This article is going to outline the Best Penny Stocks With Dividends, the benefits and reasons relating to investors investing in this stock type, and true facts on penny stocks with dividends
We’d kick off this discussion by revisiting the basic understanding of what are penny stocks with dividends
Understanding The Basics.
The generalised definition of Penny Stocks simply states that they are stock types that trade below $5. They are, of course, the lowest stock type as regards their value/purchasing price to acquire in the stock market; hence the other name they are known by—Cheap Stocks.
The relevance of Penny Stocks in the global market today is only being started to be observed, as the obvious stereotype generated by ancient investors frowns upon having to keep
Penny Stocks in their portfolio. They believe for such stocks to be sold at a very low price, the company thrives with little to no reasonable amount of growth, development, and productivity.
This might still be relevant in some cases, but it currently doesn’t speak for all penny stock types today. Having to choose from the right source and with the right amount of precautions, investors end up adding penny stocks that boost the portfolio’s value. Now, this leads us to the next terminology we will be discussing.
These are fractional earnings from a company’s total reserved earnings which are ascertained to its respective shareholders either in form of cash or additional shares.
Though investment in dividend-paying stocks might be considered slow, investors still resort to this investment type for a slow but steady addition of value to their portfolio, and of course, steady income flow.
Though, this depends on the dividend return investment type they sign up for, as they vary from annually to quarterly to weekly dividend return investment types.
The main initiative of this article is to discuss worthy and suitable Penny Stocks that pay dividends, and this shall be discussed in the next segment of this article …
List Of Best Penny Stocks With Dividends .
Though the volatility of cheap stocks discourages many, which is a strategic approach, investing in Penny Stocks pays off in the end. Below is a compiled list of Penny Stocks which at the moment, pays dividends.
- Pangaea Logistics Solutions Ltd. (NASDAQ: PANL).
- National CineMedia Inc. (NASDAQ: NCMI).
- ARC Document Solutions, Inc. (NYSE: ARC).
Arc Document Solutions, Inc. (Nyse: Arc).
Kicking off the list is the ARC Document Solutions, Inc. In comparison to other companies that offer its type of service, ARC is quite unique and specific in its services. This is a company whose imitative centers around the handling of architectural documents for certain fields, residential structures excluded.
They also provide problem-solving solutions to fields involving construction and engineering interests. Though this company had experienced a downslide within a space of a few years, they are resuming its stance to riding back up now. This penny stock currently has an estimated dividend yield of about 6%.
National CineMedia Inc. (NASDAQ: NCMI).
This advertising media company has been able to garner gob-smacking financial records over time, and for its spans to cover over 1,500 theatres, it’s fair enough to say that it’s the largest of its kind in the United States.
Another impressing thing to note about this company is their continuous attempts to better their advertising services which they dispense to the public through the theatres you go to watch films. They currently have a dividend yield estimated to be 7%.
Pangaea Logistics Solutions Ltd. (NASDAQ: PANL).
The last penny stock whose company dispenses dividends is the dry-bulk shipping company, Pangaea Logistics Solutions Ltd. Just like the name connotes, this company is quite versatile in the services they render, and having this variety of special offers and services all directed to their large ship fleets—and their customers most importantly—this company is bound to be favored as the rate of demand for dry-bulk goods—coal for instance—continues to increase.
This company currently has a dividend yield of about 4%, and it’s quite advisable for investors to jump right in should they be interested in investing in this company, and the reason behind this is evident in the sudden and momentary increase in the stock price.
The Bottom Line.
Combining the volatility of penny stocks in general to the uncertainty behind the reason for an increase or decrease in a company’s dividend yield can get investors having their fingers pressed on their foreheads, but when there’s a consistent resolve to not succumb to investing blindly in any penny stock that comes by, this might end up paying off in a huge and positive way.
Proper research and knowing the right industry to set your focus on determines just how much chance you as an investor get to watch your portfolio grow in value.