Best UK shares: I’d buy dirt-cheap FTSE 100 dividend stocks today for a passive income


first_imgBest UK shares: I’d buy dirt-cheap FTSE 100 dividend stocks today for a passive income Click here to claim your copy now — and we’ll tell you the name of this Top US Share… free of charge! Peter Stephens | Sunday, 2nd August, 2020 “This Stock Could Be Like Buying Amazon in 1997” Enter Your Email Address I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement. I’m sure you’ll agree that’s quite the statement from Motley Fool Co-Founder Tom Gardner.But since our US analyst team first recommended shares in this unique tech stock back in 2016, the value has soared.What’s more, we firmly believe there’s still plenty of upside in its future. In fact, even throughout the current coronavirus crisis, its performance has been beating Wall St expectations.And right now, we’re giving you a chance to discover exactly what has got our analysts all fired up about this niche industry phenomenon, in our FREE special report, A Top US Share From The Motley Fool.center_img Simply click below to discover how you can take advantage of this. Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee. Our 6 ‘Best Buys Now’ Shares Building a portfolio of UK shares to generate a passive income may not seem all that appealing to many dividend investors. After all, many FTSE 100 shares have cut or cancelled their dividends for 2020 after the recent market crash.However, a number of stocks continue to offer higher income return prospects than other mainstream assets. And over time, the potential for dividends to return across FTSE 100 income stocks seems to be high.5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…And if you click here we’ll show you something that could be key to unlocking 5G’s full potential…As such, now could be the right time to build a dividend portfolio of cheap stocks that can produce a passive income in the long run.Income opportunities among UK sharesThe uncertain economic outlook means that many UK shares have reduced or even postponed their dividends following the market crash. Across the FTSE 100, companies operating in sectors such as banking, housebuilding and many others no longer offer a passive income for dividend investors in the current year.However, this does not mean that it is impossible to build an income portfolio at the present time. A number of FTSE 100 stocks continue to pay their dividends, as coronavirus has not materially affected their financial performances. Those companies operate in sectors such as telecoms, consumer goods and mining. As such, while investors may need to pivot to income-producing sectors, it is still possible to obtain a generous passive income from large-cap shares in 2020.Returning dividendsWhile the recent market crash means that many UK shares are not paying dividends this year, it seems likely that a large proportion of them will return to making shareholder payouts in the medium term.The past performance of the FTSE 100 suggests that a return to growth is very likely. After all, it has always recovered from its various downturns to post new record highs. Similarly, the economy has always bounced back from its variety of recessions. This means that the financial prospects for many dividend shares may be relatively positive, which could allow them to resume making shareholder payouts as their operating conditions improve.Relative appealAlthough it may be more difficult to make a passive income from UK shares at the present time due to reduced choice among dividend-paying stocks, on a relative basis, the FTSE 100 continues to have strong appeal.Other assets such as cash and bonds offer returns that are substantially below 2% in many cases. By contrast, there are a number of stocks that offer significantly higher yields. They also offer the prospect of dividend growth as the economy’s outlook improves, while interest rates could spend a prolonged period at historic lows.As such, now could be the right time to buy UK shares while they are cheap and offer attractive yields relative to other assets. They could produce high total returns that improve your long-term financial prospects. See all posts by Peter Stephenslast_img read more