5 Affordable Dividend Stocks Under $50 Worth Buying Now

Looking to build sustainable wealth through dividend income without breaking the bank? The beauty of the stock market is that premium dividend opportunities aren’t exclusively reserved for expensive blue-chip stocks. In fact, some of the most compelling investment cases today come from quality companies trading well below the $50 mark, offering dividend yields that exceed 5% while still maintaining meaningful growth potential. For investors with limited capital or those simply seeking better value, this combination presents a powerful wealth-building opportunity—combining immediate income with the possibility of share price appreciation.

The key is identifying which sub-$50 stocks offer genuine value rather than just cheap valuations. This requires looking beyond yield alone and examining the underlying business fundamentals, competitive positioning, and future growth catalysts. Below, we’ve identified five compelling candidates that check all the boxes.

Pharmaceutical Leaders Adapting to Market Changes: Pfizer and Bristol-Myers Squibb

Pfizer (NYSE: PFE) represents a fascinating opportunity for patient investors willing to ride out a significant corporate transition. The company has faced considerable headwinds since its pandemic-era windfall, transitioning from a $100 billion revenue powerhouse to a company expected to generate under $60 billion annually in the near term. However, this narrative shift has created an opportunity: Pfizer’s dividend yield now exceeds 6%, providing substantial current income while the company executes its turnaround strategy.

What makes Pfizer compelling for investors seeking stocks under $50 to buy now is its underlying assets. The company’s acquisition of Seagen bolsters its oncology portfolio, and Wall Street analysts project the stock could appreciate toward the $32-$36 range as these strategic initiatives bear fruit. The dividend remains secure, making this a reasonable income play during a reorganization period.

Bristol-Myers Squibb (NYSE: BMY) follows a similar playbook but with different dynamics. While higher interest rates have increased the company’s debt refinancing costs and triggered analyst downgrades, the underlying business demonstrates resilience. The company exceeded guidance in recent quarters, suggesting market pessimism may be overdone. More importantly, BMY announced multiple multibillion-dollar acquisitions that position the company for growth in cancer therapeutics and mental health treatments—high-growth therapeutic areas.

At current levels with a 5.5% dividend yield, BMY offers compelling value for those willing to accept some near-term volatility while the company works through its debt dynamics. The 5 stocks under $50 category includes these pharma plays because they combine current income with meaningful long-term appreciation potential.

The Telecommunications Opportunity: AT&T, Verizon, and Orange

Telecommunications stocks have become reliable dividend-paying vehicles, and several quality options remain undervalued. AT&T (NYSE: T) trades below $50 and delivers a dividend yield exceeding 5%, similar to Verizon (NYSE: VZ). However, AT&T may offer superior upside potential. While Verizon has appreciated during recent periods, AT&T has lagged despite maintaining a healthy payout ratio and solid fundamental position.

This divergence creates opportunity. AT&T’s undervaluation relative to its earnings suggests the market has been overly pessimistic about the company’s growth prospects in a competitive industry. For investors seeking stocks under $50 to buy now, AT&T presents the dual benefit of steady dividend collection while waiting for market recognition of fair valuation.

Orange (NYSE: ORAN) provides international diversification within the telecommunications sector. Operating across Europe and Africa, Orange demonstrates fundamental strength evident in its most recent earnings—revenues grew 3.5% while earnings expanded 4%. The company trades near $11 per share, offering a remarkably low entry point for a 6.7% dividend yield. Orange has also demonstrated business discipline, maintaining profitable segments while exiting underperforming operations.

For investors emphasizing income with minimal downside risk, these three telecommunications stocks under $50 represent compelling current opportunities.

Infrastructure and Technology: Brookfield Infrastructure Partners and ASE Technology

Brookfield Infrastructure Partners (NYSE: BIP) operates a diversified portfolio spanning utilities, transportation, midstream energy, and data infrastructure—assets that underpin modern economies. Trading near $29 per share, BIP delivers a 5.5% dividend yield while offering meaningful appreciation potential. Wall Street estimates suggest targets ranging from $34 to $40, and the recent $13.3 billion acquisition of Triton, the world’s largest shipping container lessor, positions the company to capitalize on ongoing infrastructure and supply chain upgrade needs.

For those specifically seeking 5 stocks under $50 to buy now with infrastructure exposure, BIP represents a particularly compelling case given its combination of current yield, diversified asset base, and secular growth tailwinds from supply chain resilience investments.

ASE Technology (NYSE: ASX) offers exposure to semiconductor packaging—a sector positioned to benefit substantially from artificial intelligence demand. While recent revenue growth has been modest at 2.8% year-over-year, computing revenues surged 50% during the most recent quarter, growing from 8% to 12% of the company’s revenue mix. The company appears poised to redirect resources toward this high-growth opportunity.

Trading with a 5.4% dividend yield, ASE Technology represents a more speculative holding within the sub-$50 universe. However, the combination of current income, reasonable valuation, and exposure to the artificial intelligence opportunity creates compelling risk-reward dynamics for growth-oriented dividend investors.

The High-Yield Outlier: British American Tobacco

British American Tobacco (NYSE: BTI) stands apart in this portfolio as the highest-yielding opportunity, currently delivering a 10% dividend yield supported by robust 19% free cash flow generation. Analysts project potential appreciation of 30% or more, and the company’s ownership stake in India’s ITC—valued at approximately $66 billion—provides additional asset value.

British American Tobacco demonstrates excellent capital allocation discipline, systematically selling appreciated assets while repurchasing undervalued shares. The company’s successful transition into e-cigarettes and non-combustible nicotine products validates its strategic evolution. For conservative investors seeking meaningful current income alongside capital appreciation potential, BTI exemplifies why 5 stocks under $50 to buy now deserve consideration despite tobacco industry skepticism.

Why Now?

The current market environment has created a rare opportunity: quality companies offering 5%+ dividend yields trading well below $50. These aren’t distressed situations requiring turnaround faith, but rather well-established businesses facing temporary market indifference or industry headwinds. Whether your investment timeline spans five years or five decades, coupling current dividend income with patient capital allocation positions investors to benefit from both current yield and future price appreciation. The combination of affordability and income makes these stocks worth serious consideration for wealth-conscious investors.