3 Monthly Dividend Stocks With Yields Over 7% to Buy Now

Interested in earning monthly dividend income? If so, Inter Pipeline Ltd. (TSX:IPL), Alaris Royalty Corp. (TSX:AD), and H&R Real Estate Investment Trust (TSX:HR.UN) can make it happen.

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The Motley Fool

If you’re interested in buying a stock that pays dividends on a monthly basis or are looking to build a portfolio full of them, then this article is for you. I’ve scoured the market and compiled a list of three stocks from different industries that do just that, so let’s take a quick look at each to determine if you should buy one or more of them today.

1. Inter Pipeline Ltd.

Inter Pipeline Ltd. (TSX:IPL) is one of the leading providers of petroleum transportation and bulk liquid storage in western Canada and Europe. It currently pays a monthly dividend of $0.13 per share, or $1.56 per share annually, which gives its stock a 7.7% yield at today’s levels.

Investors must also note that Inter Pipeline has raised its annual dividend payment for seven consecutive years, and its 6.1% increase in November 2015 puts it on pace for 2016 to mark the eighth consecutive year with an increase.

2. Alaris Royalty Corp.

Alaris Royalty Corp. (TSX:AD) is one of the largest providers of alternative financing solutions to companies in North America. It currently pays a monthly dividend of $0.135 per share, or $1.62 per share annually, which gives its stock a 7.2% yield at today’s levels.

Investors must also note that Alaris has raised its annual dividend payment for five consecutive years, and its recent increases, including its 3.8% increase in July 2015, puts it on pace for 2016 to mark the sixth consecutive year with an increase.

3. H&R Real Estate Investment Trust

H&R Real Estate Investment Trust (TSX:HR.UN) is one of Canada’s largest diversified REITs with ownership interests in 512 office, retail, industrial, and residential properties that total over 46 million square feet. It currently pays a monthly distribution of $0.1125 per share, or $1.35 per share annually, which gives its stock a 7.1% yield at today’s levels.

Investors must also note that H&R REIT has maintained this monthly rate since January 2013, but I think its increased amount of funds from operations, including 5.6% year-over-year growth to $427.1 million in the first nine months of fiscal 2015, and its low payout ratio, including 69.2% in that same period, could allow it to raise its distribution in the very near future.

Could your portfolio use monthly income?

Inter Pipeline, Alaris Royalty, and H&R REIT are three highly attractive investment options for monthly dividend income. All Foolish investors should take a closer look at each and strongly consider initiating positions in at least one of them today.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.

Fool contributor Joseph Solitro has no position in any stocks mentioned.

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