Interested in the stock market, but don’t want to worry about chasing market gains? Dividend stocks may be just the thing for you. Dividend investing can provide a reliable source of income beyond your current job, much like a “side gig” or “side hustle”, but all you have to do is hold on to them. In fact, one of the best ways to build wealth is with dividend stocks, especially those that will pay you every month just to hold a position. (These are the most searched dividend stocks of 2024.)
Look at Realty Income (NYSE:O | O Price Prediction), for example. With a yield of 5.8%, the real estate investment trust (REIT) has been paying out a monthly dividend for 29 consecutive years. In fact, its latest dividend of $0.264 is payable on January 15 to shareholders of record as of January 2.
Even better, Realty Income has been one of the top performers on the market. Since July, the REIT soared from a low of about $52 to $62.77. So, not only did investors make money from the company’s consistent dividends, but they also made money from stock appreciation.
Of course, Reality Income it’s not the only one. Here are even more that’ll pay you to hold a position.
Why This Matters
Dividends can be a great way to receive a consistent source of side income. In addition, the stock price of dividend-paying companies can also appreciate over time, which could result in potential capital gains. In contrast to the overall stock market, dividend stocks are often much less volatile, which can give you some stability in your finances.
These stocks will supercharge your passive income with monthly dividends:
AGNC Investment Corp. (AGNC)
With a yield of 13.77%, AGNC Investment (NASDAQ:AGNC) is a real estate investment trust (REIT) that invests in residential mortgage-backed securities, where principal and interest payments are guaranteed by the U.S. government or a U.S. government agency. Even better, it’s paying a 12-cent monthly dividend on January 10 to shareholders of record as of December 31.
In addition, the Federal Reserve sparked a rush of homebuyers with recent cuts to interest rates. With more interest rate cuts likely, mortgage demand could push even higher, which is great news for AGNC.
Technically, AGNC has been in a strong uptrend since November, rallying from about $6.25 to $10.60. Now back to $9.65, AGNC is just starting to pivot higher again.
EPR Properties (EPR)
With a yield of just over 7%, EPR Properties (NYSE:EPR) is a REIT that invests in amusement parks, movie theaters, ski resorts, and other entertainment properties. It just declared a monthly dividend of $0.285, which is payable on January 15 to shareholders of record as of December 31.
In addition, analysts at Raymond James just upgraded EPR to a strong buy rating with a $54 price target, all thanks to renewed confidence in box office sales. Even better, EPR expects its holdings to produce $4.76 to $4.96 of funds from operations (FFO) this year. Plus, with plans to spend $200 million to $300 million this year on new properties, that should help it build its FFO and eventually its dividend even more.
Since bottoming out at $39 in June, EPR rallied to a recent high of $49. Now back to $45.20, it’s also a strong buy opportunity again. From here, we’d like to see EPR run back to $49 initially.
Main Street Capital (MAIN)
With a yield of 5.42%, Main Street Capital (NYSE:MAIN) is a business development company that specializes in equity capital for lower-middle market companies.
It also just paid its $0.245 per share dividend on October 15. It paid that again on November 15, and it’ll pay that out again on December 13 for shareholders of record as of December 6.
Additionally, the company just said it sees its net asset value (NAV) increasing to a range of $30.54 and $30.60, which is 2.5% to 2.7% higher than it saw in June 2024. Also, since its stock bottomed out in April 2020 at around $12.17, MAIN rallied to $52.35. From here, we’d like to see it test $60 a share near term.
Agree Realty Corp. (ADC)
Yielding 4.1%, Agree Realty Corp. (NYSE:ADC) is another monthly dividend-paying stock to consider.
A real estate investment trust (REIT), ADC focuses on the ownership, acquisition, development, and management of retail properties net leased to industry-leading tenants. It will pay out a dividend of $0.25 on January 15 to shareholders of record as of January 8; on February 14 to shareholders of record as of February 7; and on March 14 to shareholders of record as of March 7. It will also pay a supplemental cash dividend of $0.30 a share on December 27 to shareholders of record as of December 20.
Analysts at Wells Fargo just initiated an overweight rating on the stock with a price target of $80. KeyBanc analysts also have a buy rating with an $80 price target on ADC. Technically, ADC has been in a strong uptrend since April. After holding support at $54 a share, ADC rallied to a current high of $75.58. From here, if ADC can break above $77.04, we’d like to see it test $85.
Stag Industrial (STAG)
With a yield of 4.13%, Stag Industrial (NYSE:STAG) is a REIT that leases industrial properties, such as warehouses and distribution centers to e-commerce companies. What’s more, it’s also benefiting from consumers shifting to online shopping.
“Current projections estimate that by 2025, online shopping could represent one-quarter of all retail transactions,” says MidMichiganNow.com. “This shift is primarily driven by the convenience of shopping from home, which offers consumers the ability to browse and purchase without the need to travel, endure potential crowds, or face the disappointment of out-of-stock items.” As long as that trend continues, REITs like STAG should benefit.
The REIT also just declared a dividend of $0.1233 payable on December 16 to shareholders of record as of November 29, and on January 15 to shareholders of record as of December 31.
Apple Hospitality REIT (APLE)
With a yield of 5.93%, the Apple Hospitality REIT (NYSE:APLE) holds a strong portfolio of upscale hotels throughout the U.S. At the moment, its portfolio consists of 224 hotels with 30,000 guest rooms in 87 markets and throughout 37 states and the District of Columbia. It also just declared an $0.08 monthly dividend payable on December 16 to shareholders of record as of November 29.
Recent earnings haven’t been too shabby, either. In its second quarter, the REIT posted funds from operations of 50 cents, which was in line. Revenue of $390.08 million, up about 8%, beat by $2.57 million. Helping, the REIT saw comparable hotel occupancy of 80%, which was up more than 2% year over year. Even better, analysts at Oppenheimer reiterated an outperform rating on the stock with a $17 price target.
“According to Oppenheimer, Apple Hospitality REIT’s strengths include a high-quality property portfolio and a dividend that is well-supported by the company’s earnings. Additionally, the firm pointed out Apple Hospitality’s robust balance sheet, which signifies financial stability,” as noted by Investing.com.
Ellington Financial (EFC)
With a yield of 12.55%, Ellington Financial (NYSE:EFC) invests in residential and commercial mortgage loans, residential and commercial mortgage-backed securities, consumer loans and asset-backed securities backed by consumer loans, collateralized loan obligations, non-mortgage and mortgage-related derivatives, debt and equity investments in loan origination companies.
It just declared a monthly dividend of $0.13 payable on January 27 to shareholders of record as of December 31. It’s also benefiting from stronger mortgage demand with the Federal Reserve just starting to cut interest rates.
ARMOUR Residential REIT (ARR)
With a yield of 14.15%, the ARMOUR Residential REIT (NYSE:ARR) invests primarily in fixed-rate residential, adjustable-rate, and hybrid adjustable-rate residential mortgage-backed securities issued or guaranteed by U.S. government-sponsored enterprises or guaranteed by the Government National Mortgage Association.
It also just declared a dividend of $0.14583 payable December 30 to shareholders of record as of December 16. Even better, over the last few weeks, ARR Chairman Daniel Staton bought 10,000 shares of the ARR tock on October 3 at an average price of $19.86 per share. He paid a total of $198,600. Also, on November 7, director Robert Hair bought 2,500 shares of the ARR stock for about $47,700. He now holds 9,023 shares of the ARR stock.
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