How to Draw a $40,000+ "Salary" from Monthly Dividend Stocks

Hello, I'm Dennis Moore, Chief Investment Strategist here at Maverick Income Dispatch. Did you know some stocks pay dividends every month? It’s true! While most stocks stick to quarterly payouts, a select group dishes out monthly dividends, and they’re our kind of hidden gems.

Unlike the behemoths of the stock market with their sporadic and often underwhelming dividends, these smaller, often overlooked companies could be the key to steady monthly income.

Why We Choose Monthly Dividends

Here’s the thing about quarterly dividends: they’re just too spread out and often not as hefty as we’d like. Imagine having a robust $500,000 portfolio spread across typical large-cap stocks. Sounds good on paper, but the actual income can be disappointing and erratic.

Now, let’s reimagine that $500,000 in a carefully chosen lineup of stocks that pay dividends monthly. Not only does this smooth out your income stream, but it also makes budgeting a breeze.

These stocks usually come from sectors like real estate (REITs) and business development companies (BDCs), known for their generous dividend yields.

Spotlight on Monthly Dividend Stars

Apple Hospitality REIT (APLE) - Dividend Yield: 6.2%

Apple Hospitality isn’t your average hotel REIT. With a diverse portfolio of 224 hotels across 37 states, including brands like Hilton and Marriott, it's built for resilience. Despite the tough economic climate affecting the hotel industry, Apple’s selective focus and diversified locations keep it strong. Its shares are reasonably priced, and the 6%+ yield is a cherry on top.

Realty Income (O) - Dividend Yield: 5.8%

Meet the titan of lease real estate. Realty Income is massive, with thousands of properties across a myriad of industries and a growing presence in Europe. Its monthly dividend has grown for 106 consecutive quarters! While it's not cheap, its steady AFFO growth suggests there’s still room for growth.

AGNC Investment Corp. (AGNC) - Dividend Yield: 15.6%

AGNC stands out in the mortgage REIT sector. It uses savvy leverage strategies to profit from mortgage-backed securities, although it's been tough lately with the rising rates. This stock might be a waiting game, but for those patient enough, the high yield is tempting.

Main Street Capital (MAIN) - Dividend Yield: 6.0%*

A star in the BDC sector, Main Street Capital shines with its support to small and mid-sized businesses. Its impressive portfolio and operational prowess are reflected in its consistent dividends and special payouts. But beware, its premium pricing reflects its high standing.

PennantPark Floating Rate Capital (PFLT) - Dividend Yield: 10%

Last but not least, PennantPark offers a double-digit yield and a portfolio robust against economic shifts, thanks to its focus on senior secured debts. It’s a solid pick if you’re looking for stable, high returns in a fluctuating market.

Wrapping Up

So, can you earn a $40,000+ "salary" with these stocks? Absolutely—with the right strategy and picks, these monthly dividend payers can provide a significant and reliable income stream, perfect for those looking to enhance their financial freedom.

Thanks for joining me today. Don’t forget, as a premium member of Maverick Income Dispatch, you get exclusive access to our top recommendations and real-time investment advice. Check out our Member Area for more insights and opportunities.

Yours in achieving financial independence,

Dennis Moore

Chief Investment Strategist

Maverick Income Dispatch