Best Monthly Canadian Dividend Stocks

Looking for monthly dividend stocks? To start with, don’t be fooled by all the monthly income products such as BMO Monthly Income Fund or TD Monthly Income Funds. A lot of your money is spent on the MER (Management Expense Ratio) when you buy these products. You are already behind before you invest…

Monthly dividend stocks are your best bet for a solid and dependable monthly income with REITs as an alternative option. Even then, not all monthly income stocks are equal. Many of those stocks were income trusts and have switched to corporations and continued with monthly dividend payments.

Complete List of Monthly Dividend Stocks

Before we jump into the best monthly dividend stocks, let’s review the complete list. The best options available do not always mean they fit your portfolio. Make sure you do your research.

When you look across the TSX (Toronto Stock Exchange), there aren’t many companies that actually pay a monthly dividend once you exclude all of the REITs. Below is a list of all the monthly dividend stocks I track.

Before you jump on a monthly stock, I recommend you find out if they converted from an income trust and establish whether or not the dividend can be maintained. Hopefully, by now, the dividends probably reflect the earnings as opposed to the funds from operations otherwise it makes your research a little harder. The list below includes many of the new corporations that were previously income trusts and continued to pay monthly dividends.

TickerKey	Ticker	Company	Sector	Industry	Score	Quote	Market Cap	P/E	FPE	EPS	Yield	PayoutRatio	Payments	Dividend	Chowder	GrowthRating	IncomeRating	Tollbooth	Ambassador	Achiever	Aristocrat	King	Country	Graph	Yield
TSE:PPL	PPL	Pembina Pipeline	Energy	Oil & Gas Midstream	0.58	30.41	16.72	17.29	17.29	1.76	0.0829	1.4318	12	2.52	0.1251	6	6	Tollbooth - Unregulated	NO	NO	YES	NO	Canada	1	8.29
TSE:SJR.B	SJR.B	Shaw Communications	Communication Services	Telecommunication Services	0.45	24.32	9.42	18.81	18.81	1.29	0.0487	0.9186	12	1.19	0.0487	2	4	Tollbooth - Regulated	NO	NO	NO	NO	Canada	1	4.87
TSE:NPI	NPI	Northland Power Inc.	Utilities	Utilities - Renewable	0.48	38.43	7.71	20.31	20.31	1.89	0.0312	0.6349	12	1.20	0.0418	3	5	Tollbooth - Unregulated	NO	NO	NO	NO	Canada	1	3.12
TSE:IPL	IPL	Inter Pipeline Ltd	Energy	Oil & Gas Midstream	0.48	13.95	5.99	17.72	17.72	0.79	0.0344	0.6076	12	0.48	0.0633	2	5	Tollbooth - Unregulated	NO	NO	NO	NO	Canada	1	3.44
TSE:PKI	PKI	Parkland Corporation	Energy	Oil & Gas Refining & Marketing	0.53	36.59	5.46	38.62	38.62	0.95	0.0332	1.2783	12	1.21	0.0332	5	6	Intermediate	NO	NO	YES	NO	Canada	1	3.32
TSE:ALA	ALA	AltaGas	Utilities	Utilities - Regulated Gas	0.62	16.92	4.73	11.74	11.74	1.44	0.0567	0.6667	12	0.96	0.0567	3	6	Tollbooth - Regulated	NO	NO	NO	NO	Canada	1	5.67
TSE:KEY	KEY	Keyera Corp	Energy	Oil & Gas Midstream	0.53	20.71	4.58	15.80	15.80	1.31	0.0927	1.4656	12	1.92	0.1557	6	6	Tollbooth - Unregulated	NO	NO	YES	NO	Canada	1	9.27
TSE:RNW	RNW	TransAlta Renewables Inc.	Utilities	Utilities - Renewable	0.52	15.84	4.21	39.95	39.95	0.40	0.0593	2.3490	12	0.94	0.0814	4	4	Tollbooth - Unregulated	NO	NO	YES	NO	Canada	1	5.93
