4 Top Monthly Paying Dividend Stocks to Buy Right Now

Amid the low-interest-rate setting, investing in high-yielding, month-to-month dividend shares can be a superb means to earn secure passive revenue. This article will take a look at 4 Canadian shares that pay month-to-month dividends, with their yields at present standing above 5%.
Pembina Pipeline
Supported by its sturdy fundamentals, Pembina Pipeline (TSX:PPL)(NYSE:PBA) has paid round $9.8 billion as dividends since 1997. Over the final 10 years, the corporate has elevated its dividend at a CAGR of 4.9%, whereas its ahead dividend yield at present stands at 6.56%.
It operates a extremely contracted enterprise, with over 90% of its adjusted EBITDA generated from fee-for-service or take-or-pay contracts, thus delivering stability to its money flows. Rising oil costs, enhancing asset utilization charge, and a robust backlog of development initiatives might drive its financials within the coming quarters.
Further, Pembina Pipeline is engaged on closing the acquisition of Inter Pipeline, which might create one of many largest infrastructure firms in Canada whereas delivering $150-$200 million in annual synergies. The acquisition might improve its month-to-month dividends to $0.23 per share. So, I consider Pembina Pipeline can be a superb purchase proper now.

NorthWest Healthcare
NorthWest Healthcare (TSX:NWH.UN) owns and operates a extremely diversified 186 healthcare properties unfold throughout seven nations. Despite the pandemic, the corporate loved excessive occupancy and assortment charges, delivering secure and predictable money flows. These secure money flows have allowed the corporate to pay a month-to-month dividend at a wholesome yield of 6.14%.
Its inflation-indexed hire, long-term contracts, and government-backed tenants proceed to enhance its financials. (*4*), the corporate is wanting to increase its footprint in Australia and has signed a definitive settlement to purchase Australian Unity Healthcare Property Trust (AUHPT) for $2.6 billion. With a portfolio of 62 healthcare services and buildings, a excessive occupancy charge of 98%, and a weighted common lease expiry of 16 years, AUHPT might considerably enhance NorthWest Healthcare’s financials.
Pizza Pizza Royalty
The pandemic had severely hit the meals providers sector. However, Pizza Pizza Royalty (TSX:PZA) fared higher than its friends due to its extremely franchised enterprise mannequin and its funding in enhancing digital channels. Its inventory worth is buying and selling over 16% larger for this yr, outperforming the broader fairness markets.
(*4*), the uptrend within the firm’s inventory worth might proceed. Amid the widespread vaccination and decline in energetic instances, Canadian provincial governments might loosen up some restrictions within the coming months, thus permitting meals servicing firms to function their dine-in services. The funding in digital channels might proceed to enhance its gross sales within the post-pandemic world additionally. So, Pizza Pizza’s outlook appears wholesome. The firm additionally pays a month-to-month dividend, with its ahead yield at present standing at 6.18%.
Keyera
My closing choose can be Keyera (TSX:KEY), an built-in vitality infrastructure firm, which earns round 70% of its free money flows from long-term contracts. These regular money flows have allowed the corporate to increase its dividend at a CAGR of seven% since 2008. Currently, it pays month-to-month dividends of $0.16 per share, representing a ahead dividend yield of 5.72%.
(*4*), the restoration in demand and financial enlargement are driving oil demand and, in flip, its costs larger, benefiting Keyera. The firm has deliberate to make investments $400-$450 million on development initiatives this yr, contributing to its monetary development. Given its regular money flows, a sustainable payout ratio of 67%, and a wholesome liquidity place of $1.5 billion, I consider Keyera’s dividend is protected.

(*4*), take a look at the next report for the highest 10 shares to purchase this month.

The 10 Best Stocks to Buy This Month

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This article represents the opinion of the author, who could disagree with the “official” suggestion place of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even certainly one of our personal — helps us all suppose critically about investing and make selections that assist us turn out to be smarter, happier, and richer, so we generally publish articles that will not be according to suggestions, rankings or different content material.

The Motley Fool owns shares of and recommends PIZZA PIZZA ROYALTY CORP. The Motley Fool recommends KEYERA CORP, NORTHWEST HEALTHCARE PPTYS REIT UNITS, and PEMBINA PIPELINE CORPORATION. Fool contributor Rajiv Nanjapla has no place in any of the shares talked about.

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