5 Best Dividend Stocks Under $5

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

5. Nordic American Tankers Limited (NYSE:NAT)

Share Price as of October 27: $3.10

Nordic American Tankers Limited (NYSE:NAT) is a Bermuda-based international tanker company that has a fleet of approximately 22 vessels. In September, the company announced a sales agreement for a 2003-built Suezmax tanker. The vessel is being sold for $21 million which will help the company to reduce its net debt.

On September 13, Nordic American Tankers Limited (NYSE:NAT) declared a 50% hike in its quarterly dividend to $0.03 per share. This was the company’s second consecutive quarterly dividend growth. Moreover, the company has been making uninterrupted dividend payments for the past 100 quarters, which makes it one of the best dividend stocks on our list. As of October 27, the stock has a dividend yield of 2.58%.

In September, Jefferies upgraded Nordic American Tankers Limited (NYSE:NAT) to Buy while lifting the stock’s price target to $4. The firm gave a positive outlook on tanker stocks considering growing demand due to the Russian war.

At the end of Q2 2022, 7 hedge funds tracked by Insider Monkey owned stakes in Nordic American Tankers Limited (NYSE:NAT), the same as in the previous quarter. The collective value of these stakes is over $16.8 million. With over 2.7 million shares, Millennium Management was the company’s leading stakeholder.