TSE:SPB	SPB	Superior Plus	Utilities	Utilities - Regulated Gas	0.35	12.30	2.17	62.96	62.96	0.20	0.0585	3.6000	12	0.72	0.0585	1	4	Tollbooth - Regulated	NO	NO	NO	NO	Canada	1	5.85
TSE:FN	FN	First National Financial Corporation	Financial Services	Mortgage Finance	0.59	34.12	2.05	13.19	13.19	2.59	0.0572	0.7529	12	1.95	0.0851	5	7	Tollbooth - Unregulated	NO	NO	NO	NO	Canada	1	5.72
TSE:PSK	PSK	PrairieSky Royalty Ltd.	Energy	Oil & Gas E&P	0.32	8.71	2.02	41.37	41.37	0.21	0.0827	3.4286	12	0.72	0.0827	2	4	Intermediate	NO	NO	NO	NO	Canada	1	8.27
TSE:BAD	BAD	Badger Daylighting Ltd	Industrials	Engineering & Construction	0.42	39.67	1.38	28.54	28.54	1.39	0.0151	0.4317	12	0.60	0.0461	4	4	Durable	NO	NO	NO	NO	Canada	1	1.51
TSE:EIF	EIF	Exchange Income Fund	Industrials	Airlines	0.63	33.77	1.18	21.93	21.93	1.54	0.0675	1.4805	12	2.28	0.1038	6	8	Consumable - Discretionary	NO	NO	YES	NO	Canada	1	6.75
TSE:MTL	MTL	Mullen Group Ltd	Energy	Oil & Gas Equipment & Services	0.41	9.64	0.94	17.70	17.70	0.54	0.0373	0.6667	12	0.36	0.0373	1	5	Intermediate	NO	NO	NO	NO	Canada	1	3.73
TSE:PLC	PLC	Park Lawn Corporation	Consumer Cyclical	Personal Services	0.30	27.36	0.81	85.88	85.88	0.32	0.0167	1.4250	12	0.46	0.0167	3	2	Tollbooth - Unregulated	NO	NO	NO	NO	Canada	1	1.67
TSE:SIS	SIS	Savaria Corporation	Industrials	Specialty Industrial Machinery	0.61	15.35	0.78	27.73	27.73	0.55	0.0299	0.8356	12	0.46	0.2802	7	4	Durable	NO	NO	YES	NO	Canada	1	2.99
TSE:VET	VET	Vermillion Energy	Energy	Oil & Gas E&P	0.14	4.02	0.64	0.00	0.00	-8.93	0.0000	0.0000	12	0.00	0.0136	2	0	Intermediate	NO	NO	NO	NO	Canada	1	0.00
TSE:EXE	EXE	Extendicare	Healthcare	Medical Care Facilities	0.33	5.71	0.51	26.06	26.06	0.22	0.0841	2.1818	12	0.48	0.0841	2	4	Tollbooth - Unregulated	NO	NO	NO	NO	Canada	1	8.41
TSE:CHE.UN	CHE.UN	Chemtrade Logistics	Basic Materials	Specialty Chemicals	0.33	5.32	0.49	0.00	0.00	-1.22	0.1128	1.0000	12	0.60	0.1128	3	5	Intermediate	NO	NO	NO	NO	Canada	1	11.28
TSE:FRU	FRU	Freehold Royalties Ltd	Energy	Oil & Gas E&P	0.37	3.92	0.47	0.00	0.00	-0.05	0.0459	1.0000	12	0.18	0.0459	1	6	Intermediate	NO	NO	NO	NO	Canada	1	4.59
TSE:ERF	ERF	Enerplus Corporation	Energy	Oil & Gas E&P	0.37	2.64	0.45	0.00	0.00	-4.38	0.0455	1.0000	12	0.12	0.0455	1	6	Intermediate	NO	NO	NO	NO	Canada	1	4.55
TSE:CHR	CHR	Chorus Aviation Inc.	Industrials	Airlines	0.16	2.51	0.41	5.63	5.63	0.45	0.0000	0.0000	12	0.00	0.0000	0	0	Consumable - Discretionary	NO	NO	NO	NO	Canada	1	0.00
TSE:BDT	BDT	Bird Construction Inc.	Industrials	Engineering & Construction	0.42	6.57	0.28	12.88	12.88	0.51	0.0594	0.7647	12	0.39	0.0594	1	5	Durable	NO	NO	NO	NO	Canada	1	5.94
TSE:CEU	CEU	CES Energy Solutions	Energy	Oil & Gas Equipment & Services	0.16	0.85	0.23	0.00	0.00	-0.88	0.0000	0.0000	12	0.00	0.0000	2	0	Intermediate	NO	NO	NO	NO	Canada	1	0.00
TSE:SES	SES	Secure Energy Services Inc.	Energy	Oil & Gas Equipment & Services	0.39	1.44	0.23	0.00	0.00	-0.26	0.0208	1.0000	12	0.03	0.0609	3	4	Intermediate	NO	NO	NO	NO	Canada	1	2.08
TSE:BNE	BNE	Bonterra Energy Corp.	Energy	Oil & Gas E&P	0.04	1.22	0.04	0.00	0.00	-8.78	0.0000	0.0000	12	0.00	0.0000	0	0	Intermediate	NO	NO	NO	NO	Canada	1	0.00

Best Monthly Dividend Stocks

There are not many options to start with but I picked the top 3 stocks outside of REITs that can provide stock appreciation and dividend growth.

