In this article, we will take a look at some of the best dividend stocks that offer monthly dividends.
Investing in dividend-paying stocks has moved in and out of favor over time. During the strong bull market of the 1980s and 1990s, most equity returns came from rising share prices. Many investors were comfortable giving up dividends because companies were delivering steady and often dramatic price gains. Returns felt easy, and dividends seemed optional.
The next decade told a different story. A report by RidgeWorth Investments noted that the 2000s began with sharp equity losses after the technology bubble burst. Investors were reminded that stock prices don’t always go up. For a while, that lesson faded as markets recovered and price appreciation returned. Then the decade closed with one of the deepest market declines in generations. The housing crisis and the Great Recession reset expectations across the market.
Since then, volatility has become more common, and return expectations are lower. Many investors no longer want to depend on price gains alone to drive results. Income matters again, and dividends are back in focus.
Dividend-paying stocks have delivered steady return streams across different market environments. That consistency becomes especially valuable when prices stall or fall. Over time, reinvested dividends quietly compound and do much of the heavy lifting. The report illustrates how meaningful that contribution has been since the 1930s. ISI estimates that compounded dividends have accounted for roughly 50% of total stock returns on average. During difficult periods like the 1930s, 1970s, and 2000s, dividends also acted as a performance cushion when markets struggled.
Given this, we will take a look at some of the best dividend stocks that offer monthly dividends.
Our Methodology:
For this list, we looked at stocks that pay monthly dividends. Among them, we chose stocks with the highest dividend yields, which range from 3.5% to nearly 19.5% as of December 18.
Most of these stocks are from the REIT and capital market sectors. REITs are obligated to distribute about 90% of their income to shareholders, which is good for income investors as it provides them with a reliable and substantial stream of dividends. However, it’s important to note that many of these stocks, despite their high yields, don’t have a consistent history of paying dividends and have experienced dividend reductions or pauses in the past. The stocks are ranked in ascending order of their dividend yields as of December 18.
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13. Phillips Edison & Company, Inc. (NASDAQ:PECO)
Dividend Yield as of December 18: 3.58%
Phillips Edison & Company, Inc. (NASDAQ:PECO) is among the best dividend stocks to invest in.
On December 18, Barclays lifted its price target on Phillips Edison & Company, Inc. (NASDAQ:PECO) to $42 from $40 and kept an Equal Weight rating on the stock. The firm said the move followed updated estimates after PECO’s recent investor presentation.
Phillips Edison & Company, Inc. (NASDAQ:PECO) brings more than three decades of experience in grocery-anchored shopping centers, giving it a clear view of what drives performance at the property level. In its latest update, the company pointed to the strength of its portfolio demographics. The average median household income within a three-mile radius of its centers stands at about $92,000, roughly 15% higher than the US average.
Population growth across PECO’s markets has also exceeded the national pace by about 5% over the past three years. These trends support steady rent growth and help underpin long-term value creation. Looking ahead, management expects portfolio income to rise by around 26% over the next five years.
Phillips Edison & Company, Inc. (NASDAQ:PECO) focuses its acquisition strategy on grocery-anchored, necessity-based neighborhood and community shopping centers. Its nationwide portfolio now includes close to 300 properties, with plans to continue expanding. The company also highlighted strong free cash flow and EBITDA growth, largely driven by same-center NOI. That performance supports more than $300 million in net acquisitions, even after accounting for development and redevelopment spending.
Phillips Edison & Company, Inc. (NASDAQ:PECO) is a US-based REIT that owns and develops shopping centers across the country.
12. Agree Realty Corporation (NYSE:ADC)
Dividend Yield as of December 18: 4.33%
Agree Realty Corporation (NYSE: ADC) is among the top dividend stocks that offer monthly payouts.
On December 17, Mizuho lowered its price target on Agree Realty to $75 from $77. The firm kept a Neutral rating on the stock.
Agree Realty Corporation (NYSE:ADC) is a net-lease REIT that owns free-standing retail properties, including grocery stores, home improvement chains, dollar stores, and pharmacies. These are places people still visit even when budgets get tight or shopping shifts online. That focus gives the company steady rent checks and supports its dividend.
The dividend history can look confusing at first. In 2021, Agree Realty Corporation (NYSE:ADC) moved from quarterly to monthly payments. On the surface, it looks like a cut. However, on a yearly basis, the payout has gone up every single year since the 2008–09 financial crisis.
