Investing
5 Stocks Under $30 Paying Big Dividends and Poised To Explode Higher
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While Most of Wall Street focuses on large and mega-cap stocks, as they provide a degree of safety and liquidity, many investors are limited in the number of shares they can buy. Some of the most significant public companies, especially the technology giants, trade in the low to mid-hundreds to close to $1000. It’s hard to get decent share count leverage at those steep prices.
Many investors, especially more aggressive traders, look at lower-priced stocks to make good money and get a higher share count. That can help the decision-making process, especially when you are on to a winner, as you can always sell half of the position and keep half.
We screened our 24/7 Wall St. equity research database, looking for companies that could offer patient investors enormous returns for the rest of 2024 and beyond, and found five under $30 that look like big winners. While these are hardly penny stocks, for lower-price stock skeptics, many of the biggest companies in the world, including Apple, Amazon, and NetFlix, all traded in single digits at once.
Enterprise Products Partners
This company is one of the most significant publicly traded energy partnerships and a leading North American provider of midstream energy services to producers and consumers, delivering a strong 7.23% dividend. Enterprise Products Partners L.P. (NYSE: EPD) provides various midstream energy services, including:
- Gathering, processing, transporting, and storing natural gas
- Natural gas liquids (NGL) fractionation
- Import and export terminalling
- Offshore production platform services
The company has four reportable business segments:
- Natural Gas Pipelines and Services
- NGL Pipelines and Services
- Petrochemical Services
- Crude Oil Pipelines and Services
One of the reasons many analysts may like the stock might be its distribution coverage ratio. The company’s distribution coverage ratio is well above 1x, making it relatively less risky in the MLP sector.
Leggett & Platt
While somewhat off-the-radar, this stock has almost been cut in half over the last year, offering massive upside potential and a fat 8.92% dividend. Leggett & Platt Incorporated (NYSE: LEG) designs, manufactures, and markets engineered components and products worldwide.
It operates through three segments:
- Bedding, Specialized Products
- Furniture, Flooring
- Textile Products
The company offers:
- Steel rods, drawn wires, foam chemicals, and additives
- Innerspring, specialty foams, private label finished mattresses, mattress foundations
- Wire forms for mattress foundations, adjustable beds, industrial sewing and quilting machines
- Mattress packaging and glue drying equipment, machines to produce innerspring for industrial users of steel rods and wires, manufacturers of finished bedding, big box and e-commerce retailers, bedding brands and mattress retailers, department stores, and home improvement centers.
Leggett & Platt also provides:
- Mechanical and pneumatic lumbar support and massage systems for automotive seating
- Seat suspension systems
- Motor actuators and cables
- Titanium, nickel, and stainless steel tubing, formed tubes, tube assemblies
- Flexible joint components for fluid conveyance systems and engineered hydraulic cylinders to automobile OEMs and Tier 1 suppliers, aerospace OEMs and suppliers, and mobile equipment OEMs
Lincoln National
Insurance always stays in style, and this is one of the top companies in the industry and pays a strong 6.50% dividend. Lincoln National Corporation (NYSE: LNC) operates multiple insurance and retirement businesses in the United States through its subsidiaries.
It operates through four segments:
- Annuities
- Retirement Plan Services
- Life Insurance
- Group Protection
The Annuities segment offers variable, fixed, and indexed variable annuities.
The Retirement Plan Services segment provides employers with retirement plan products and services primarily in the defined contribution retirement plan marketplace.
This segment offers:
- Individual and group variable annuities
- Group fixed annuities
- Mutual fund-based programs and a range of plan services, including plan recordkeeping, compliance testing, participant education, and trust and custodial services.
The Life Insurance segment provides life insurance products, including:
- Term insurance,
- Single and survivorship versions of universal life insurance
- Variable universal life insurance
- Indexed universal life insurance products and a critical illness rider.
Premier Financial
Trading below $20 and paying a rich 6.42% dividend, this stock is breaking out. Premier Finacial Corp. (NASDAQ: PFC) provides various banking services.
The company offers:
- Checking,
- Money market
- Savings accounts
- Certificates of deposits
- Certificates of deposit account registry service and investment products
Premier Finacial also provides residential and commercial real estate, commercial construction, home improvement and home equity, and consumer loans.
In addition, it invests in:
- U.S. treasury and federal government agency obligations
- Obligations of states and political subdivisions
- Mortgage-backed securities issued by federal agencies
- Collateralized mortgage obligations
- Corporate bonds
Further, the company offers:
- Property and casualty, life, and group health insurance agency services;
- Mezzanine funding services
- Online banking services, which include mobile banking, person-to-person payments, online bill pay, and online account opening, as well as the MoneyPass ATM network
It operates in:
- Ohio
- Michigan
- Indiana
- Pennsylvania
- West Virginia
UGI Corporation
While somewhat unknown, this company trades 35% below the 52-week high and pays a fat 6.10% dividend. UGI Corporation (NYSE: UGI) distributes, stores, transports, and markets energy products and related services in the United States and internationally.
The company operates through four segments:
- AmeriGas Propane
- UGI International
- Midstream & Marketing
- UGI Utilities
It distributes propane to approximately 1.3 million residential, commercial/industrial, motor fuel, agricultural, and wholesale customers through 1,400 propane distribution locations.
The company distributes liquefied petroleum gases (LPG) to:
- Residential
- Commercial
- Industrial
- agricultural
- Wholesale
- Automobile fuel customers
- Provides logistics, storage, and other services to third-party LPG distributors
In addition, it engages in the retail sale of natural gas, liquid fuels, and electricity to approximately 12,400 residential, commercial, and industrial customers at 42,000 locations.
Further, the company distributes natural gas to roughly:
- 677,000 customers in eastern and central Pennsylvania counties through its distribution system of approximately 12,500 miles of gas mains. It supplies electricity to roughly 62,600 customers in northeastern Pennsylvania through 2,560 miles of lines and 14 substations.
Additionally, it operates electric generation facilities, which include:
- Coal-fired,
- Landfill gas-fueled
- Solar-powered and natural gas-fueled facilities
- Natural gas liquefaction, storage, and vaporization facility
- Propane storage and propane-air mixing stations
- Rail transshipment terminals.
It manages natural gas pipeline and storage contracts; develops, owns, and operates pipelines, gathering infrastructure, and gas storage facilities.
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