Revealed on November twenty seventh, 2024 by Bob Ciura
Spreadsheet information up to date every day
Most corporations distribute dividends on a quarterly or semi-annual fee schedule, however there are some that pay dividends month-to-month.
Nevertheless, the variety of corporations that distribute month-to-month dividends is restricted. You’ll be able to see all month-to-month dividend shares right here.
It’s also possible to obtain our full Excel spreadsheet of all month-to-month dividend shares (together with metrics that matter, like dividend yield and payout ratio) by clicking on the hyperlink beneath:
This text supplies an outline of month-to-month dividend shares, and features a prime 10 listing of month-to-month dividend shares that almost all earnings buyers haven’t heard of.
Desk of Contents
Month-to-month Dividend Shares Overview
Month-to-month dividend funds are helpful for one group of buyers particularly; retirees who depend on dividend shares for earnings.
With that mentioned, month-to-month dividend shares are higher beneath all circumstances (the whole lot else being equal), as a result of they permit for returns to be compounded on a extra frequent foundation.
Extra frequent compounding leads to higher whole returns, notably over lengthy durations of time.
In fact, there are additionally potential danger components when investing in month-to-month dividend shares.
Traders ought to notice many month-to-month dividend shares are extremely speculative. On common, month-to-month dividend shares are likely to have elevated payout ratios.
An elevated payout ratio means there’s much less margin for error to proceed paying the dividend if enterprise outcomes undergo a brief (or everlasting) decline.
In consequence, we’ve actual considerations that many month-to-month dividend payers will be unable to proceed paying rising dividends within the occasion of a recession.
The next 10 dividend shares pay dividends every month, however have danger components and distinctive enterprise fashions that buyers ought to fastidiously take into account earlier than shopping for.
The next listing is comprised of 10 month-to-month dividend shares with market caps beneath $3 billion, which suggests they’re smaller corporations than the extra widely-followed month-to-month dividend shares.
The listing excludes extraordinarily speculative month-to-month dividend shares akin to oil and gasoline royalty trusts. It additionally excludes mortgage REITs that are additionally high-risk securities.
The ten month-to-month dividend shares you’ve by no means heard of are sorted by dividend yield, from lowest to highest.
Month-to-month Dividend Inventory You’ve By no means Heard Of: World Water Sources (GWRS)
World Water Sources is a water useful resource administration firm. It owns, operates, and manages water, wastewater, and recycled water utilities in Phoenix, Arizona. The corporate’s technique is known as whole water administration, which suggests it desires to personal all the water cycle.
In essence, that is working water, wastewater, and recycling amenities in the identical geographic space to preserve water but in addition maximize the financial worth of water by proudly owning all the life cycle. The corporate focuses on communities the place it expects inhabitants development but in addition the place it expects water demand to exceed provide.
World Water owns 25 water and wastewater utilities in Phoenix and serves greater than 74,000 individuals. It additionally recycles greater than 1 billion gallons of water yearly. The corporate believes it has the capability for a whole lot of hundreds of service connections, however its present scale is kind of small.
Annual income is about $42 million, and the inventory trades with a market capitalization of ~$300 million.
Supply: Investor relations
On November sixth, 2024, World Water reported its Q3 outcomes for the interval ending September thirtieth, 2024. Quarterly revenues fell by 1.5% year-over-year to $14.3 million.
The drop in income was primarily attributable to the popularity of $0.5 million in unregulated income associated to infrastructure coordination and financing agreements (ICFAs) within the third quarter of 2023 that didn’t recur this time round.
Nonetheless, regulated income elevated 2.2% to $14.3 million, primarily attributable to whole lively service connections rising 4.7% to 63,889.
Click on right here to obtain our most up-to-date Certain Evaluation report on GWRS (preview of web page 1 of three proven beneath):
Month-to-month Dividend Inventory You’ve By no means Heard Of: Whitestone REIT (WSR)
Whitestone is a retail REIT that owns about 55 properties with about 5.0 million sq. toes of gross leasable space primarily in prime U.S. markets akin to Texas and Arizona.
Its tenant base may be very diversified consisting of 1,453 tenants with no single tenant exceeding 2.1% of annualized base rental income.
Supply: Investor Presentation
Whitestone reported its third quarter 2024 outcomes on 10/30/24, throughout which it witnessed an occupancy fee of 94.1% versus 92.7% in Q3 2023. For the quarter, income development was 4% to $37.1 million versus Q3 2023.
Funds from operations (“FFO”) rose 11% 12 months over 12 months to $13 million, whereas FFO per share rose 8.7% to $0.25. Similar-store internet working earnings (“SSNOI”) rose 4.6% to $24.2 million.
Rental fee development was 25.3%, down from 24.4% a 12 months in the past, supported by rental fee development in renewal leases at 25.9% versus 24.6% a 12 months in the past and new leases at 22.7% versus 23.6% a 12 months in the past. There have been 26 new leases and 46 renewal leases within the quarter.
