Two Cheap Dividend Paying Stocks In UK You Should Buy Right Now

The stock market’s volatility offers a fantastic opportunity to get a good deal. So, in recent days, we’ve been looking for the best FTSE 250 dividend paying stocks to invest in June 2022. We selected two of the best FTSE 250 firms that pay dividends and are also cheap. Let’s jump right in and explore.

Bank of Georgia Group (LON: BGEO)

  • Sector: Bank
  • Price: 1506 GBX 
  • Dividend yield: 2.27%
Best FTSE 250 dividend paying stocks- Bank of Georgia Group price chart

As the global economy splutters, the Bank of Georgia could be in for a rough time in the near future. Furthermore, the stocks of Bank of Georgia may be considered riskier than other banking stocks.

This is owing to Georgia’s reliance on a thriving Russian economy. Restrictions against Russia are posing a significant indirect risk to strong companies like Bank of Georgia.

However, in our opinion, the bank’s low valuation does not adequately reflect the risks it faces. Its current price-to-earnings ratio is only 3.10. This is significantly less than the 7 and 9 times multiples that UK-focused Lloyds and NatWest trade on, respectively.

You should definitely own Bank of Georgia than any of the FTSE 100 banks. The United Kingdom’s economy is experiencing growing challenges, with the Organisation for Economic Co-operation and Development (OECD) estimating a 0% growth rate in 2023.

In addition, we believe the Georgian banking market has better long-term prospects than the UK. In the Eurasian nation, financial product penetration is quite low. And, when personal wealth levels rise dramatically, it appears to be likely to develop strongly from this low foundation.

The Renewables Infrastructure Group (LON: TRIG)

  • Sector: Renewable Energy
  • Price: 132.61 GBX 
  • Dividend yield: 5.11%
The Renewables Infrastructure Group price

This energy producer was chosen because of its increased strength as a result of varying levels of diversification. It has solar, wind, and battery storage assets in its portfolio. As a consequence, it gives you peace of mind in case one source of renewable energy becomes less practical. We also appreciate how its holdings are dispersed throughout Europe. This implies profits aren’t affected by bad weather in one or two places.

The problem with investing in renewable energy stocks is that their operations are costly. It can be costly to keep wind turbines and solar panels in good operating order, especially as extreme weather events become more common.

Nonetheless, we believe that the potential rewards of owning TRIG stocks will outweigh the risk of low profitability owing to high expenses as demand for green energy grows. Under current net-zero ambitions, the International Agency estimates that wind energy generation will need to increase 18% per year between now and 2030.

In fact, given how inexpensive TRIG shares are right now, we recommend adding this dividend paying stocks more to your portfolio. In addition to a high dividend yield, the company has a forward price-to-earnings-growth ratio of only 0.5.

Top 10 Renewable Energy Stocks UK 2022

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