previous offering. However, the company lowered its FFO guidance for 2025 to a range of $0.60 to $0.66 per share due to the removal of anticipated gains from land sales.
With mixed results in its last quarter, Brandywine Realty Trust (NYSE:BDN) offers a dividend yield of 14.25% for a closing share price of $4.22.
3. Xerox Holdings Corporation (NASDAQ:XRX)
Dividend Yield: 14.57%
Closing Share Price as of August 28, 2025: $3.90
Xerox Holdings Corporation (NASDAQ:XRX) holds a rank in our list of 14 best cheap dividend stocks to buy under $10. The company strengthens its dividend capabilities amid mixed Q2 results and collaborations with Kyocera.
Connecticut-based company, Xerox Holdings Corporation (NASDAQ:XRX) operates on a global level, providing a range of business services, including digital and print document solutions. The company is known for its printing and copying equipment, software, and services. Its client portfolio is inclusive of both office and production environments.
On July 31, 2025, the company reported a second-quarter revenue of $1.58 billion, beating the analyst estimates of $1.55 billion. However, the company’s adjusted EPS of -$0.64 missed the analyst estimates of $0.07 significantly.
Amid these mixed results from Q2 2025, Xerox Holdings Corporation (NASDAQ:XRX) entered into an agreement with Kyocera Document Solutions to source Kyocera’s cut-sheet inkjet production presses. With this agreement, the company re-enters the cut-sheet inkjet market and expands its product portfolio.
Later, on August 5, 2025, the company’s CFO, Mirlanda Gecaj, purchased 5,179 shares in a total investment of $20,87,1, while Director A. Scott Letier acquired 29,600 shares, in a transaction valued at $116,920, signaling strong confidence in the company’s future progress.
Offering a dividend yield of 14.57%, Xerox Holdings Corporation (NASDAQ:XRX)’s stock is available for purchase for $3.90 as of August 28, 2025.
2. Two Harbors Investment Corp. (NYSE:TWO)
Dividend Yield: 16.50%
Closing Share Price as of August 28, 2025: $9.88
Two Harbors Investment Corp. (NYSE:TWO) is among the list of 14 best cheap dividend stocks to buy under $10. Following mixed second-quarter results, the company entered a settlement agreement resolving all claims.
Founded in 2009, Two Harbors Investment Corp. (NYSE:TWO) is a REIT that invests in residential mortgage-backed securities (RMBS). Its objective is to provide risk-adjusted return to shareholders through dividends and capital appreciation. The company operates from its headquarters located in Minnesota with a portfolio primarily consisting of Agency RMBS, which are issued or guaranteed by a U.S. government agency or government-sponsored enterprise.
The Q2 earnings call released on July 29, 2025, highlighted an improvement in the performance of Agency RMBS spreads with an improvement in the macro environment. While the total economic return was negative at 14.5% including loss contingency accrual, the company noted an increase in its first lien originations by 68% quarter-over-quarter, outpacing the national trend.
Amid these negative returns, on August 20, 2025, the company announced entering into a settlement agreement resolving all claims in its litigation with PRCM Advisers LLC, Pine River Capital Management L.P., and Pine River Domestic Management L.P. by making a one-time cash payment of $375M to Pine River.
Analysts’ ratings are split between Buy and Hold, with a 1-year median price target of 20%. Alongside this potential growth in value, the stock offers a dividend yield of 16.50% at a share price of $9.88 as of August 28, 2025.
1. Icahn Enterprises L.P. (NASDAQ:IEP)
Dividend Yield: 23.20%
Closing Share Price as of August 28, 2025: $8.62
Icahn Enterprises L.P. (NASDAQ:IEP) made its way into our list of 14 best cheap dividend stocks to buy under $10. The company’s financial position improves with the first quarter earnings and the sales completion of $500 million in Senior Secured Notes.
Based in Florida, Icahn Enterprises L.P. (NASDAQ:IEP) is a diversified holding company operating in a wide range of business segments, including energy, automotive, food packaging, metals, and real estate. Founded in 1987, the company is controlled by Carl Icahn and his affiliates, who own approximately 86% of the outstanding depositary units as of June 30, 2025.
Icahn Enterprises L.P. (NASDAQ:IEP) saw an increase in NAV by $252 million from the first quarter. Specifically, the increase in the share price of CVI by 38% contributed to a notable $561 million increase from the first quarter. The company also highlighted in its second-quarter earnings call a 1% growth in revenue in the Auto Service Division in May and June.
Later, on August 19, 2025, Icahn Enterprises L.P. (NASDAQ:IEP) announced the completion of the sale of $500 million in Senior Secured Notes, priced at 99.01% of their face value. The sale led to proceeds of $493 million, which the company intends to use to partially redeem existing 6.250% Senior Notes due 2026.
With these financial developments backing the company, Icahn Enterprises L.P. (NASDAQ:IEP) offers a dividend yield of 23.20%. The stock is available at a cheap price of $8.62 as of August 28, 2025.
While we acknowledge the potential of IEP to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than IEP and that has 100x upside potential, check out our report about this cheapest AI stock.
READ NEXT: 11 Best Energy Dividend Stocks to Invest in and 11 Best Annual Dividend Stocks to Buy According to Hedge Funds.
Disclosure: None. Insider Monkey focuses on uncovering the best investment ideas of hedge funds and insiders. Please subscribe to our free daily e-newsletter to get the latest investment ideas from hedge funds’ investor letters by entering your email below.