Over the past decade, the dividend has grown at a 5.3% annual rate. Two increases in 2025 have already pushed the payout 3.6% higher. Growth is still part of the plan as Agree Realty Corporation (NYSE:ADC) expects to invest up to $1.65 billion in new properties in 2025. On December 11, the company declared a monthly dividend of $0.262 per share.
11. Main Street Capital Corporation (NYSE:MAIN)
Dividend Yield as of December 18: 5.17%
Main Street Capital Corporation (NYSE:MAIN) is among the best dividend stocks to invest in.
On December 9, RBC Capital analyst Kenneth Lee trimmed his price target on Main Street Capital Corporation (NYSE:MAIN) to $66 from $67. He kept an Outperform rating on the stock. RBC still sees support for earnings and noted that net interest income could benefit as the portfolio continues to ramp and dividend income adds to results. That upside may be partly offset by a modest dip in asset yields, based on the current rate outlook.
Main Street Capital Corporation (NYSE:MAIN) also shared an update on its investment activity. On December 2, the company said it completed a follow-on investment in an existing portfolio company, Chamberlin Holding LLC. Chamberlin is a well-known specialty roofing and waterproofing contractor.
Main Street partnered with MSC Income Fund on the deal. The investment supports Chamberlin’s acquisition of a commercial roofing contractor in the Southeastern US. Main Street’s share included an additional $20 million first-lien, senior secured term loan. Both firms first invested in Chamberlin back in February 2018.
Chamberlin was founded in 1897 and is based in Houston, Texas. The company focuses on installing high-quality commercial roofing and waterproofing systems.
Main Street Capital Corporation (NYSE:MAIN) is an investment firm that provides long-term debt and equity capital to lower middle-market businesses. It also supplies debt financing to private companies backed by private equity or in the middle of an acquisition.
10. Realty Income Corporation (NYSE:O)
Dividend Yield as of December 18: 5.72%
Realty Income Corporation (NYSE:O) is among the best dividend stocks that offer monthly payouts.
On December 18, JPMorgan downgradedRealty Income Corporation (NYSE:O) to Underweight from Neutral and kept its price target at $61. The move was part of the firm’s broader 2026 outlook for REITs. JPMorgan made two upgrades and seven downgrades across the group. The higher number of cuts points to a “more stratified ratings distribution,” the analyst wrote in a research note.
Realty Income Corporation (NYSE:O)’s long-term growth story is still hard to ignore. Revenue has climbed from $49 million in 1994 to $5.27 billion in 2024. That’s a 10,657% increase. The dividend strategy is a bit unusual. Increases are often small, sometimes just a fraction of a cent, but they happen frequently. Over time, those raises stack up. On December 9, the company lifted its monthly dividend by 0.2% to $0.27 per share.
For years, Realty Income Corporation (NYSE:O) focused almost entirely on the US. That started to change in 2019 with its first international deal. The company bought 12 U.K. properties leased to grocery chain Sainsbury’s. Since then, Europe has become a bigger part of the picture.
As of last quarter, 17.7% of contractual rent now comes from Europe and the U.K. The company invested $1 billion in European properties last quarter alone. That’s higher than the $889 million spent in Q2 and the $893 million in Q1. So far, the returns look better overseas. New European assets are generating an initial weighted average cash yield of 8%, compared with about 7% for new US properties.
Realty Income Corporation (NYSE:O) is a REIT that owns free-standing, single-tenant commercial properties across the US, the U.K., and six other European countries.
9. LTC Properties, Inc. (NYSE:LTC)
Dividend Yield as of December 18: 6.61%
LTC Properties, Inc. (NYSE:LTC) is among the best dividend stocks that offer monthly payouts.
On November 26, Wells Fargo lifted its price target on LTC Properties, Inc. (NYSE:LTC) to $37 from $36 and kept an Equal Weight rating on the stock. The firm said that, aside from a few high-profile exceptions, most REITs posted Q3 2025 results and outlooks that pointed to healthy operating conditions, even with ongoing macro and labor market concerns.
The pandemic was especially tough on senior housing. Many of LTC Properties, Inc. (NYSE:LTC)’s tenants struggled to pay rent, and some ended up filing for bankruptcy. That period tested the balance sheet. LTC’s financial strength helped it get through the disruption. The company replaced some lost income with new investments and managed to keep its monthly dividend intact.
