Today he’s back with five monthly dividend stock tips that are guaranteed to help you pay your bills. Today’s tips all use the passive income method of generating income and include a number of Real Estate Investment Trusts (REITs).
So, tip number one: SL Green (ticker SLG) are the largest office real estate manager in New York City with an interest in over seventy of the big apple’s finest office buildings. This sector is bouncing back after the worst of the pandemic and SLG now has an occupancy rate of over ninety three per cent.
In 2020 despite the pandemic SLG collected over ninety eight per cent of all rents owed. SLG is one of those companies that has consistently grown its dividend yield over the last decade. It currently sits at 4.87% and with a share price of $74.66 returns over 30 cents per share per month.
Tip number two: Canadian company Pembina Pipeline Corporation ticker (PBA) is a midstream energy company transporting and storing oil and gas. PBA currently has a pipeline capacity of 3.1 million barrels of oil and ground storage of 11 million barrels which mainly services the North American Fracking industry.
For those of you with environmental sensibilities PBA has recently partnered with another Canadian company TC Energy. This partnership aims to develop carbon capture, storage and transport technologies to help North American companies achieve their net zero emissions goals.
PBA has a solid dividend payout history allowing it to steadily increase its payout to investors since its listing in 1998. PBA dividend yields typically fluctuate between 5% to 6% a year which makes it a solid investment.
Number three is Realty Income (ticker O). What interests Max Maher in this company is its dedication to paying monthly dividends. Some figures will put this into perspective for you. Since its founding in 1969 Realty Income has paid 615 consecutive monthly dividends.
Realty Income has achieved a compound average annual dividend growth rate of around 4.3% for a total dividend growth of 214%. Realty Income has increased its monthly dividend 112 times since listing in 1994 and recorded 96 consecutive quarterly increases.
Currently Realty Income has a dividend yield rate of 4.04% which pays 23 cents per share. This may not sound that impressive to you but its recent acquisition of VEREIT has pushed Realty Income’s value to over $50 billion with an additional $4.5 billion of planned purchases in 2020. This is a company that is going places as its inclusion on the list of S & P 500 Dividend Aristocrats attests!
Tip number 4 is EPR Properties (EPR) a company that specialises in owning experiential real estate such as ski resorts; movie cinemas; gaming venues and other properties based on in person entertainment. ALL EPR’s properties are secured by triple net leases which means that tenants bear the responsibility for all the property’s expenses including real estate taxes, building insurance and maintenance.
EPR was one of those companies that was affected badly by the pandemic to the point that it suspended paying dividends for 2020. Why this company is on Max Maher’s list is that from July 2021 EPR recommenced paying monthly dividends at a very attractive yield rate of 5.64%.
Max Maher’s last tip is Pennant Park Floating Rate Capital (PFLT) an asset management firm in the business of loaning capital to midsize companies. PFLT is structured so that it is the “first lien” debt, which means it is first in line among creditors awaiting payment in the event the client becomes bankrupt. PFLT as its name implies employs a floating rate loan strategy.
This means that as interest rates rise PFLT debtors will have to increase the amount of their repayments corresponding with the rate rise. So PFLT investors earn more in their dividends. In the past year PFLT has increased its stock price by over 50% and has a current dividend yield rate is %8.55.
So there you have it from the maestro Max Maher. If you would like a more in depth appreciation of these 5 dividend stocks please watch Max Maher on YouTube here.
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Published January 7th, 2022