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Cheap FTSE 100 dividend stocks I’d buy today

Following the recent stock crash, there are numerous cheap FTSE 100 dividend stocks on the market. 

These stocks might experience significant uncertainty in the short run. But over the long term, they could deliver substantial recoveries and high total returns, which suggests that now could be an excellent time to buy a basket of these depressed equities.

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As such, here are five cheap FTSE 100 dividend stocks that could be worth adding to a portfolio today. 

Cheap FTSE 100 dividend stocks

If you’re looking for cheap FTSE 100 dividend stocks, one stock you should certainly consider is Vodafone

The telecommunications business is FTSE 100 royalty. Its large subscriber base gives the company a steady stream of cash from which it can pay healthy dividends to investors. 

After falling around 30% year-to-date, the stock appears to offer a wide margin of safety. Moreover, recent declines mean the shares now support a dividend yield of 7.1%. 

Anther business that makes my list of cheap FTSE 100 dividend stocks to buy today is commodity giant Rio Tinto

Rio is one of the world’s biggest producers of iron ore, the key ingredient in steelmaking. So far, the company’s operations have held up relatively well in the coronavirus crisis. 

And management is optimistic about the future. The group’s CEO recently noted that as China’s economy begins to restart, demand for raw materials is booming. 

This implies that the company’s 6.6% dividend yield could be worth snapping up. 

Contracted income 

Pension and savings manager Phoenix is another option. This business buys up books of annuities and life insurance policies from other providers. By bulking these products together, the company can achieve fantastic economies of scale. It also gives the business a steady defensive cash flow. 

With a dividend yield of 8.5%, it seems that now could be the time to buy Phoenix for its income potential. 

No list of cheap FTSE 100 dividend stocks would be complete without mentioning National Grid. Owner of the majority of the electric grid infrastructure in the UK, the company is one of the most defensive stocks in the FTSE 100. 

Shares in the utility have fallen around 10% year-to-date. That implies that they offer a wide margin of safety at current levels. There’s also a dividend yield of 5.3% on offer for investors, compared to the FTSE 100 average of around 4.8%. 

Finally, if you’re interested in FTSE 100 dividend stocks, I’d check out 3i Group. The investment group owns a range of high-quality infrastructure assets as well as private equity businesses.

Over the past few years, the company has produced a steady stream of income for its shareholders. It doesn’t look as if this is going to change anytime soon. Many of 3i’s assets are contracted on multi-year agreements with customers, including public sector bodies. 

With a dividend yield of nearly 5% at the time of writing, it’s worth considering this position for your portfolio. 

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Rupert Hargreaves has no position in any of the shares mentioned. The Motley Fool UK has no position in any of the shares mentioned. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.