Shaw Communications

Shaw Communications is a leading network company and one of the largest providers of residential communication services in Canada. The company serves 3.2 million subscribers, including 1.9 million internet and more than one million Shaw home phone customers. It owns an extensive network of 860,000 kilometers long fiber network providing data networking, video, voice, and Internet services to companies of all sizes. Shaw Communications has a presence in both wireline (80% of revenue) and wireless (20%) segments. The wireline division consists of consumer and business services. The wireless division provides wireless voice and data services through its mobile wireless network infrastructure. Shaw Communications operates through a large hybrid fiber-coax networks and an expanding wireless retail distribution infrastructure in collaboration with retail partners like Walmart and Loblaws. Its strategic partnership with industry leaders like Comcast, Nokia and Cisco and seamless connectivity experience are its strong competitive advantages.

Investment Data

Opportunity Score: 45
Ticker: TSE:SJR.B
Sector: Communication Services
Industry: Telecommunication Services
Market Cap: 9.42B
P/E: 18.81
Dividend Yield: 4.87%
Payout Ratio (Earnings): 91.86%
Chowder Score: Members Only
Dividend Growth: Members Only
Dividend Growth Fit: 2/10
Dividend Income Fit: 4/10

Pembina Pipeline

Pembina Pipeline is a leading midstream and transportation service provider in North America. The company is known for providing safe and cost-effective transportation solutions since the last six decades. The company offers a wide range of midstream and marketing services to the energy sector. It owns an extensive network of pipelines that transport crude oil, natural gas and natural gas liquids produced primarily in western Canada. It also runs gathering and processing facilities and an oil and natural gas liquids infrastructure business.

Pembina owns a large asset base consisting of pipelines and facilities, which is difficult for newcomers to replicate. As a leading energy infrastructure company, Pembina serves multiple basins and markets throughout Canada and the US. The company has 19 gas processing facilities and 6 billion cubic feet per day of net gas processing capacity. Pembina owns and operates an 18,000 km pipelines with a total capacity of 3 million barrels of oil equivalent per day.

Investment Data

Opportunity Score: 58
Ticker: TSE:PPL
Sector: Energy
Industry: Oil & Gas Midstream
Market Cap: 16.72B
P/E: 17.29
Dividend Yield: 8.29%
Payout Ratio (Earnings): 143.18%
Chowder Score: Members Only
Revenue Growth: Members Only
Dividend Growth: Members Only
Dividend Growth Fit: 6/10
Dividend Income Fit: 6/10

TransAlta Renewables Inc.

TransAlta Renewables is a renewable energy company and one of the largest generators of wind power in Canada. It is a sponsored vehicle of TransAlta Corporation. With more than a century’s experience under its belt, TransAlta Renewables has developed a rich experience of owning, operating, and maintaining a large fleet of power generation assets. TransAlta Renewables owns and operates 21 wind farms, 13 hydroelectric facilities, seven natural gas plant, one solar facility and one natural gas pipeline in the US, Canada, and Australia. Highly contracted renewable and natural gas power generation assets, and long-term contracts with strong counterparties ensure stable cash flows for the company. Most of its wind, hydro and gas facilities have an established track record of operating history and performance. TransAlta Renewables owns renewable energy facilities across different regions and multiple technologies. The company owns directly or through economic interests more than 2,400 MW of net generating capacity and are strategically located to supply growing industrial regions.

Investment Data

Opportunity Score: 52
Ticker: TSE:RNW
Sector: Utilities
Industry: Utilities - Renewable
Market Cap: 4.21B
P/E: 39.95
Dividend Yield: 5.93%
Payout Ratio (Earnings): 234.90%
Chowder Score: Members Only
Revenue Growth: Members Only
Dividend Growth: Members Only
Dividend Growth Fit: 4/10
Dividend Income Fit: 4/10

DISCLOSURE: Please note that I may have a position in one or many of the holdings listed. For a complete list of my holdings, please see my Dividend Portfolio.

DISCLAIMER: Please note that this blog post represents my opinion and not an advice/recommendation. I am not a financial adviser, I am not qualified to give financial advice. Before you buy any stocks/funds consult with a qualified financial planner. Make your investment decisions at your own risk – see my full disclaimer for more details.