Upbound Group Inc.

Nvidia and Upbound are surprisingly cheap stocks in today's investing environment. Nvidia, the world's largest company by market cap, is trading at 23 times this fiscal year's adjusted earnings and just 16 times next year's multiple, with revenue expected to rise 82% this year and 41% next year. Upbound, the parent company of Rent-A-Center, offers a 7.4% dividend yield and trades at a little more than 5 times this year's adjusted earnings, with a payout ratio of just 37% at the midpoint of its guidance. Risks for Upbound include a softening economy, substantial debt, and potential regulatory challenges.

New Federal Reserve Chair Kevin Warsh and the Federal Open Market Committee unanimously voted to hold the federal funds rate steady at 3.5% to 3.75%, a decision that could benefit high-yield dividend stocks like Sirius XM Radio and Upbound. Sirius XM has surged 42% in 2026, offering a 3.8% yield and expecting $1.35 billion in free cash flow this year, while Upbound yields 7.6% and trades at just five times forward earnings. Both companies are sensitive to interest rates, with Sirius XM relying on new-car buyers and Upbound serving cash-strapped customers vulnerable to higher borrowing costs. The rate pause gives investors breathing room to consider these dividend payers amid low fixed-income yields.