Grab the 5 Highest-Yielding Monthly Dividend Stocks for Huge Passive Income

Investing

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Published: February 13, 2025 7:47 am

Investors love dividend stocks, especially the ultra-high-yield variety, because they offer a significant income stream and have massive total return potential. Total return includes interest, capital gains, dividends, and distributions realized over time. In other words, the total return on an investment or a portfolio consists of income and stock appreciation.

24/7 Wall St. Key Points:

Interest rates have drifted higher over the past month.
Most dividend stocks only pay quarterly, so monthly pay is a huge plus.
With inflation still hovering at 3%, passive income is a huge plus.
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Why we recommend ultra-high-yield monthly income stocks

A monthly check makes sense for many who have bills and expenses due every 30 days in a world where prices are consistently rising. Items like mortgage payments or rent, utility bills, trash collection, and even grocery bills are always due each month, and a steady stream of passive monthly income can be a huge help in meeting those obligations.

AGNC Investment

a monthly high-yield dividend stock — AGNC Investment provides private capital to the housing market in the United States.

This company has paid solid monthly dividends for years; its current yield is a massive 15.40%. AGNC Investment Corp. (NASDAQ: AGNC) is a real estate investment trust (REIT) in the United States.

The company invests in residential mortgage pass-through securities and collateralized mortgage obligations for which the principal and interest payments are guaranteed by the United States government-sponsored enterprise or by the United States government agency.

AGNC Investment funds its investments primarily through collateralized borrowings structured as repurchase agreements. It has elected to be taxed as a REIT under the Internal Revenue Code 1986. However, it would not be subject to federal corporate income taxes if it distributes at least 90% of its taxable income to its stockholders.

ARMOUR Residential REIT

With a huge 15.24% dividend yield and years of solid performance, this company is a perfect monthly dividend idea. ARMOUR Residential REIT Inc. (NYSE: ARR) invests in residential mortgage-backed securities (MBS) in the United States.

Its securities portfolio primarily consists of securities issued or guaranteed by the U.S. government-sponsored entity (GSE) and the Government National Mortgage Administration backed by fixed-rate, hybrid adjustable-rate, and adjustable-rate home loans, unsecured notes and bonds issued by the GSE and the United States treasuries, and money market instruments.

Ellington Financial

Ellington has been at the forefront of data-driven investing since its founding in 1994.

This quality mortgage REIT company is a favorite across Wall Street and pays a massive 12.75% dividend. Ellington Financial Inc. (NYSE: EFC) Ellington Financial Operating Partnership, acquires and manages mortgage-related, consumer-related, corporate-related, and other financial assets in the United States.

The company develops and manages residential mortgage-backed securities (RMBS) backed by:

Prime jumbo
Alt-A, manufactured housing, and subprime residential mortgage loans
RMBS for which the principal and interest payments are guaranteed by the U.S. government agency or the U.S. government-sponsored entity
Residential mortgage loans
Commercial mortgage-backed securities
Commercial mortgage loans and other commercial real estate debt

Ellington Financial also provides collateralized loan obligations, mortgage-related and non-mortgage-related derivatives, corporate debt and equity securities, corporate loans, and other strategic investments. The company offers consumer loans and asset-backed securities backed by consumer and commercial assets.

EPR Properties

This REIT invests in some of the most popular entertainment companies and pays a solid 7.61% dividend. EPR Properties (NYSE: EPR) is a leading experiential net lease REIT specializing in select enduring experiential properties in the real estate industry.

The company focuses on real estate venues that create value by facilitating out-of-home leisure and recreation experiences where consumers spend their time and money.

EPR Properties has nearly $6.7 billion in total investments across 44 states. It adheres to rigorous underwriting and investing criteria centered on key industry, property, and tenant-level cash flow standards. Senior management believes its focused approach provides a competitive advantage and the potential for stable and attractive returns.

Apple Hospitality REIT

Apple Hospitality REIT Inc. (NYSE: APLE) is a publicly traded real estate investment trust that pays a solid 6.60% dividend and stands out in the market with its unique offering.

Despite its name, it is not affiliated with the technology giant. However, it offers a solid total return potential, owning one of the largest and most diverse portfolios of upscale, room-focused hotels in the United States. Apple Hospitality’s portfolio comprises 220 hotels with over 28,900 guest rooms in 87 markets throughout 37 states and one property leased to third parties.

Concentrated on industry-leading brands, the company’s hotel portfolio comprises: