The 2015 Canadian election campaign saw the Liberals push several bold policies. We know that the party kept its word when it came to the legalization of recreational cannabis. However, the Liberals also expressed interest in introducing a basic income pilot.
The program aims to pay every citizen a set monthly amount. This is an idea that has been pursued by other politicians in the developed world, but it has yet to gain real ground beyond a few pilot projects. Why am I telling you this? To give you the goods news, of course. Fool readers do not need to wait for UBI for their monthly passive income. Instead, they can pursue stocks that pay dividends on a monthly basis.
AltaGas (TSX: ALA)
AltaGas is a Calgary-based company that operates a diversified basket of energy infrastructure businesses. Shares have climbed 34.2% in 2019 as of close on May 9. The stock is still down 26% from the prior year.
The Canadian energy sector has bounced back after things looked dire in late 2018. Investment activity has ramped up and oil prices have rallied. The United Conservative Party (UCP) election victory in Alberta also promises to bring a strong pro-oil and gas to the forefront. There is reason for optimism in this sector as we look ahead to the 2020s.
Shareholders paid for the spike in share price, as AltaGas announced a huge cut to its dividend in late 2018. It now pays a monthly dividend of $0.08 per share. This represents a 5.1% yield.
Cineplex (TSX: CGX)
Cineplex owns a monopoly on movie theatres across Canada. Shares have climbed 2.2% in 2019 as of close on May 9. The company released its first-quarter results for fiscal 2019 after markets closed yesterday. Revenue and theatre attendance took a significant hit, which should come as no surprise considering the weak start for the North American box office this year.
Back in March, I’d explained why I liked Cineplex stock at its then-low price. Shares had climbed 8% month over month as of this writing, but we have yet to see how the stock responds to its Q1 fiscal 2019 earnings.
In any case, Cineplex announced a hike to its monthly dividend in the first quarter. It will now pay a monthly dividend of $0.15 per share. This represents a tasty 6.9% yield. A rough first quarter could lead to a great buying opportunity for value and income investors this month.
Badger Daylighting (TSX:BAD)
Badger Daylighting is a Calgary-based company that provides non-destructive hydrovac excavation services through the Badger Hydrovac System. Shares of Badger have increased 35.1% in 2019 so far. The stock has climbed nearly 70% year over year.
Badger is more attractive as a growth equity in your portfolio, but it does offer a modest monthly dividend. In 2018, the company saw revenue climb to $615 million compared to $496 million in the prior year. Adjusted EBITDA increased to $161.7 million over $125.3 million in 2017. Badger is forecasting adjusted EBITDA between $170 million and $190 million in 2019.
In its fourth-quarter report, Badger announced a 6% dividend increase to $0.0475 per share. It is paid on a monthly basis. This represents a 1.3% yield.
