11 Best Stocks Paying Monthly Dividends in 2024

In this article, we will discuss the 11 best stocks that pay monthly dividends in 2024. Skip the detailed analysis of dividend stocks and their performance over the years and read directly. Top 5 stocks that pay monthly dividends in 2024.

S&P Dow Jones Indices reports that dividend income increased from 2.85% in 1981 to 5.89% in 2014, while interest income decreased from 13.5% to 8.6% over the same period. In addition to this, looking back to 1960, 69% of the S&P 500 index’s overall return can be attributed to dividend reinvestment and the compound interest growth it generates over time.

Recently, a new perspective on dividend investing has emerged. Traditionally, investors have tended to lean towards companies that offer large dividends, believing they are more reliable. However, recent research suggests that companies that balance sustainable dividends without paying excessively high dividends actually have better returns over the long term. . The study, conducted by Wellington Management, divided dividend-paying companies into five groups, categorizing them from best to worst based on payout levels. Surprisingly, companies that performed better than the S&P 500 index were classified in the second quintile, not the highest. This unexpected result suggests that some companies may have paid too much in dividends, leaving them with less capital for future growth. On the other hand, companies with more moderate dividends have been able to maintain enough flexibility to reinvest their earnings and continue to provide stable dividends over the long term.

When investing in dividend stocks, apart from a reliable dividend, it’s important to also consider dividend growth. A study conducted by Ned Davis Research found that companies that increased their dividends or started paying dividends had the highest returns and significantly lower volatility compared to other stocks. Additionally, this research highlights the strong relationship between companies that consistently increase their dividends and those that boast strong fundamentals, a clear business strategy, and a genuine dedication to shareholders. Procter & Gamble Company (NYSE:PG), Colgate-Palmolive Company (NYSE:CL), and PepsiCo Inc. (NASDAQ:PEP) stand out as top choices for dividend investors. These companies have demonstrated a strong commitment to their shareholders by continually increasing their dividend payments over the years.

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While it’s difficult to predict stock market performance with absolute certainty, analysts are optimistic about high-dividend stocks in 2024, especially after 2023’s below-average performance. In a Bloomberg Outlook report, Citigroup analysts offer their thoughts on investing in dividend stocks in 2024. 2024. Here are the comments:

While many large companies pay dividends on a quarterly basis, here we will discuss some of the best dividend stocks that pay monthly dividends to their shareholders.

Photo by Dan Dennis on Unsplash

Our methodology:

For this list, we looked at companies that provide monthly dividends to their shareholders. Among these, we specifically selected companies with solid dividend practices that maintain consistent dividends over multiple years. The majority of these selected companies operate within the real estate investment trust (REIT) sector and are required to allocate 90% of their profits to dividends. According to Insider Monkey’s Q3 2023 database, these stocks are ranked in ascending order of the number of hedge funds that own the stock. The top 10 consensus stocks selected by hedge funds outperformed the S&P 500 index by more than 140 percentage points compared to the previous 10 stocks. Year (Please see here for the detail). That’s why we pay close attention to this often ignored metric.

11. Gladstone Commercial Corporation (NASDAQ:GOOD)

Number of hedge fund holders: 5 people

Gladstone Commercial Corporation (NASDAQ:GOOD) is a real estate investment trust (REIT) primarily focused on acquiring, owning, and managing industrial and office real estate. The company’s portfolio typically includes single-tenant and fixed multi-tenant net lease properties. The company currently pays a monthly dividend of $0.10 per share, giving it a dividend yield of 9.68% as of February 23rd.

In addition to popular quarterly dividend stocks such as Procter & Gamble Company (NYSE:PG), Colgate-Palmolive Company (NYSE:CL), and PepsiCo, Inc. (NASDAQ:PEP), GOOD offers income investors .

At the end of the fourth quarter of 2023, five hedge funds tracked by Insider Monkey reported holdings in Gladstone Commercial Corporation (NASDAQ:GOOD), the same as last quarter. The consolidated value of these shares is more than $25.7 million.

10. ARMOR Residential REIT, Inc. (NYSE:ARR)

Number of hedge fund holders: 6 people

ARMOR Residential REIT, Inc. (NYSE:ARR) is a real estate investment trust (REIT) primarily focused on investing in residential mortgage-backed securities (RMBS). These securities are backed by mortgages, usually loans guaranteed by government-backed corporations. On February 14, the company announced a monthly dividend of $0.24 per share, the same as the previous dividend. It has been paying regular dividends to shareholders since 2010, making ARR one of the best dividend stocks that pays a monthly dividend. The dividend yield as of February 23rd is 15.15%.

