Seeking Higher Income? Three US Dividend Stocks Below $30 Delivering 7%+ Yields

When building a portfolio focused on steady income, finding reliable dividend payers trading at reasonable prices becomes essential. The stocks that consistently reward shareholders through growing distributions often signal strong financial health and sustainable business models. Beyond current income, these companies frequently offer capital appreciation potential, while their steady payouts can serve as a hedge against inflation. Three stocks currently trading under $30 have recently emerged as particularly attractive for income-focused investors: Energy Transfer (ET), Ares Capital Corporation (ARCC), and CTO Realty Growth (CTO). Each delivers yields exceeding 7%, coupled with proven track records of dividend reliability and growth.

Energy Transfer: Infrastructure Strength Meets Consistent Payouts

Energy Transfer (ET) operates as a critical piece of US energy infrastructure, managing the transportation and storage networks for natural gas, crude oil, natural gas liquids, and refined products across the country. The company’s strategic advantage lies in its sprawling asset base—positioned throughout every major production basin in the US with direct access to domestic consumption centers and export hubs.

What makes ET particularly appealing for income investors is its earnings composition. Approximately 90% of revenues flow from fee-based contracts rather than commodity exposure. This structural advantage insulates the company from energy price fluctuations, creating a predictable earnings foundation that reliably supports dividend payments. The company maintains a strong customer base with solid credit ratings, further reinforcing cash flow stability.

ET’s dividend commitment is tangible: shareholders receive a quarterly distribution of $0.3175 per share, translating to a 7.8% current yield. Management has outlined plans for 3-5% annual dividend growth going forward. The analyst community reflects confidence in this thesis, with 13 of 15 covering analysts recommending “strong buy” ratings, while one suggests “moderate buy” and one maintains a “hold.” The consensus price target of $18.92 suggests roughly 15.5% appreciation potential from present levels.

Ares Capital: Alternative Lending Delivers Dividend Growth

Ares Capital Corporation (ARCC) specializes in direct lending to privately-held middle-market companies, positioning itself as a business development company in an attractive sector. What distinguishes ARCC from peer alternatives is its dividend growth trajectory over the past decade—outpacing competitors while simultaneously increasing shareholder returns.

The company’s portfolio construction emphasizes less cyclical business segments, providing defensive characteristics during market turbulence. This defensive tilt, combined with robust demand for alternative capital sources in the middle market, enables consistent earnings generation. Management has demonstrated a decade-long commitment to reliable, growing distributions—a pattern likely to continue given the structural growth in alternative lending.

ARCC presently offers a 9.2% yield, among the highest in this comparison. Wall Street’s analyst consensus backs this opportunity, with eight of thirteen analysts rating it “strong buy,” three suggesting “moderate buy,” and two maintaining “hold” positions. The average price target of $21.81 implies approximately 4% upside from current quotations.

CTO Realty Growth: Real Estate Income with Multi-Decade History

CTO Realty Growth (CTO) operates as a real estate investment trust laser-focused on multi-tenant retail properties in rapidly expanding US markets. The company targets geographic regions experiencing population growth and rising tenant demand, then seeks to enhance returns through lease-up acceleration, property redevelopment, and rental rate optimization.

CTO’s dividend credentials stretch back nearly five decades—the company has paid distributions for 48 consecutive years and increased them for 12 consecutive years. This extended track record provides compelling evidence of business durability. The portfolio of quality retail assets generates substantial cash flow supporting the current 8% yield.

Several factors underpin dividend sustainability. CTO maintains an approximately 92% occupancy rate, manages same-property net operating income growth effectively, and maintains a fortress balance sheet with no near-term debt maturities and strong liquidity. These characteristics position the company favorably for continued dividend growth and distributions.

Analyst sentiment aligns positively, with four of six covering analysts rating CTO “strong buy,” one suggesting “moderate buy,” and one maintaining a “hold.” While the average price target of $19.33 appears roughly in line with current prices, Street-high estimates of $20 imply a potential 5% premium.

The Takeaway

For investors pursuing yield-focused strategies within the US equity market, these three stocks offer combinations of elevated current income—all exceeding 7%—with demonstrated records of dividend reliability and growth. Whether seeking energy infrastructure exposure, alternative lending participation, or real estate diversification, each vehicle provides pathways to enhanced portfolio income with prices remaining under the $30 threshold.