Investors love cheap stocks that they can buy in big chunks for under $10 a share. Yes, you make the same amount of money if you have 10 shares of a $600 stock or 6,000 shares of a $1 stock and both go up 25% — either way, you book $1,500 in gains. But sometimes, the allure of large share allocations is too much for some traders.
Similarly, investors love high-yield stocks. Sometimes these picks have volatile paydays or are risky stocks that only trade a few hundred thousand shares a day. But who can pass up a double-digit yield when 10-year Treasuries yield just 1.6%?
Anyone who has been around Wall Street knows the demand for this kind of commentary. So I figured that in the slow days of August, it might be interesting to marry the two ideas.
Are there any cheap stocks out there paying big (and more importantly, reliable) dividends?
Turns out there are. And while each of these picks is a bit on the more aggressive side, I think this list of five cheap stocks with huge dividends includes some pretty interesting investment opportunities.
If you’re a fan of low-priced stocks or high-dividend stocks, check out this lineup of investments: