For investors seeking consistent monthly income and portfolio diversification, this list of five cheap monthly dividend stocks offers attractive options. Itau Unibanco Holding (ITUB), a leading Brazilian financial institution, boasts a 6.3% dividend yield. Apple Hospitality REIT (APLE) and LTC Properties (LTC) are REITs providing 6.5% and 6.8% yields, respectively, from their diverse real estate portfolios. Gladstone Investment Corporation (GAIN), a business development company, yields 6.8%, while Modiv Industrial (MDV) offers a 7.7% dividend. These companies demonstrate stability, growth, and reliable payouts – key factors when further exploring income-generating investments.
1. Itau Unibanco Holding (ITUB)
Although Itau Unibanco Holding (ITUB) is a leading financial institution in Brazil, it offers an attractive dividend yield of 6.3%, providing income potential for investors seeking monthly dividends.
In Q4 2023, the company reported a 4.0% increase in its recurring managerial result, showcasing its improved financial performance. This growth was driven by an expansion in Itau Unibanco’s loan and credit card portfolios, with the personal loans margin increasing by 2.9%.
As a focused player in the Brazilian market, Itau Unibanco is known for its stability and consistent dividend payouts, making it a compelling addition to the portfolio of investors seeking monthly dividend income.
With its strong market position and robust financial metrics, Itau Unibanco Holding (ITUB) presents an attractive opportunity for those looking to enhance their portfolio with a dividend-paying stock that can provide a steady stream of monthly income.
2. Apple Hospitality REIT (APLE)
Apple Hospitality REIT (APLE) is a real estate investment trust (REIT) that owns a diverse portfolio of 225 hotels with 29,900 guest rooms across 38 states in 88 markets, providing investors with an attractive dividend yield of 6.5%. As a monthly dividend stock, APLE can enhance your portfolio with consistent payouts, making it an appealing option for income-seeking investors.
The company’s strong performance in Q4 2023 is a confirmation of its ability to navigate the dynamic hospitality industry. Comparable Hotels Occupancy increased for the full year, indicating the resilience of APLE’s assets and the effectiveness of its management strategies.
This consistent performance allows the company to deliver reliable dividends to its shareholders, further solidifying its position as an attractive monthly dividend stock.
3. Gladstone Investment Corporation (GAIN)
Another monthly dividend stock that merits consideration is Gladstone Investment Corporation (GAIN), a business development company that focuses on investing in small- and medium-sized U.S. companies. GAIN offers an attractive dividend yield of 6.8%, making it a compelling option for income-seeking investors.
In Q3 2023, the company generated a robust $23.1 million in total investment income, showcasing its ability to generate consistent returns. Furthermore, GAIN’s adjusted net investment income-per-share increased by a solid 8%, indicating the company’s strong operational performance.
With a net asset value per share of $13.01, GAIN appears to be trading at a reasonable valuation, providing potential upside for investors. As a monthly dividend stock, GAIN can be a valuable addition to a portfolio, offering a steady stream of income to supplement other investments.
4. LTC Properties (LTC)
LTC Properties (LTC), a real estate investment trust (REIT) that focuses on senior housing and skilled nursing facilities, offers an attractive monthly dividend yield of 6.8%. The company’s portfolio consists of 208 investments across 27 states within the healthcare real estate sector. Despite a dip in Funds from Operations (FFO) per share, LTC Properties has reduced its leverage ratio to a manageable 5.5x.
| Key Metrics | Values |
|---|---|
| Monthly Dividend Yield | 6.8% |
| Number of Investments | 208 |
| Geographic Footprint | 27 States |
| Sector Focus | Healthcare Real Estate |
| Leverage Ratio | 5.5x |
With its emphasis on stability and income generation, LTC Properties presents a compelling opportunity for investors seeking a monthly dividend stream and exposure to the growing senior housing and skilled nursing real estate market. The company’s prudent financial management and diversified portfolio make it a potential addition to a well-rounded dividend stock portfolio.
5. Modiv Industrial (MDV)
Consistently, Modiv Industrial (MDV) offers a compelling dividend yield of 7.7%, making it an attractive option for income-seeking investors. The company owns 44 strategically essential single-tenant net-lease properties spanning 4.6 million square feet across the United States. With a focus on investment-grade tenants, Modiv Industrial aims to provide stable and reliable monthly dividend payouts.
Modiv Industrial’s portfolio diversification and emphasis on essential properties contribute to its appeal as a monthly dividend stock. The company’s net-lease properties, which are critical to the operations of its tenants, guarantee a steady stream of rental income, supporting its ability to maintain consistent monthly dividend payouts.
For investors seeking a monthly income stream with a decent yield, Modiv Industrial (MDV) presents a compelling investment opportunity that can enhance their portfolio’s overall performance and stability.
Frequently Asked Questions
What Stocks Pay the Best Monthly Dividends?
Several stocks that pay the best monthly dividends include LTC Properties, EPR Properties, Fortitude Gold Corp., and PennantPark Floating Rate Capital, offering yields ranging from 6.3% to 10.6%. Investors can consider these options to generate a steady stream of monthly income.
What Are the Cheapest Stocks That Pay the Highest Dividends?
The cheapest stocks that pay the highest dividends are those with sustainable business models, strong financials, and consistent dividend payouts. Investors should research factors like yield, payout ratio, and share price to identify the most attractive monthly dividend stocks.
What Are the Top 5 Dividend Stocks to Buy?
Based on the background information provided, the top 5 dividend stocks worth exploring are LTC Properties (6.8% yield), Gladstone Commercial (8.2% yield), EPR Properties (8.3% yield), Fortitude Gold Corp. (9.9% yield), and Horizon Technology Finance (11.3% yield).
What Are the Three Dividend Stocks to Buy and Hold Forever?
For long-term buy-and-hold investment, Verizon Communications, Johnson & Johnson, and Altria Group are three top dividend stocks worth exploring. These companies offer stable cash flows, strong economic moats, and attractive dividend yields between 3-6%.