Below we present the list of Top 5 Dividend Stocks That Pay Monthly. For our methodology and a more comprehensive list please see Top 10 Dividend Stocks That Pay Monthly. Note that all hedge fund data is based on the exclusive group of 800+ funds tracked by Insider Monkey as part of our market-beating investment strategy.
5. Enerplus Corp (NYSE:ERF)
Canadian oil and gas exploration and development company Enerplus Corp (NYSE:ERF) leads off the second half of our list of the Top 10 Dividend Stocks That Pay Monthly, being owned by 17 hedge funds on September 30.
Enerplus has been paying a monthly dividend in the $0.0069 to $0.0080 range for the past three-plus years, which fluctuates based on the CDN/USD exchange rate at the time. That amounted to a modest annual yield of less than 1.5% throughout much of that multi-year period, but that yield has been steadily increasing since August 2018 as the stock began a precipitous slide in value, declining by 75%. ERF’s annual yield now stands at about 2.8%, with the next dividend payment set to be made on January 15, with an ex-dividend date of December 30.
4. Stag Industrial Inc (NYSE:STAG)
REIT Stag Industrial Inc (NYSE:STAG), which owns a stable of industrial and single-tenant properties in the U.S, ranks fourth on our list, being owned by 19 hedge funds on September 30. Stag will make its next dividend payment on January 15, with the ex-dividend date being December 30.
STAG has fallen short of EPS estimates for seven straight quarters, widely missing the mark in many cases, though the company has been able to maintain its monthly dividend payments throughout that period. Don’t expect much in the way of dividend growth however, as STAG’s dividend has been raised by just 6.7% over the past six years.
3. SL Green Realty Corp (NYSE:SLG)
Hedge fund ownership of SL Green Realty Corp (NYSE:SLG) jumped by 93% during the third quarter of 2019 but has drifted 21% lower in the quarters since. 23 hedge funds were long SLG on September 30. SLG began paying a monthly dividend in April and it’s held steady at $0.2950 since being instituted. Those payments currently amount to a nice annual yield of over 6%.
The majority of the REIT’s commercial properties are in Manhattan, where it ranks as the largest office landlord. While SLG shares have been hit hard this year given the obvious pandemic headwinds, its results haven’t been all that bad. Occupancy rates remain steady at about 95% and its projected 2020 FFO of $6.87 gives it a very sustainable dividend payout ratio of 52%.
2. Realty Income Corporation (NYSE:O)
Hedge fund ownership of Realty Income Corporation (NYSE:O) has steadily increased since the first quarter of 2019, rising by 60% during that time. The REIT, whose shares were owned by 24 hedge funds on September 30, is about as steady of a monthly dividend payer as an investor could hope to find, having made monthly payments to shareholders for over 600 consecutive months, or just over 50 years.
Realty Income’s next monthly payment will be made on January 15 (ex-dividend date December 31) and will amount to $0.2345, equating to an annual yield of about 4.7%. Its dividend payments have been hiked by about 11.9% over the past four years.
1. AGNC Investment Corp. (NASDAQ:AGNC)
AGNC Investment Corp. (NASDAQ:AGNC) tops our list of the Top 10 Dividend Stocks That Pay Monthly, being owned by 32 hedge funds on September 30. We’ve seen a 78% surge in hedge fund ownership of AGNC over the past year, which may be due to the agency REIT’s healthy balance sheet and undervalued stock. AGNC shares currently trade at $15.42, nearly $1 below the company’s estimated tangible net book value as of October 31.
On the downside, AGNC has been forced to cut its dividend payments several times since switching to monthly payments in late 2014, slashing them by a total of 45% during that time. Shares still yield a healthy 9.34% annually, with the next monthly payment of $0.12 scheduled for January 12 (ex-dividend date being December 30).
For more great stock ideas that hedge funds love, check out the Top 10 Stocks To Buy Now According To Secretive Billionaire Quant Hedge Fund Manager.
Disclosure: None.
