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Ideal for income investors, these two REITs pay dividends monthly!

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Dividend Stocks Dividend Yield Dividend Growth Dividend Earnings Dividend Stocks Dividends

As an income investor, do you also trust the dividend strategy? Then you could be in the best company. Because it seems to me that more and more investors are betting on shares of companies that regularly pay a share of the profits.

Personally, I think this is relatively smart. After all, you don’t just benefit from any price increases. It is also possible to easily create additional passive income with profit distributions.

Of course, this could work much better if the respective companies transferred their dividends to investors several times a year. Of course, it is absolutely ideal for income investors if the profit share is paid out every month, as is the case with these two REITs.

industrial deer

First, let’s take a look at the one based in Boston, Massachusetts. STAG Industrial, Inc. (WKN: A1C8BH). As its name indicates, this SOCIMI has specialized in the acquisition and exploitation of industrial properties.

The real estate portfolio is currently spread across 40 of the 50 states in the US STAG Industrial’s portfolio currently includes 544 properties with a total estimated value of $10.9 billion.

As already mentioned, STAG Industrial has divided its dividend payments into twelve dates per year. Investors currently receive a payment of $0.1217 per share deposited into their accounts every four weeks.

This equates to a projected annual dividend of $1.46 per share. Based on STAG’s current share price of US$40.49 (March 25, 2022), a dividend yield of 3.61% can be calculated.

STAG Industrial shares celebrated their stock market debut just ten years ago. And you can see that from then until now they have been moving higher and higher, accompanied by stronger fluctuations. In my opinion, the strong dividend could certainly be seen as compensation for the sometimes quite severe price fluctuations.

After all, the distribution has been paid every year to this day without the slightest interruption. Interested investors still looking for a REIT with monthly dividend payments for their portfolio might therefore take a closer look at STAG Industrial stock.

Real Estate Income

The second REIT we want to look at on the subject of monthly dividends is the company, which was founded in 1969. Real Estate Revenue Corporation (WKN: 899744). However, he has mainly focused on shopping malls. In his inventory you can find objects in the US and Puerto Rico, as well as in Great Britain.

Realty Income is also among the companies that transfer their share of profits to their shareholders every four weeks. Currently, $0.247 per share is paid each month. That would translate to a total dividend of $2,964 per share over the next twelve months.

If you look at the development of the last ten years, you can see an increase in the dividend of 69% overall. Because at Realty Income it has almost become a tradition to even increase the payment a little several times a year. The company raised the dividend four times last year and once this year to current value.

Realty Income shares have been trending up for years. But even this is subject to sometimes very strong fluctuations. The shares are currently trading at $67.95 (March 25, 2022), about 6% higher than a year ago.

At this price level, Realty Income shares currently offer a dividend yield of 4.36%. Therefore, the US REIT could be of interest to income investors. Of course, especially in the context that the distribution of profits from Realty Income is paid every month.

The Ideal Article for Income Investors: These Two REITs Pay Dividends Monthly! first appeared in The Motley Fool Germany.

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Andre Kulpa does not own any of the aforementioned shares. The Motley Fool owns stock and recommends Stag Industrial.

Motley Fool Germany 2022

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