Income investors, including retirees living on fixed incomes, are often frustrated by the fact that while they have to pay bills on a monthly basis, income from investments usually only arrives, at best, on a quarterly basis. One solution that can help is investing in dividend stocks that pay dividends monthly. Of course, you shouldn't invest in a stock just because it pays monthly dividends, but plenty of good stocks also feature the bonus of monthly dividend payments.
SureDividend.com provides a list of all stocks paying monthly dividends, updated weekly. Below we discuss three and their positioning as of October 17, 2018.
Corus Entertainment Inc. (CJREF)
Corus Entertainment was founded in 1999 by JR Shaw with roots through Shaw Communications. It has its headquarters in Toronto Canada. The company is also listed on the Toronto Stock Exchange. Corus Entertainments is focused on mass media and broadcasting. Its business spans across television, radio and content. It owns several networks and radio stations. In content it focuses primarily on family and children with Nelvana and Toon Boom.
Corus has the highest dividend yield among its monthly dividend peers at 26.9%. Its stock is trading at approximately $3.64 in October 2018 on the OTCPK. Corus has a 10.14% total return on a monthly basis (which includes the dividend) but the stock has historically struggled to gain. It reports a ten-year annualized total return of -1.81% and a three-year annualized total return of -18.54%.
Enerplus Corp (ERF)
On a one-year total return basis Enerplus Corp rises to the top of the list with a total return of 28.2%. This stock has a dividend yield of 80 basis points. Its total 12-month dividend is 9 cents. The stock trades at $11.14 on the NYSE.
Enerplus is a Canadian energy company focused on oil and gas drilling and exploration. It is also traded on the Toronto Stock Exchange. The company has its headquarters in Calgary, Alberta, Canada. It reports 75% of production in the United States and 25% is in Canada. Its major land properties are in the Williston Basin, Marcellus region in Pennsylvania, and in Southern Alberta and Saskatchewan, Canada.
In 2018 Capitala tops the list for year to date performance, just ahead of Enerplus with a total return of 25.68%. Capitala has a dividend yield of 11.66%. Its stock is trading at approximately $8.60 on the Nasdaq.
Capitala is an asset manager with $2.7 billion in assets under management. Its business is focused on capital financing. It offers both debt and equity financing. Its target investments include lower middle market companies.