Top 5 High-Yield Dividend Stocks Under $20 for Passive Income Investors
Investors seeking passive income streams to supplement their retirement funds have a new opportunity with the upcoming decrease in interest rates. The Federal Reserve is expected to lower rates, making quality dividend stocks more attractive for generating dependable income.
One such stock to consider is Apple Hospitality REIT (NYSE: APLE), which offers a solid monthly dividend of 6.90%. Despite its name, Apple Hospitality is not affiliated with the tech giant but owns a diverse portfolio of upscale hotels across the United States.
Another option for passive income investors is AT&T (NYSE: T), a telecommunications company that provides a 5.65% dividend. AT&T offers a range of services, including wireless voice and data communications, broadband fiber, and video services in Latin America.
For those looking for energy exposure, Energy Transfer L.P. (NYSE: ET) is a top master limited partnership that pays an 8.26% distribution. The company owns and operates a vast portfolio of energy assets in the U.S., including pipelines and storage facilities.
Hercules Capital Inc. (NYSE: HTGC) is another attractive option for passive income seekers, offering a substantial 10.06% dividend. As a non-bank lender to venture capital-backed companies, Hercules provides financing solutions for technology, life sciences, and renewable technology industries.
Lastly, KeyCorp (NYSE: KEY) is a regional bank that pays a 5.27% dividend and offers a range of banking and capital market products and services to individuals and businesses.
With interest rates expected to decline, now is a good time for investors to consider these five must-own stocks for generating passive income. These stocks are rated Buy at major Wall Street firms and offer attractive dividends for income-focused investors.
