The Best Monthly Dividend Stocks

Enerplus Corp (USA) (NYSE:ERF)

Enerplus Corp (USA) (NYSE:ERF) engages in the exploration and production of oil and gas. The company’s oil and gas assets are located in Willston Basin, Macellus, Waterfoolds, and Deep Basin. Enerplus was founded in 1986 and is headquartered in Calgary, Canada

Enerplus Corp (USA) (NYSE:ERF) is an oil and gas E&P company. Like most other companies in the sector, ERF has been hammered by the market depressing the share price and raising the dividend yield. The company is not able to cover the dividend payment and currently has negative earnings. Until the oil and gas market prices firm up, ERF will continue to suffer. This stock is suitable only for investors comfortable with speculative investments.

Shaw Communications Inc (USA) (NYSE:SJR)

Shaw Communications Inc (USA) (NYSE:SJR) operates as a diversified communications and media company, providing consumers with broadband cable television, Internet, home phone, telecommunications services, satellite direct-to-home services and engaging programming content. SJR operates through three segments: Cable, Satellite and Media. The Cable segment includes cable television, Internet, digital phone and Shaw business operations. The Satellite segment comprises of direct-to-home and satellite services. The Media segment engages in the business of television broadcasting. The company was founded by James Robert Shaw on December 9, 1966 and is headquartered in Calgary, Canada.

Shaw Communications Inc (USA) (NYSE:SJR) is a large cap telecommunications company but is the smallest of the four major telecom companies in Canada. The company currently offers a 5% dividend with a very comfortable 58% payout ratio and a P/E of 10.7. The company is planning for significant growth in its Canadian operations. Analysts’ ratings of SJR are generally favorable. I don’t currently own SJR but I do have it on my watch list. Investors should note that currently the Canadian loonie is weak compared to the US dollar due to Canada’s economy. When Canada’s economy picks up (e.g. when crude oil prices recover), the loonie will also strengthen and the value of investments in Canadian companies will rise as will the US dollar value of their dividends.

New York REIT Inc (NYSE:NYRT)

New York REIT Inc (NYSE:NYRT) is a real estate investment trust which acquires income-producing commercial real estate including office and retail properties in New York. The company was formerly known as American Realty Capital New York Recovery REIT, Inc. New York REIT was founded on October 6, 2009 and is headquartered in New York, NY.

New York REIT Inc (NYSE:NYRT) is a mid cap equity REIT with a portfolio of class A properties. It is a relatively new REIT and, as such, does not yet have a credit rating. It offers a 4% dividend yield and favorable analyst ratings but its FFO dividend payout ratio is pretty thin at 94%. This REIT is more suited to risk tolerant investors and I would add that I don’t believe the current dividend offers sufficient compensation for the additional risk of owning this new unrated REIT. A recent article published on Seeking Alpha makes the case for NYRT’s valuation based on the quality of the properties in its portfolio. For those interested in following up on NYRT, the article can be found here.

Atlantic Power Corp (NYSE:AT)

Atlantic Power Corp (NYSE:AT) is a monthly dividend stock that owns and operates a fleet of power generation assets in the United States and Canada. Its power generation projects sell electricity to utilities and other large commercial customers under long-term power purchase agreement. It operates through the following segments: East U.S., West U.S., Canada, and Un-Allocated Corporate. The company was founded on June 18, 2004 and is headquartered in Dedham, MA.

Atlantic Power Corp (NYSE:AT) has fallen on hard times. As a merchant fleet operator (unregulated), it sells electricity at market rates. Electricity rates have fallen across the country recently mainly because the price of natural gas has been hovering around $2/MBtu for the last couple of years. AT’s current share price reflects a company under stress and not one I would invest in at this time.