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3 Absurdly Cheap Dividend Stocks to Buy With $1,000 Right Now

The article highlights three dividend stocks (NVDA, PFE, PEP, T) with yields ranging from 4.2% to 6.7%, deemed 'absurdly cheap' by Motley Fool analysts.

June 3, 2026
2 min read
Source: Motley Fool
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Key Numbers

dividend yield range
4.2% to 6.7%

According to a report from Motley Fool, three dividend stocks have been identified as 'absurdly cheap' and offer dividend yields between 4.2% and 6.7%. These stocks are suitable for investors looking for steady income with an initial investment of $1,000.

The Stocks Mentioned

  • NVIDIA (NVDA): Despite its tech fame, the stock is considered relatively cheap with a dividend yield of about 4.2%.
  • Pfizer (PFE): The pharmaceutical giant offers a dividend yield of around 5.5% and is seen as a defensive play.
  • PepsiCo (PEP): The beverage and snacks giant yields about 4.8%.
  • AT&T (T): The telecom company offers the highest yield in the group at 6.7%.

Why Are They Cheap?

Analysts point out that these stocks trade at low earnings multiples compared to their historical averages, making them attractive for dividend investors.

What This Means for Investors

These stocks provide a combination of regular income and potential long-term capital appreciation. However, investors should assess sector-specific risks before investing.

Frequently Asked Questions

According to Motley Fool, the stocks include NVIDIA (NVDA), Pfizer (PFE), PepsiCo (PEP), and AT&T (T).

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This article was rewritten in Wrqti's editorial style based on information from the original source above. Content is informational only — not investment advice.