Click on right here to obtain our most up-to-date Certain Evaluation report on WSR (preview of web page 1 of three proven beneath):
Month-to-month Dividend Inventory You’ve By no means Heard Of: U.S. World Traders (GROW)
U.S. World Traders started greater than 50 years in the past as an funding membership. As we speak, it’s a publicly-traded registered funding advisor that appears to supply investing alternatives in area of interest markets world wide.
The corporate supplies sector-specific exchange-traded funds and mutual funds, in addition to an curiosity within the cryptocurrencies house. U.S. World Traders produced $15 million in annual income in 2023 and has a market capitalization of simply $35 million.
The corporate has plenty of area of interest merchandise in its portfolio of choices, with the breakdown at roughly two-thirds in gold and pure sources, and the steadiness in rising markets, US fairness and stuck earnings merchandise.
Supply: Investor Presentation
The corporate reported working revenues of $2.6 million for the quarter ending March 31, 2024, down from $3.6 million the earlier 12 months.
Internet earnings remained practically unchanged, primarily attributable to decrease advisory charges, lowered funding earnings, and a decline in property beneath administration (AUM). The corporate’s common AUM was $1.8 billion, ending the quarter at $1.7 billion.
Click on right here to obtain our most up-to-date Certain Evaluation report on GROW (preview of web page 1 of three proven beneath):
Month-to-month Dividend Inventory You’ve By no means Heard Of: Gladstone Land (LAND)
Gladstone Land Company is an actual property funding belief, or REIT, that focuses on the proudly owning and working of farmland within the U.S. The belief owns about 160 farms, comprising greater than 110,000 acres of farmable land.
Gladstone’s enterprise is made up of three totally different choices obtainable to farmers, all of that are performed on a triple-net foundation. The belief provides long-term sale leaseback transactions, conventional leases of farmland, and outright purchases of farm properties. Gladstone’s portfolio has an appraised worth of over $1.5 billion.
Gladstone posted third quarter earnings on November sixth, 2024, and outcomes had been barely higher than anticipated.
Adjusted funds-from-operations, or FFO, was $4.5 million, or 13 cents per share. That was down from $5.4 million, or 15 cents per share, within the year-ago interval.
Complete money lease revenues declined, pushed by decrease mounted base money rents, partially offset by extra participation rents.
Mounted base money rents had been down primarily from the sale of a giant farm in Florida within the first quarter of this 12 months. As well as, Gladstone noticed decrease hire renewal charges on sure properties.
Money move from operations was $1.4 million decrease year-over-year, largely attributable to fee of sure money allowances for 3 particular leases.
Click on right here to obtain our most up-to-date Certain Evaluation report on LAND (preview of web page 1 of three proven beneath):
Month-to-month Dividend Inventory You’ve By no means Heard Of: LTC Properties (LTC)
LTC Properties is a REIT that invests in senior housing and expert nursing properties. Its portfolio consists of roughly 50% senior housing and 50% expert nursing properties.
Similar to different healthcare REITs, LTC advantages from a powerful secular development, particularly the excessive development of the inhabitants that’s above 80 years previous. This development outcomes from the getting older of the infant boomers’ era and the regular rise of life expectancy because of sustained progress in medical sciences.
The REIT owns 194 investments in 26 states, with 31 working companions.
Supply: Investor Presentation
In late October, LTC reported (10/29/24) monetary outcomes for the third quarter of fiscal 2024. Funds from operations (FFO) per share grew 5% over the prior 12 months’s quarter, from $0.65 to $0.68, however missed the analysts’ consensus by $0.01.
The rise in FFO per share resulted primarily from greater earnings from beforehand transitioned properties and better earnings from mortgage originations. LTC drastically improved its leverage ratio (Internet Debt to EBITDA) from 5.3x to 4.2x thanks to varied asset gross sales.
Click on right here to obtain our most up-to-date Certain Evaluation report on LTC (preview of web page 1 of three proven beneath):
Month-to-month Dividend Inventory You’ve By no means Heard Of: Gladstone Business (GOOD)
Gladstone Business Company is an actual property funding belief, or REIT, that focuses on single-tenant and anchored multi-tenant internet leased industrial and workplace properties throughout the U.S.
The belief targets main and secondary markets that possess favorable financial development traits, rising populations, robust employment, and sturdy development traits.
Supply: Investor Presentation
The belief’s acknowledged objective is to pay shareholders month-to-month distributions, which it has performed for greater than 17 consecutive years. Gladstone owns over 100 properties in 24 states which are leased to about 100 distinctive tenants.
Gladstone posted second quarter earnings on August sixth, 2024, and outcomes had been higher than anticipated on each the highest and backside traces. Funds-from-operations got here to 36 cents, which was a penny forward of estimates.
FFO was up from 34 cents in Q1, primarily attributable to accelerated hire associated to a termination payment on a property offered in the course of the quarter. Income was off 4% year-over-year, however nonetheless beat estimates by $1.1 million at $37.1 million.
Click on right here to obtain our most up-to-date Certain Evaluation report on GOOD (preview of web page 1 of three proven beneath):
Month-to-month Dividend Inventory You’ve By no means Heard Of: Modiv Industrial REIT (MDV)
Modiv Industrial acquires, owns, and actively manages single-tenant net-lease industrial, retail, and workplace properties in the USA, specializing in strategically important and mission-critical properties with predominantly investment-grade tenants.
