Top 7 – High-Yield US Stocks That Pay Monthly Dividends

For investors seeking consistent passive income, high-yield US stocks that pay monthly dividends are a compelling option. Unlike quarterly dividend stocks, these companies provide regular cash flow, which can be beneficial for retirees and income-focused investors. In this article, we explore the best monthly dividend stocks in the US that offer high yields, solid financials, and long-term growth potential.

1. Realty Income Corporation (NYSE: O)

Company Overview

Realty Income, known as “The Monthly Dividend Company®,” is one of the most popular dividend-paying real estate investment trusts (REITs). It owns over 13,000 commercial properties across the US and Europe, leased to major brands like Walmart, Walgreens, and FedEx. We already purchased ‘The Monthly Dividend Company‘ for our dividend stocks challenge if you want to read a bigger review.

Dividend Details

• Stock Price (as of February 2025): $56.52
• Dividend Yield: 5.27%
• Monthly Dividend: $0.2125 per share
• Next Dividend Payment Date: March 15, 2025

Financial Performance & Growth Prospects

Realty Income consistently increases dividends and has over 54 years of dividend payments with a CAGR of 4.4%. The company continues to expand internationally and is targeting $3 billion in acquisitions this year.

Should You Buy?

With strong financials, a diverse property portfolio, and a commitment to dividend growth, Realty Income remains a top choice for monthly dividend investors. Analysts give it a 12-month price target of $60, suggesting moderate upside potential.

2. STAG Industrial, Inc. (NYSE: STAG)

Company Overview

STAG Industrial is a REIT focused on industrial real estate, such as warehouses and distribution centers. With the rise of e-commerce and supply chain logistics, demand for STAG’s properties is growing.

Dividend Details

• Stock Price: $35.13
• Dividend Yield: 4.7%
• Monthly Dividend: $0.1375 per share
• Next Dividend Payment Date: March 15, 2025

Financial Performance & Growth Prospects

STAG reported a CAGR of 5% in FFO (funds from operations) over the past five years. Industrial REITs are benefiting from rising warehouse demand, and STAG continues to acquire new properties.

Should You Buy?

STAG is well-positioned for long-term dividend growth. Analysts predict a 12-month price target of $38, indicating an 8% upside.

3. Main Street Capital Corporation (NYSE: MAIN)

Company Overview

Main Street Capital is a business development company (BDC) that provides financing to small and medium-sized enterprises (SMEs). It earns money through interest income and equity investments.

Dividend Details

• Stock Price: $62.74
• Dividend Yield: 6.2%
• Monthly Dividend: $0.325 per share
• Next Dividend Payment Date: March 10, 2025

Financial Performance & Growth Prospects

Main Street Capital has a strong dividend history, with a CAGR of 5% over the last decade. It also issues supplemental dividends, boosting investor returns.

Should You Buy?

Main Street Capital offers high yields with lower volatility than most BDCs. Analysts set a 12-month price target of $67, suggesting moderate upside.

4. AGNC Investment Corp. (NASDAQ: AGNC)

Company Overview

AGNC is a mortgage REIT (mREIT) that invests in government-backed mortgage securities (MBS). It profits from interest rate spreads, making it a high-yield investment.

Dividend Details

• Stock Price: $10.53
• Dividend Yield: 13.68%
• Monthly Dividend: $0.12 per share
• Next Dividend Payment Date: March 8, 2025

Financial Performance & Growth Prospects

AGNC has maintained a double-digit dividend yield despite rate fluctuations. As interest rates stabilise, mREITs like AGNC could benefit from improved margins.

Should You Buy?

AGNC is a higher-risk, high-reward monthly dividend stock. Analysts estimate a 12-month price target of $10.50, offering potential upside.

5. Prospect Capital Corporation (NASDAQ: PSEC)

Company Overview

Prospect Capital is another business development company (BDC) that provides debt and equity financing to middle-market companies. It operates in energy, real estate, and financial services.

Dividend Details

• Stock Price: $4.45
• Dividend Yield: 12.13%
• Monthly Dividend: $0.045 per share
• Next Dividend Payment Date: March 20, 2025

Financial Performance & Growth Prospects

Prospect Capital has a strong track record of dividends but faces challenges in managing leverage. Rising interest rates could impact future earnings and from all the above list, is probably the riskier.

Should You Buy?

PSEC is a high-yield income stock with risks. Analysts set a 12-month price target of $6.50, suggesting limited growth but strong income potential.

6. SL Green Realty Corp. (NYSE: SLG)

Company Overview

SL Green is a REIT focused on New York City commercial properties. It owns and manages office buildings and retail spaces in prime Manhattan locations.

Dividend Details

• Stock Price: $38.54
• Dividend Yield: 8.4%
• Monthly Dividend: $0.27 per share
• Next Dividend Payment Date: March 15, 2025

Financial Performance & Growth Prospects

SL Green is adapting to changing office space demand. It is focusing on residential conversions and premium leasing, making it a resilient investment.

Should You Buy?

SLG is attractive for income investors looking for NYC real estate exposure. Analysts expect a price target of $42, offering potential upside.

7. EPR Properties (NYSE: EPR)

Company Overview

EPR Properties is a specialty REIT investing in entertainment, recreation, and education properties. Its portfolio includes movie theaters, amusement parks, and ski resorts.

Dividend Details

• Stock Price: $49.54
• Dividend Yield: 6.9%
• Monthly Dividend: $0.285 per share
• Next Dividend Payment Date: March 15, 2025

Financial Performance & Growth Prospects

EPR is rebounding post-pandemic, with increased demand for entertainment properties. Its CAGR is projected at 4% over the next five years.

Should You Buy?

For investors seeking alternative REIT exposure, EPR is a strong contender. Analysts estimate a price target of $50.50, offering moderate growth.

Conclusion

High-yield monthly dividend stocks can be a great way to generate consistent passive income, but investors must choose wisely. Stocks like Realty Income (O) and STAG Industrial (STAG) offer stability and long-term growth, while AGNC Investment (AGNC) and Prospect Capital (PSEC) provide higher yields but come with added risk. As a reminder, normally stocks with high yield is because they are risky or just spending their money on their investors instead of in research and development that could grow the businesses. So you might get a higher yield and a lower capital gain.

Before investing, consider diversifying across multiple sectors to balance risk and income potential. With the right mix of dividend stocks, you can build a strong, income-generating portfolio for the long term.