3 Blue-Chip Dividend Stocks Trading at Multiyear Lows

Buying a dividend stock at a cheap valuation can be a great move for several reasons. If a stock has declined in price but management has maintained its payout, new buyers can get a higher-than-usual yield from the investment. And if the underlying business is still in good shape, the share price decline may not be a lasting one -- so investors could profit from buying the stock and holding on for the eventual rebound.

Three stocks that may be underrated options for dividend investors to consider today are PepsiCo (NASDAQ: PEP), United Parcel Service (NYSE: UPS), and Merck (NYSE: MRK).

Shares of beverage and snack giant PepsiCo haven't traded at this price since 2021, and its price-to-earnings (P/E) ratio has only been this low a couple times in the past five years.

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Source Fool.com