6 hedge funds in Insider Monkey’s database held shares in ARMOR Residential REIT, Inc. (NYSE:ARR) at the end of Q4 2023, compared to 7 in the previous quarter. The total value of these stakes is approximately $20 million. Among these hedge funds, Baryasny Asset Management was the company’s major shareholder in the fourth quarter.

9. LTC Properties, Inc. (NYSE:LTC)

Number of hedge fund holders: 11 people

LTC Properties, Inc. (NYSE:LTC) is a California-based real estate investment trust specializing in senior housing and healthcare real estate. The company primarily invests in and manages a diverse portfolio of senior housing and long-term care facilities throughout the United States. In the fourth quarter of 2023, the company reported revenue of $50.2 million, representing 5% year-over-year growth. Cash and cash equivalents ended the quarter of $20.2 million, up from $10.3 million in the prior year period.

LTC Properties, Inc. (NYSE:LTC) is one of the highest dividend stocks, with a monthly dividend of $0.19 per share. As of February 23, the dividend yield of the stock was 7.10%.

Insider Monkey’s Q4 2023 database shows that 11 hedge funds hold shares in LTC Properties, Inc. (NYSE:LTC), with the number of shares changing from the previous quarter. not. The total value of these bets is over $27.3 million.

8. Prospect Capital Corporation (NASDAQ:PSEC)

Number of hedge fund holders: 12 people

Prospect Capital Corporation (NASDAQ:PSEC) is a business development company primarily focused on providing debt and equity financing to middle market companies in the United States. As a BDC, the company invests in a wide range of industries and sectors, including manufacturing, healthcare, energy, technology, and consumer goods. On February 9, the company announced a monthly dividend of $0.06 per share, the same level as its previous dividend. The company has paid regular dividends to shareholders for the past 78 consecutive months, making it one of the best dividend stocks on our list. The dividend yield as of February 23rd is 12.54%.

According to Insider Monkey’s database, Prospect Capital Corporation (NASDAQ:PSEC) was in 12 hedge fund portfolios at the end of Q4 2023, up from 9 in the previous quarter. The total value of the shares held by these hedge funds is more than $14.3 million. Marshall Wace LLP held the largest stake in the company in the 4th quarter.

7. Main Street Capital Corporation (NYSE:MAIN)

Number of hedge fund holders: 13 people

Main Street Capital Corporation (NYSE:MAIN) is another business development company on our list of top dividend stocks that pays a monthly dividend. The company provides a variety of financing solutions to its portfolio companies, including first and second lien loans, mezzanine debt, and equity investments. On February 21, the company announced a monthly dividend of $0.24 per share, the same amount as the previous dividend. The company has been paying regular dividends to shareholders since 2007. As of February 23, the dividend yield of the company’s stock was 6.35%.

13 hedge funds in Insider Monkey’s database held investments in Main Street Capital Corporation (NYSE:MAIN) at the end of December 2023, up from 12 in the previous quarter. The consolidated value of these shares is more than $52.8 million.

6. AGNC Investment Corporation (NASDAQ:AGNC)

Number of hedge fund holders: 14 people

AGNC Investment Corp. (NASDAQ:AGNC) ranks #6 on the list of blue-chip dividend stocks that pay monthly dividends. The Maryland-based real estate investment trust invests primarily in government-sponsored mortgage-backed securities (MBS), with an emphasis on investing in residential MBS backed by government-backed companies. The company started its dividend policy in his year 2008 and has continued to pay dividends to shareholders since then. As of February 23, the company is paying a monthly dividend of $0.12 per share, giving it a dividend yield of 15.14%.

The number of hedge funds tracked by Insider Monkey that owns AGNC Investment Corp. (NASDAQ:AGNC) stock was 14 in Q4 2023, down from 18 in the previous quarter. The total value of these stakes is more than $43.4 million. Centiva Capital owns over 1.5 million shares of his stock and was the company’s major shareholder in the fourth quarter.

Click to keep reading to see the 5 best stocks that pay monthly dividends in 2024.

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Disclosure. none. 11 Best stocks that pay monthly dividends in 2024 Originally published on Insider Monkey.