3 Canadian Stocks With Impressively High Yields That Pay Out Monthly

These high yield dividend stocks have solid fundamentals, monthly payouts, and the ability to sustain their distributions in the long term.

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Key Points

  • Monthly dividend stocks with high yields can be solid investments for generating passive income.
  • These Canadian stocks stand out for their strong track record of dividend payments, stable earnings, and attractive yields of over 6%.
  • These TSX stocks have solid fundamentals and sustainable monthly payouts, making them a reliable investment for income-focused investors.

High-yield dividend stocks with monthly payouts are attractive investments to generate passive income. Notably, the higher payout frequency is an advantage for those looking to reinvest their dividends or use the income to cover everyday expenses. However, investors should not focus only on high yields. Instead, one should consider the fundamentals of the company, earnings potential, dividend payment history, and ability to sustain payouts in the long term.

Against this background, here are three Canadian stocks with impressively high yields and monthly payouts.

High-yield stock #1: Firm Capital

Firm Capital (TSX:FC) is a compelling monthly dividend stock to buy now. It has a steady track record of payouts and offers an attractive yield. Operating as a non-bank lender, it specializes in short-term bridge loans and real estate financing across residential and commercial markets. Since 2013, the company has maintained consistent dividend payments and occasionally rewarded investors with special payouts.

Firm Capital offers a monthly dividend of $0.078 per share, yielding 7.8%. Its payouts are supported by its earnings stemming from steady lending fees and interest income. By concentrating on smaller loans, the firm reduces exposure to major credit risks while maintaining a diversified, stable portfolio.

Firm Capital’s niche focus on markets underserved by traditional banks and disciplined underwriting gives it room to grow. This strategy positions the company to keep generating reliable income and sustaining its impressive track record of monthly payouts.

High-yield stock #2: Whitecap Resources

Whitecap Resources (TSX:WCP) is a dependable monthly dividend stock offering a high yield of 6.9%. Notably, the oil and gas producer has consistently maintained and even increased its dividend over the years. WCP has paid about $2.7 billion in dividends between January 2013 and August 2025, highlighting its steady cash flow and disciplined capital management.

Whitecap is focusing on operational efficiency and optimizing drilling programs to boost its earnings. Moreover, its diverse asset base, focus on high-return projects, and low leverage augur well for growth and position it well to navigate the volatility in commodity prices with ease.

The recent acquisition of Veren marks a major step in Whitecap’s growth strategy, adding scale and high-quality assets that enhance both production and long-term cash generation. Overall, the company appears well-positioned to sustain its dividend payouts and enhance shareholder value.

High-yield stock #3: SmartCentres REIT

SmartCentres REIT (TSX:SRU.UN) is a reliable monthly dividend stock offering a high yield. This Canadian real estate investment trust (REIT) operates high-quality, strategically located properties that witness high occupancy and strong leasing demand. Further, the company’s high-quality tenant mix and resilient core retail properties support its operating income and dividend payouts.

SmartCentres recently reported a high occupancy rate of 98.6%. Meanwhile, its rent collection rate was above 99% as of Q2 2025. Further, the recent lease renewals at higher rents signal strong market demand for its properties.

SmartCentres benefits from the strength in its core retail properties and solid tenant mix, including large retailers. Moreover, these tenants attract consumer traffic, drive occupancy and leasing demand, and ensure reliable rent collection, helping safeguard the trust’s income base.

Beyond retail, SmartCentres is expanding into mixed-use developments. This diversifies revenue streams, strengthens long-term earnings, and positions the trust to capitalize on evolving urban trends.

The REIT currently pays a monthly dividend of $0.154 per unit, yielding about 6.8%. Looking ahead, the strength of its core retail portfolio, strong balance sheet, and large land holdings position it well to sustain its monthly distributions.

Fool contributor Sneha Nahata has no position in any of the stocks mentioned. The Motley Fool recommends SmartCentres Real Estate Investment Trust and Whitecap Resources. The Motley Fool has a disclosure policy.

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