Most dividend stocks on the TSX pay dividends on a quarterly basis. However, if you like dividends paid monthly, there are a few that are fairly attractive bargains right now.
Here are three TSX dividend stocks that yield over 4% and pay their distributions/dividends out monthly.
A REIT for steady and solid income
Real estate is a great sector to collect monthly income. Most real estate assets collect rents monthly. As a result, they can efficiently pay distributions monthly as well.
Like its name, Granite Real Estate Investment Trust (GRT.UN) is a very solid bet for income. It owns a defensive portfolio of institutional quality industrial properties. Its logistics and manufacturing assets play an essential role in the global supply chain.
Granite has a bench of very high-quality, credit-worthy tenants (like Amazon and Magna). Its occupancy sits at +97%, and its weighted average lease term sits at over six years. This means that its cash flow outlook looks stable.
This dividend stock has a fortress-like balance sheet. This gives it strength in a rising interest rate environment and allows it to be opportunistic if real estate pricing corrects.
This real estate investment trust (REIT) yields 4.45%. It pays a $0.27 per unit distribution monthly. A $10,000 investment would earn $38.07 monthly. This stock trades for only 83% of its appraised value.
A Canadian dividend stock with top U.S. assets
Another REIT that looks attractive for monthly dividends is BSR REIT (TSX:HOM.UN). It operates 31 garden-style multi-family properties in Texas, Oklahoma, and Arkansas. While it is listed in Canada, it is a great way to get diversification and access to assets located in top North American growth regions.
BSR offers low-to-mid market rental rates (around $1,500/month). As a result, its properties are highly market competitive and well-positioned for long-term rental rate growth.
Like Granite, BSR has a great balance sheet, with most of its debt locked in at attractive rates. BSR is cheap and trades at a 40% discount to its private market valuation. As a result, the REIT has been steadily buying back stock.
Today, this dividend stock yields 4.4%. It earns a $0.0583 per unit monthly distribution. A $10,000 investment in BSR would earn $36.17 monthly.
An energy stock with substantial dividend growth
Another great monthly dividend stock is Whitecap Resources (TSX:WCP). Oil prices are starting to tick up, and that means more dividends could be heading toward shareholders.
Whitecap produces 157,000 barrels of oil per day. Since oil prices have risen and steadied since late 2021, it has been generating significant excess cash. It has been using that cash to pay down debt, buy back stock, and grow its dividend. As it nears debt targets in 2024, it plans to distribute 75% of excess cash back to shareholders.
Its monthly dividend has grown by almost 326% since 2021). Today, this dividend stock yields 5%. However, it will yield closer to 6% when its dividend rises 26% next month. It will pay a $0.0608 dividend per share monthly.
A $10,000 investment in Whitecap stock will earn $51.49 of monthly passive income. Whitecap only trades for 6.6 times earnings right now.
| COMPANY | RECENT PRICE | NUMBER OF SHARES | DIVIDEND | TOTAL PAYOUT | FREQUENCY |
| Granite REIT | $70.60 | 141 | $0.27 | $38.07 | Monthly |
| BSR REIT | $15.93 | 627 | $0.0583 | $36.17 | Monthly |
| Whitecap Resources | $11.80 | 847 | $0.0608 | $51.49 | Monthly |
