10 Penny Stocks that Pay Dividends

In this article, we will be taking a look at 10 penny stocks that pay dividends. To skip our detailed analysis of dividend investing, you can go directly to see the 5 Penny Stocks that Pay Dividends.

Penny stocks usually trade under $5 per share. Generally, most penny stocks are traded through over-the-counter, or OTC, transactions or similar methods. And while these stocks are typically considered to be high-risk, situational factors born through the rise of retail investors in 2020 have begun making them an interesting investment vehicle for many investors.

Small-Cap versus Large-Cap Stocks

While large-cap or blue-chip stocks like Amazon.com, Inc. (NASDAQ:AMZN), Intel Corporation (NASDAQ:INTC), Apple Inc. (NASDAQ:AAPL), and JPMorgan Chase & Company (NYSE:JPM), among others, have typically dominated investor circles in the past, 2020 showed the rise of penny stocks and their popularity. This boom resulted in 10 of the best-performing stocks on the small-cap Russell 3000 share index surging by about 75% during the first three weeks of 2021. Additionally, the retail broker eToro reported the registration of over 380,000 new users in the first two weeks of 2021, adding on to the existing five million users. This growth in the platform’s userbase showcased the immense growth in penny stock popularity among investor circles in 2021.

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Our Methodology

We have included dividend stocks with yields of 2% and above and share prices under $10.

Penny Stocks that Pay Dividends

10. U.S. Global Investors, Inc. (NASDAQ:GROW)

Number of Hedge Fund Holders: 7

Dividend Yield: 1.55%

U.S. Global Investors, Inc. (NASDAQ:GROW), a publicly owned investment manager, primarily deals with investment companies. It offers services to pooled investment vehicles as well, and managed equity and fixed income mutual funds for its clients.

For the third quarter of 2021, our hedge fund data shows seven hedge funds were long U.S. Global Investors, Inc. (NASDAQ:GROW), with a total stake value of $5.1 million.

Story continues

Like Amazon.com, Inc. (NASDAQ:AMZN), Intel Corporation (NASDAQ:INTC), Apple Inc. (NASDAQ:AAPL), and JPMorgan Chase & Company (NYSE:JPM), U.S. Global Investors, Inc. (NASDAQ:GROW) is a stock investors should be on the lookout for today.

Artko Capital, an investment management company, mentioned U.S. Global Investors, Inc. (NASDAQ:GROW) in its fourth-quarter 2020 investor letter. Here’s what they said: