A quarterly dividend payment from a high-quality stock may be as close to a sure thing as an investor can find on Wall Street. Even during periods of broad market weakness, the lower a stock’s price falls, the higher its dividend yield may rise.
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Unfortunately, companies often cut their dividend payments as the first line of defense when times get tough, and many dividend stocks priced under $10 may not be safe investments. Investors buying cheap dividend stocks should always take a close look at their business fundamentals. Here are six of the best dividend stocks available for about $10 or less, according to Morningstar:
| Stock | Forward Dividend Yield |
| Stellantis NV (ticker: STLA) | 7.4% |
| Nokia Corp. (NOK) | 3.1% |
| Coloplast A/S (OTC: CLPBY) | 3.2% |
| Viatris Inc. (VTRS) | 5.1% |
| Western Union Co. (WU) | 10.6% |
| Grupo Televisa SAB (TV) | 3.8% |
Stellantis NV (STLA)
Stellantis is a global auto manufacturer based in the Netherlands that was formed by the 2021 merger between Groupe PSA and Chrysler. While Stellantis’ business and stock have certainly been underperforming, its slumping share price has raised its dividend yield. Analyst Rella Suskin says the company’s current share price reflects an overly pessimistic outlook. By 2030, Stellantis aims to become the most profitable auto manufacturer in the world and achieve 100% electric vehicle sales in Europe and 50% in the U.S. Morningstar has a “buy” rating and $20.50 fair value estimate for STLA stock, which closed at $10.34 on July 23.
Forward dividend yield: 7.4%
Nokia Corp. (NOK)
Nokia is a telecom equipment and digital map data vendor that also licenses intellectual property to third parties. Analyst Samuel Siampaus says Nokia’s network infrastructure business positions the company to capitalize on booming artificial intelligence and data center demand. Siampaus says the global 5G network buildout will also support demand for Nokia’s telecom equipment products, particularly its software. He says private network and enterprise solutions spending will boost Nokia’s cloud and network services businesses, and software and services revenue will also help diversify Nokia’s business. Morningstar has a “buy” rating and $5.80 fair value estimate for NOK stock, which closed at $4.52 on July 23.
Forward dividend yield: 3.1%
Coloplast A/S (OTC: CLPBY)
Coloplast is a Denmark-based company that develops and provides medical devices and services for ostomy care, continence care, urology, wound and skin care, and other needs. Analyst Debbie Wang says the company’s continence care and advanced wound care businesses have performed well, but its ostomy and interventional urology sales have lagged. Wang says overall revenue growth has been lackluster, but Coloplast has managed to support operating margins by effectively managing expenses. She is optimistic about adoption of Kerecis skin grafts and uptake of Coloplast’s new Luja catheters. Morningstar has a “buy” rating and $14.10 fair value estimate for CLPBY stock, which closed at $9.72 on July 23.
Forward dividend yield: 3.2%
[Read: 7 Dividend Stocks to Buy and Hold Forever]
Viatris Inc. (VTRS)
Viatris is a global generics and biosimilars pharmaceutical company that formed from the 2020 merger of Mylan with Upjohn, Pfizer’s off-patent drug division. Analyst Keonhee Kim says Viatris will likely focus its future pipeline on complex generics to avoid the pricing and margin headwinds associated with easy-to-produce, small-molecule oral tablets. Drugs with complex dosage forms, formulations or administrations are insulated from competition. Viatris also generates revenue from manufacturing off-patent branded drugs. Kim says the off-patent business will focus on specialty drugs that only require small salesforces. Morningstar has a “buy” rating and $14.50 fair value estimate for VTRS stock, which closed at $9.37 on July 23.
Forward dividend yield: 5.1%
Western Union Co. (WU)
Western Union is a leading independent provider of money transfer services. Analyst Brett Horn says Western Union’s underperformance in recent years stems from investor concern that its business is in secular decline, but Horn says the company’s challenges will ease somewhat moving forward. He says the company’s scale advantage will help it fend off potential disruption, but Western Union’s long-term growth prospects are likely limited. Money transfer growth in developing countries remains a tailwind. Morningstar has a “buy” rating and $17 fair value estimate for WU stock, which closed at $8.82 on July 23.
Forward dividend yield: 10.6%
Grupo Televisa SAB (TV)
Grupo Televisa is the largest cable television operator in Mexico, and it holds a minority stake in TelevisaUnivision, the largest Spanish-language media company in the world. The stock is up 45% year to date, the best performance on this list. Analyst Michael Hodel says Grupo Televisa’s outlook will be challenging, but shares are undervalued at current levels. Hodel anticipates Televisa will maintain positive growth in the coming years if it manages costs and capital investments effectively. The company’s ViX streaming service could also be a potential long-term growth driver. Morningstar has a “buy” rating and $5 fair value estimate for TV stock, which closed at $2.45 on July 23.
Forward dividend yield: 3.8%
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6 Best Cheap Dividend Stocks to Buy Under $10 originally appeared on usnews.com
Update 07/24/25: This story was published at an earlier date and has been updated with new information.
