As intelligent investors know, dividend-paying stocks outperform non-dividend-paying stocks over the long term, and some investors prefer to receive their dividends on a monthly basis. With this in mind, let’s take a look at three monthly dividend-paying stocks from three different industries that you could add to your portfolio today.
1. Pizza Pizza Royalty Corp.: 6% yield
Pizza Pizza Royalty Corp. (TSX: PZA) is one of the largest owners, operators, and franchisors of pizza restaurants in Canada, with 730 restaurants across the country. It pays a monthly dividend of $0.068 per share, or $0.816 per share annually, giving its stock a 6% yield at today’s levels. The company has also increased its annual dividend payment for four consecutive years, and its strong operational performance and financial stability could allow this streak to continue for another four years.
2. Ag Growth International Inc.: 5.2% yield
Ag Growth International Inc. (TSX: AFN) is one of the largest manufacturers of portable and stationary grain handling, storage, and conditioning equipment in the world. It pays a monthly dividend of $0.20 per share, or $2.40 per share annually, giving its stock a 5.2% yield at current levels. Investors should also note that the company has maintained this monthly rate since November 2010, but its increased amount of funds from operations, including 52.4% year-over-year growth to $15.84 million in the first quarter of fiscal 2015, could allow for a significant increase in the very near future.
3. Peyto Exploration & Development Corp.: 4.3% yield
Peyto Exploration & Development Corp. (TSX: PEY) is one of the largest explorers and producers of unconventional natural gas in Alberta, Canada. It pays a monthly dividend of $0.11 per share, or $1.32 per share annually, giving its stock a 4.3% yield at today’s levels. It is also important to note that the company has increased its annual dividend payment for three consecutive years, and as long as the price of natural gas recovers over the next 12 months, I think this streak could continue for the next several years.
Could your portfolio use monthly dividend income?
Pizza Pizza Royalty, Ag Growth International, and Peyto Exploration & Development are three of the most attractive stocks that pay dividends on a monthly basis in the market today. Foolish investors should take a closer look and strongly consider establishing positions in one or all of them.
