Revealed on November twenty seventh, 2024 by Bob CiuraSpreadsheet knowledge 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.
Nonetheless, the variety of corporations that distribute month-to-month dividends is restricted. You may 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 gives an summary of month-to-month dividend shares, and features a high 10 checklist of month-to-month dividend shares that almost all earnings traders haven’t heard of.
Desk of Contents
Month-to-month Dividend Shares Overview
Month-to-month dividend funds are useful for one group of traders specifically; retirees who depend on dividend shares for earnings.
With that mentioned, month-to-month dividend shares are higher below all circumstances (all the things 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.
Buyers ought to be aware 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.
Because of this, we have now actual issues that many month-to-month dividend payers won’t be able 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 traders ought to fastidiously contemplate earlier than shopping for.
The next checklist 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 checklist excludes extraordinarily speculative month-to-month dividend shares reminiscent of oil and fuel 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 named whole water administration, which suggests it needs to personal all the water cycle.
In essence, that is working water, wastewater, and recycling services 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 folks. It additionally recycles greater than 1 billion gallons of water yearly. The corporate believes it has the capability for a whole lot of 1000’s 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 as a consequence of whole energetic 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 high U.S. markets reminiscent of 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 web 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 Buyers (GROW)
U.S. World Buyers started greater than 50 years in the past as an funding membership. In the present day, it’s a publicly-traded registered funding advisor that appears to supply investing alternatives in area of interest markets all over the world.
The corporate gives sector-specific exchange-traded funds and mutual funds, in addition to an curiosity within the cryptocurrencies area. U.S. World Buyers produced $15 million in annual income in 2023 and has a market capitalization of simply $35 million.
The corporate has a lot 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.
Web earnings remained practically unchanged, primarily as a consequence of decrease advisory charges, decreased funding earnings, and a decline in belongings below 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 completely different choices obtainable to farmers, all of that are achieved 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 have 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.
Whole money lease revenues declined, pushed by decrease mounted base money rents, partially offset by further participation rents.
Mounted base money rents have been down primarily from the sale of a big farm in Florida within the first quarter of this 12 months. As well as, Gladstone noticed decrease lease renewal charges on sure properties.
Money move from operations was $1.4 million decrease year-over-year, largely as a consequence of 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 pattern, particularly the excessive development of the inhabitants that’s above 80 years outdated. This development outcomes from the ageing of the newborn 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 increased earnings from beforehand transitioned properties and better earnings from mortgage originations. LTC drastically improved its leverage ratio (Web 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 Industrial (GOOD)
Gladstone Industrial Company is an actual property funding belief, or REIT, that focuses on single-tenant and anchored multi-tenant web leased industrial and workplace properties throughout the U.S.
The belief targets main and secondary markets that possess favorable financial development traits, rising populations, sturdy employment, and sturdy development traits.
Supply: Investor Presentation
The belief’s acknowledged purpose is to pay shareholders month-to-month distributions, which it has achieved for greater than 17 consecutive years. Gladstone owns over 100 properties in 24 states which might be leased to about 100 distinctive tenants.
Gladstone posted second quarter earnings on August sixth, 2024, and outcomes have been higher than anticipated on each the highest and backside strains. Funds-from-operations got here to 36 cents, which was a penny forward of estimates.
FFO was up from 34 cents in Q1, primarily as a consequence of accelerated lease associated to a termination charge 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 america, 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 combination leasable space.
Modiv has practically 43 properties in its portfolio that occupy 4.5 million sq. toes of combination 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 charge earnings was steady at practically $66 million. Whole 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 step 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 growth firm (BDC) that focuses on US-based small- and medium-sized corporations.
Industries which Gladstone Funding targets embrace aerospace & protection, oil & fuel, equipment, electronics, and media & communications.
A rundown of GAIN’s funding course of could 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 adverse.
Gladstone Funding’s adjusted web 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 web 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 growth firm, or BDC, that primarily invests in small and medium companies. These investments are made through a wide range of fairness (10% of portfolio) and debt devices (90% of portfolio), typically with very excessive yields.
Mortgage dimension 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 have been wanting analyst estimates. Web 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. Whole funding earnings, which is a income measure, got here to $23.7 million, down from $25.7 million within the earlier quarter.
Whole repayments and web proceeds have been $12.6 million, down from $86.4 million within the prior quarter. Whole investments at honest worth rose 5.1% quarter-over-quarter to $796 million. Web 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 Know-how Finance (HRZN)
Horizon Know-how Finance Corp. is a BDC that gives enterprise capital to small and medium–sized corporations within the expertise, life sciences, and healthcare–IT sectors.
The corporate has generated engaging danger–adjusted returns by instantly originated senior secured loans and extra capital appreciation by 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 as a consequence of 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.
Web funding earnings per share (IIS) fell to $0.32, down from $0.53 in comparison with Q3-2023. Web 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):
Extra Studying
Month-to-month dividend shares could also be extra engaging for earnings traders as a consequence of their frequent payouts.
Moreover, many month-to-month dividend payers provide traders excessive yields. The mix of a month-to-month dividend fee and a excessive yield may very well be particularly interesting.
We’ve compiled a studying checklist for added dividend development inventory investing concepts:
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