Today, LTC Properties, Inc. (NYSE:LTC) owns 192 properties across 25 states. Its opportunity set keeps growing as the US population ages. In the most recent quarter, occupancy across its core senior housing operating portfolio held steady at 81%.
LTC pays dividends every month and currently offers a forward yield of about 6.6%. Dividend growth isn’t consistent year to year. Management expects core FFO to stay roughly flat, moving from $2.68 per share in 2024 to a range of $2.67 to $2.71 in 2025. That outlook won’t turn heads, but it comfortably covers the forward annual dividend of $2.28 per share.
LTC Properties, Inc. (NYSE:LTC) is a REIT focused on senior housing and care assets. It invests through senior housing operating properties, triple-net leases, joint ventures, and structured finance arrangements.
8. Gladstone Investment Corporation (NASDAQ:GAIN)
Dividend Yield as of December 18: 6.85%
Gladstone Investment Corporation (NASDAQ:GAIN) is among the best dividend stocks to invest in.
On December 12, Gladstone Investment Corporation (NASDAQ:GAIN) announced the acquisition of Rowan Energy, Inc., along with Xyresic Capital. Gladstone Investment provided senior secured debt and the majority of the equity to complete the deal.
Rowan is based in Oklahoma City, Oklahoma. It operates in the US oil and gas services space. The company focuses on advanced frac sand filtration, completion equipment deployment, and field operations support. In practical terms, this is the kind of behind-the-scenes work that keeps drilling and completion projects moving on schedule.
Christopher Lee, Senior Managing Director of Gladstone Investment, made the following statement:
“Rowan’s commitment to delivering outstanding solutions for its customers has been central to its impressive growth. We are proud to invest in a business that has set the standard for success in its sector and see tremendous growth potential ahead. Further, we are thrilled to expand our relationship with Xyresic.”
Gladstone Investment Corporation (NASDAQ:GAIN) is structured as a business development company. It invests in private, lower middle market businesses using a mix of debt and equity. These are often companies that are too small to attract large private equity firms or traditional bank financing.
The model is fairly straightforward as the company provides loans for steady income and takes equity stakes for long-term upside. The portfolio typically targets a mix of about 75% debt and 25% equity, aiming to generate reliable cash flow while also capturing gains when portfolio companies are sold.
7. SL Green Realty Corp. (NYSE:SLG)
Dividend Yield as of December 18: 6.98%
SL Green Realty Corp. (NYSE:SLG) is among the best dividend stocks to invest in.
On December 18, Ladenburg analyst Floris van Dijkum cut his price target on SL Green Realty Corp. (NYSE:SLG) to $50 from $60 and kept a Neutral rating. The move followed the company’s investor day.
A few days earlier, on December 12, Mizuho also lowered its price target on SL Green to $47 from $67 and maintained a Neutral stance. The change came as part of the firm’s 2026 outlook for office REITs. Mizuho views the office sector as “fairly valued,” especially on a risk-premium basis. With limited earnings growth expected, the firm remains neutral on the sub-sector.
SL Green Realty Corp. (NYSE:SLG) shared some notable news of its own on December 5. The company acquired its joint venture partners’ combined 39.48% stake in 800 Third Avenue for $5.1 million. The property is a 41-story glass-and-steel tower between 49th and 50th Streets on Manhattan’s east side. With the deal closed, SL Green now owns the building outright.
The transaction stands out as a rare win in a tough post-COVID period for office landlords. Remote work hit SL Green Realty Corp. (NYSE:SLG) hard early on. The company adjusted by pushing to lease vacant space at rates that still made sense. That effort is showing results. In the third quarter of 2025, same-store Manhattan office occupancy rose to 92.4%. Management expects that figure to reach 93.2% by December 31, 2025.
6. EPR Properties (NYSE:EPR)
Dividend Yield as of December 18: 7.09%
EPR Properties (NYSE:EPR) is among the best dividend stocks that pay monthly dividends.
On December 2, JPMorgan lowered its price target on EPR Properties (NYSE:EPR) to $58 from $65 and kept an Overweight rating on the stock. The firm cut its 2026 and 2027 estimates to reflect lower deal volume, no Catskills land sale, and softer percentage rent assumptions.