As of its most up-to-date filings, the corporate’s portfolio comprised 44 properties that occupied 4.6 million sq. toes of mixture leasable space.
Modiv has practically 43 properties in its portfolio that occupy 4.5 million sq. toes of mixture leasable space.
Modiv reported its Q3 outcomes for the interval ending September thirtieth, 2024. For the quarter, rental earnings got here in at $11.6 million, down 7.3% year-over-year.
This was primarily as a result of elimination of some non-NNN tenant reimbursements associated to the August 2023 portfolio disposition of 13 properties.
Administration payment earnings was secure at practically $66 million. Complete earnings reached practically $11.7 million, down 7.2% from $12.6 million final 12 months.
AFFO was $3.7 million, or $0.34 per diluted share, in keeping with AFFO of $3.7 million, or $0.33 per diluted share, within the prior 12 months interval.
Click on right here to obtain our most up-to-date Certain Evaluation report on MDV (preview of web page 1 of three proven beneath):
Month-to-month Dividend Inventory You’ve By no means Heard Of: Gladstone Funding Corp. (GAIN)
Gladstone Funding is a enterprise improvement firm (BDC) that focuses on US-based small- and medium-sized corporations.
Industries which Gladstone Funding targets embody aerospace & protection, oil & gasoline, equipment, electronics, and media & communications.
A rundown of GAIN’s funding course of will be seen within the picture beneath:
Supply: Investor Presentation
Gladstone Funding reported its second quarter (Q2 2024 ended September 30) earnings outcomes on November 7. The corporate generated whole funding earnings of $22.6 million in the course of the quarter, which represents a rise of two% in comparison with the prior quarter.
This was a greater efficiency in comparison with the earlier quarter, when the expansion fee was unfavourable.
Gladstone Funding’s adjusted internet funding income-per-share totaled $0.24 in the course of the fiscal second quarter. That was unchanged from the earlier quarter’s stage.
Gladstone Funding‘s internet asset worth per share totaled $12.49 on a per-share foundation on the finish of the quarter.
Click on right here to obtain our most up-to-date Certain Evaluation report on GAIN (preview of web page 1 of three proven beneath):
Month-to-month Dividend Inventory You’ve By no means Heard Of: Gladstone Capital Corp. (GLAD)
Gladstone Capital is a enterprise improvement firm, or BDC, that primarily invests in small and medium companies. These investments are made by way of a wide range of fairness (10% of portfolio) and debt devices (90% of portfolio), usually with very excessive yields.
Mortgage measurement is usually within the $7 million to $30 million vary and has phrases as much as seven years.
Supply: Investor Presentation
Gladstone posted fourth quarter and full-year earnings on November thirteenth, 2024, and outcomes had been wanting analyst estimates. Internet funding earnings, which is akin to earnings, got here to 50 cents per share.
NII was anticipated to be 53 cents, and was down from 57 cents within the prior quarter. Complete funding earnings, which is a income measure, got here to $23.7 million, down from $25.7 million within the earlier quarter.
Complete repayments and internet proceeds had been $12.6 million, down from $86.4 million within the prior quarter. Complete investments at honest worth rose 5.1% quarter-over-quarter to $796 million. Internet asset worth per frequent share was $21.18 in September, up from $20.18 in June.
Click on right here to obtain our most up-to-date Certain Evaluation report on GLAD (preview of web page 1 of three proven beneath):
Month-to-month Dividend Inventory You’ve By no means Heard Of: Horizon Expertise Finance (HRZN)
Horizon Expertise Finance Corp. is a BDC that gives enterprise capital to small and medium–sized corporations within the know-how, life sciences, and healthcare–IT sectors.
The corporate has generated engaging danger–adjusted returns by way of straight originated senior secured loans and extra capital appreciation by way of warrants.
Supply: Investor Presentation
On October twenty ninth, 2024, Horizon launched its Q3 outcomes for the interval ending September thirtieth, 2024. For the quarter, whole funding earnings fell 15.5% year-over-year to $24.6.7 million, primarily attributable to decrease curiosity earnings on investments from the debt funding portfolio.
Extra particularly, the corporate’s dollar-weighted annualized yield on common debt investments in Q3 of 2024 and Q3 of 2023 was 15.9% and 17.1%, respectively.
Internet funding earnings per share (IIS) fell to $0.32, down from $0.53 in comparison with Q3-2023. Internet asset worth (NAV) per share landed at $9.06, down from $9.12 sequentially.
After paying its month-to-month distributions, Horizon’s undistributed spillover earnings as of June thirtieth, 2024 was $1.27 per share, indicating a substantial money cushion.
Click on right here to obtain our most up-to-date Certain Evaluation report on HRZN (preview of web page 1 of three proven beneath):
Further Studying
Month-to-month dividend shares could also be extra engaging for earnings buyers attributable to their frequent payouts.
Moreover, many month-to-month dividend payers provide buyers excessive yields. The mixture of a month-to-month dividend fee and a excessive yield may very well be particularly interesting.
We now have compiled a studying listing for added dividend development inventory investing concepts:
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