Turn Your Portfolio Into a Paycheck: 2 Monthly-Paying TSX Stocks

Investing $7,500 in each of these Canadian stocks can help generate a passive income of $100 per month.

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Dividend stocks are solid options for earning regular income. Moreover, adding fundamentally strong stocks that pay monthly dividends can turn your portfolio into a paycheck. These companies provide more frequent cash flow, which can support your day-to-day expenses and give you opportunities to reinvest, ultimately increasing your long-term investment gains.

Against this backdrop, here are the two TSX stocks that offer reliable monthly dividends.

Northwest Healthcare Properties REIT

Investors planning to add a reliable source of monthly income stock to their portfolios could consider Northwest Healthcare Properties REIT (TSX:NWH.UN). Specializing in healthcare real estate, the real estate investment trust (REIT) owns and operates a diversified portfolio of hospitals, outpatient centres, and medical office buildings across Canada and key international markets. This sector is seen as recession-resistant due to the essential nature of its services and the stability of its tenant base, which includes large hospital operators and medical practitioners often supported by the government.

Northwest Healthcare’s inflation-protected, long-term leases add stability to its portfolio. Moreover, with a long average lease term of 13.6 years and occupancy rates above 96%, the REIT generates solid same-property net operating income (SPNOI). This supports a monthly dividend of $0.03 per share, reflecting a forward yield of 7.5% based on its closing price of $4.8 on May 20.

While macroeconomic headwinds like inflation and interest rate pressures persist, Northwest’s resilient leasing structure and strong tenant base provide a cushion. The REIT manages its balance sheet well, selectively selling non-core assets to reduce leverage. Moreover, it is retaining high-performing assets that generate solid income.

With an aging population driving long-term demand for healthcare services, Northwest Healthcare Properties REIT stands on solid ground. Overall, its defensive assets, steady income, and strong balance sheet position it well to enhance its shareholder value through monthly payouts.

Whitecap Resources

Whitecap (TSX:WCP) is a solid stock for income-focused investors, and for good reasons. The energy company focuses on acquiring oil and gas assets. Its high-quality portfolio, known for delivering stable output with low decline rates, enables it to generate reliable cash flow, driving its monthly dividend payments.

Whitecap pays a monthly dividend of $0.061 per share, which amounts to an attractive yield of approximately 8.6%. While it offers a high yield, Whitecap continues to expand its asset base while focusing on improving drilling efficiency and reducing costs. These operational improvements will support future earnings and dividend payouts.

Whitecap’s inventory of high-return drilling opportunities with quick capital payback periods provides a solid base for future growth. Further, its solid balance sheet and low-maintenance capital requirements offer the flexibility to capitalize on new growth opportunities and maintain payouts.

Whitecap will benefit from its recent acquisition of Veren. This strategic deal has significantly bolstered the company’s presence in the light oil and condensate markets. Moreover, the acquisition will also help improve operational efficiencies and drive future earnings and payouts.

Earn over $100 in monthly income

Northwest Healthcare and Whitecap are dependable, high-yield dividend stocks that generate steady dividend income. The table below shows that investing $7,500 in each of these Canadian stocks can help generate a passive income of over $100 per month.

CompanyRecent PriceNumber of SharesDividendTotal PayoutsFrequency
Northwest Healthcare Properties REIT $4.81,562$0.03$46.86Monthly
Whitecap$8.5882$0.061$53.80Monthly

Fool contributor Sneha Nahata has no position in any of the stocks mentioned. The Motley Fool recommends Whitecap Resources. The Motley Fool has a disclosure policy.

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