A few days later, on December 4, EPR Properties (NYSE:EPR) announced the completion of the acquisition and leaseback of a five-property portfolio of championship golf courses. It also closed on the acquisition and leaseback of the Ocean Breeze Water Park in Virginia Beach, Virginia. The combined investments totaled $113 million and carry a blended cap rate of 8.6%.
With these deals and other investments, EPR Properties (NYSE:EPR) now expects total investment spending of about $285 million. That’s above its earlier guidance range of $225 million to $275 million. The golf portfolio includes five semi-private championship courses in the Dallas metro area. Each site offers full-service food and beverage options and complete practice facilities. The properties will be leased to and operated by Advance Golf Partners, a group with experience running daily-fee golf courses.
EPR Properties (NYSE:EPR) focuses on experiential real estate. Its portfolio includes movie theaters, eat-and-play venues, casinos, ski resorts, gaming properties, themed lodging, amusement and water parks, fitness centers, and similar destinations.
5. AGNC Investment Corp. (NASDAQ:AGNC)
Dividend Yield as of December 18: 13.63%
AGNC Investment Corp. (NASDAQ:AGNC) is one of the best dividend stocks to invest in.
On December 18, Keefe Bruyette analyst Bose George raised his price target on AGNC Investment Corp. (NASDAQ:AGNC) to $11 from $10.50 and kept an Outperform rating. The firm said it remains most constructive on agency MBS REITs heading into 2026.
AGNC Investment Corp. (NASDAQ:AGNC) sits right in the middle of the housing and rate cycle. When rates move, the business feels it quickly. The past few years were tough as the Federal Reserve pushed interest rates higher to curb inflation. That backdrop has started to change. The Fed has already lowered rates over the past year and a half, with more cuts expected.
Lower rates tend to help AGNC’s model. They can improve funding costs and make the spread math work a little better. For investors, that matters. AGNC Investment Corp. (NASDAQ:AGNC) also operates differently from a typical REIT. It doesn’t own buildings or collect rent. Instead, it invests in mortgage-backed securities. The company makes money from the spread between what it pays to borrow and what it earns on its mortgage assets.
To do that, AGNC borrows on a short-term basis. It relies on tools like repurchase agreements and short-term debt, usually with maturities of one year or less, to finance its portfolio.
4. Dynex Capital, Inc. (NYSE:DX)
Dividend Yield as of December 18: 14.87%
Dynex Capital, Inc. (NYSE:DX) is among the best dividend stocks for monthly dividends.
On December 18, Keefe Bruyette raised its price target on Dynex Capital, Inc. (NYSE:DX) to $14.50 from $14 and kept an Outperform rating. The firm said it remains most constructive on agency MBS REITs heading into 2026.
Dynex Capital, Inc. (NYSE:DX) stands out for its dividend. The stock yields about 14.87%, which is unusually high. The payout hasn’t been perfectly smooth over time, but the company has paid dividends consistently since 2008. For income-focused investors, that kind of track record matters. With a yield this large, some fluctuation comes with the territory.
Dynex Capital, Inc. (NYSE:DX) has climbed more than 9% since the start of the year. On the Q3 2025 earnings call, management pointed out that in the last 3 years, its shareholders have seen returns of nearly 72% with dividends reinvested in Dynex. The company reported a total economic return of 10.3% for the quarter and 11.5% year to date. Management stressed disciplined execution in what remains a tricky market.
Dynex’s common equity market cap has now topped $1.8 billion. That growth reflects new capital raised and stronger investor confidence. During the quarter, the company raised $254 million, bringing the year-to-date total to $776 million. The portfolio has grown about 10% since the end of Q2. Liquidity also remains solid. At quarter’s end, Dynex reported more than $1 billion in liquidity, representing over half of total equity.
Dynex Capital, Inc. (NYSE:DX)is a mortgage REIT with a portfolio focused largely on residential mortgage-backed securities.
3. PennantPark Investment Corporation (NYSE:PNNT)
Dividend Yield as of December 18: 15.95%
PennantPark Investment Corporation (NYSE:PNNT) is among the best dividend stocks to invest in.
On December 15, PennantPark Investment Corporation (NYSE:PNNT) said it sold its equity stake in JF Intermediate, LLC for $67.5 million. The deal produced a realized gain of $63.1 million. That figure was close to the investment’s fair value as of September 30, 2025. At that time, JF made up 23% of the company’s equity investment portfolio, excluding its stake in PennantPark Senior Loan Fund.
