Core Viewpoint - The article discusses five monthly dividend-paying stocks with yields ranging from 5.8% to 16.3%, highlighting their potential for consistent income generation compared to traditional quarterly dividends [2][3]. Group 1: Monthly Dividend Stocks Overview - Monthly Dividend 1: Healthpeak Properties (DOC) is a healthcare REIT with a diverse portfolio of approximately 700 properties, including outpatient medical facilities, laboratories, and senior housing [5]. - Healthpeak announced a switch to monthly dividends starting in April 2025, increasing its dividend from 30 cents to 30.5 cents per share, translating to 10.17 cents monthly [6]. - The payout ratio for Healthpeak is less than 75% of projected adjusted funds from operations (AFFO) for 2025, indicating room for modest dividend growth [7]. Group 2: EPR Properties - Monthly Dividend 2: EPR Properties (EPR) focuses on experiential real estate, with a portfolio of 331 properties, including theaters and recreational facilities [9]. - Theaters account for 36% of EPR's adjusted EBITDA, benefiting from a rebound in box office revenues, with a 7.5% rent increase from AMC kicking in [10]. - EPR is experiencing improving costs of capital, allowing for potential acquisitions, although its price-to-AFFO ratio has increased from 9 to around 12 [11]. Group 3: Gladstone Commercial - Monthly Dividend 3: Gladstone Commercial (GOOD) owns 141 net-leased properties, with an overall occupancy rate of 98.4% [13]. - The company has reduced its exposure to office properties from 65% to 35% of annualized straight-line rent over the past seven years [14]. - Gladstone's monthly dividend is $1.20 annually, with FFO of $1.43 over the trailing 12 months, indicating a payout ratio of 85% [15]. Group 4: Prospect Capital - Monthly Dividend 4: Prospect Capital (PSEC) is a business development company with 114 portfolio investments across 33 industries [16]. - PSEC is currently trading at 46% of NAV, offering a yield above 16%, but has a history of dividend cuts, raising concerns about its sustainability [18]. - The company is viewed as a high-risk investment due to its declining net investment income [18]. Group 5: AGNC Investment Corp. - Monthly Dividend 5: AGNC Investment Corp. (AGNC) is a mortgage REIT with a market cap exceeding $9 billion, focusing on agency mortgage-backed securities [19][21]. - AGNC benefits from a safer investment profile due to government backing of its securities, but faces challenges with high interest rates [22]. - The company is currently trading at less than 6 times earnings estimates, with a dividend coverage ratio of approximately 90% [23].

Core Insights - Investing in dividend-paying stocks is an effective way to generate passive income, with Healthpeak Properties, Realty Income, and Stag Industrial highlighted as top choices for monthly dividends [1] Group 1: Healthpeak Properties - Healthpeak Properties is a REIT focused on the healthcare sector, leasing properties such as outpatient medical buildings and senior housing, providing stable rental income [3] - The company switched to a monthly dividend schedule in April, currently paying $0.10167 per share monthly, equating to an annual payout of $1.22, resulting in a yield of over 7% [4] - Healthpeak's latest dividend rate is 2% higher than in 2024, with an estimated financial flexibility of $500 million to $1 billion for future investments or share repurchases [5] Group 2: Realty Income - Realty Income, known as "The Monthly Dividend Company," declared its 659th consecutive monthly dividend in May, with a payout of $0.2685 per share in mid-June, yielding nearly 6% [6][7] - The company has raised its dividend 130 times since its public listing in 1994, maintaining a consistent increase for the past 110 quarters [8] - Realty Income plans to invest around $4 billion this year, supported by a low payout ratio of 75% of adjusted FFO, allowing for continued portfolio and payout growth [9] Group 3: Stag Industrial - Stag Industrial owns a diversified portfolio of industrial properties, paying about two-thirds of its cash flow in dividends, which allows for over $100 million annually for new investments [10] - The next monthly dividend of $0.12167 per share will be paid on July 15, providing a yield of over 4% at the current share price [10] - Stag Industrial plans to invest between $350 million and $650 million into new properties this year, focusing on stabilized properties and those with redevelopment potential [11] Group 4: Summary of Investment Opportunities - Healthpeak Properties, Realty Income, and Stag Industrial are identified as high-yielding monthly dividend stocks with potential for future growth, making them attractive options for passive income seekers [12]

Group 1 - STAG Industrial (NYSE: STAG) is an industrial REIT that offers monthly dividends, making it attractive to individual investors [1] - The author has previously expressed a bullish thesis on STAG Industrial and holds a personal investment in the company [1] - The focus of the author's investment strategy is on dividend investing, which is viewed as a straightforward path to financial freedom [2] Group 2 - The author has extensive experience in M&A and business valuation, having evaluated numerous businesses and participated in key transactions [2] - The sectors of focus for the author's investment and advisory work include technology, real estate, software, finance, and consumer staples [2] - The motivation for sharing insights on dividend investing is to help others navigate the process and build long-term wealth [2]

Core Viewpoint - Investing in monthly dividend stocks, particularly real estate investment trusts (REITs), provides a reliable source of passive income, making them attractive options for investors seeking regular cash flow [3][12]. Group 1: Monthly Dividend Stocks - Several REITs, including Agree Realty, EPR Properties, and Stag Industrial, offer monthly dividend payments, making them suitable for investors looking for consistent income [3][12]. - Agree Realty has a dividend yield of approximately 4%, significantly higher than the S&P 500's yield of less than 1.5% [4]. - EPR Properties boasts a higher dividend yield of over 7%, focusing on experiential properties like movie theaters and attractions [7]. Group 2: Financial Performance and Stability - Agree Realty maintains a low dividend payout ratio of 72% of its adjusted funds from operations (FFO), allowing for cash retention to invest in additional properties [6]. - EPR Properties expects its payout ratio to be between 69% and 72% of its adjusted FFO, providing a cushion for new investments while covering high-yield payouts [8]. - Stag Industrial has a 74% dividend payout ratio, generating about $95 million in annual free cash flow after dividends, which supports new investments [10]. Group 3: Growth Potential - Agree Realty has demonstrated a 5.5% compound annual dividend growth over the past decade, supported by a stable income from its retail property portfolio [6]. - EPR Properties anticipates annual FFO per share growth of 3% to 4%, aligning with its investment capacity of $200 million to $300 million each year [8]. - Stag Industrial has consistently increased its dividend since going public in 2011, driven by rental increases and value-enhancing acquisitions [11]. Group 4: Investment Strategy - The REITs mentioned are characterized by their ability to generate sufficient cash flow to cover dividends while also investing in portfolio expansion, which contributes to rental income growth [12]. - Agree Realty focuses on single-tenant properties with strong retailers, while Stag Industrial targets industrial properties with potential for higher returns through lease escalations and expansions [5][11].