The company also shared an update on its balance sheet. PennantPark increased the size of its multi-currency, senior secured credit facility from $500 million to $535 million. It pushed the maturity out to 2030 and improved pricing, cutting the spread to SOFR plus 210 basis points from SOFR plus 235.
Art Penn, Chairman and CEO of PNNT made the following statement:
“I’d like to thank the team at JF for our strong partnership over many years. The repurchase of PNNT’s shares positions JF for its next phase of growth, while fully realizing PNNT’s investment in JF. The transaction provides PNNT with $67.5 million of liquidity, which is an attractive outcome for shareholders and an important milestone in PNNT’s ongoing equity rotation strategy. We wish JF and its team continued growth and success in the future.”
The credit facility is secured by all company assets and includes standard covenants. These cover minimum asset coverage levels and equity requirements.
PennantPark Investment Corporation (NYSE:PNNT) operates as a business development company. It focuses on US middle-market businesses, investing across first-lien debt, second-lien debt, subordinated debt, and equity.
2. ARMOUR Residential REIT, Inc. (NYSE:ARR)
Dividend Yield as of December 18: 16.83%
ARMOUR Residential REIT, Inc. (NYSE:ARR) is among the best dividend stocks to invest in.
On December 15, Compass Point initiated coverage of ARMOUR Residential REIT, Inc. (NYSE:ARR) with a Buy rating and a $18.50 price target.
The company posted solid numbers in the third quarter of 2025. ARMOUR Residential REIT, Inc. (NYSE:ARR) Q3 GAAP net income available to common stockholders came in at $156.3 million, or $1.49 per share. Net interest income totaled $38.5 million, and distributable earnings reached $75.3 million, or $0.72 per share.
Capital activity picked up during the quarter. ARMOUR raised about $99.5 million by issuing roughly 6 million common shares. In August, it completed the sale of 18.5 million shares for about $298.6 million. In September, the company moved the other way and repurchased 700,000 shares.
Management also addressed the dividend. ARMOUR Residential REIT, Inc. (NYSE:ARR) said it aims to pay an attractive dividend that fits the environment and remains stable over the medium term. The dividend policy stays the same, with a monthly payout of $0.24 per share. Since its inception, ARR has paid out $2.6 billion in dividends through November 2025.
ARMOUR Residential REIT, Inc. (NYSE:ARR) is a Maryland-based company founded in 2008. It invests primarily in residential mortgage-backed securities issued or guaranteed by US government-sponsored entities.
1. Orchid Island Capital, Inc. (NYSE:ORC)
Dividend Yield as of December 18: 19.53%
Orchid Island Capital, Inc. (NYSE:ORC) is among the best dividend stocks to invest in.
On December 15, Compass Point started coverage of Orchid Island Capital, Inc. (NYSE:ORC) with a Neutral rating and a $7.50 price target.
In its Q3 2025 earnings, the company said market conditions were supportive for levered Agency RMBS investors like Orchid. Interest rates stayed fairly stable during the quarter, aside from short-term rates, which moved lower as investors priced in more rate cuts beyond the 25-basis-point cut in September.
Orchid Island Capital, Inc. (NYSE:ORC) generated a total return of 6.7% for the quarter, on an unannualized basis. The company continued to build its capital base, which remains entirely common equity. It put that capital to work in Agency RMBS, offering net interest income and total return potential above historical norms.
Even with prepayments picking up as rates declined, Orchid Island Capital, Inc. (NYSE:ORC) was still able to find attractive investments. Management credited careful security selection and risk management. Leverage stayed largely unchanged at about 7.4x, including TBA positions. The company noted it has room to increase leverage if market returns become more compelling.
Net income for the quarter came in at $72.1 million, up sharply from $17.3 million in the same period last year. Book value rose by $0.12 per share during the quarter. That increase reflected net income of $0.53 per share, offset by dividend payments of $0.36 per share. The company also reported $50.6 million in net realized and unrealized gains on Agency RMBS and related derivatives, including net interest income from interest rate swaps.
Orchid Island Capital, Inc. (NYSE:ORC) is a specialty finance company that invests on a leveraged basis in Agency residential mortgage-backed securities.
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