Passive Income: 4 Top TSX Stocks That Pay Dividends Monthly

Boost your passive income with these four TSX stocks that pay high monthly dividends.

If you’re looking for passive income, it’s always nice to collect reliable monthly dividends. Fortunately, there are several TSX stocks that pay dividends monthly. If you’re keen on reliable monthly dividends that will keep passive income rolling in, here are four stocks to look at.

Pembina Pipeline: A solid monthly passive income stock

Pembina Pipeline (TSX:PPL)(NYSE:PBA) is one of Canada’s top midstream and pipeline companies. Around 90% of its assets are secured with long-term contracts, so cash flows are relatively predictable.

Today, it pays a monthly dividend worth $0.25 per share. That equals a handsome 5.5% dividend yield right now. Put $10,000 into this stock and you will earn $45 every month.

Pembina recently announced an extremely robust second quarter where earnings per share soared 79% to $0.70. The company is benefiting from a very strong energy pricing environment.

The company also received regulatory approval to complete an accretive joint venture project with KKR in which the two companies will combine their respective western Canadian natural gas processing assets into a single entity. Once completed, management hopes to increase its high dividend by an additional 3%!

Superior Plus: A passive income stock with an outsized dividend yield

If you’re looking for a passive income stock with an outsized dividend yield, you may want to consider Superior Plus (TSX:SPB). It pays a $0.06 dividend per share monthly. After the stock declined 13% this year, it now has a 6.4% yield when trading for $11.30 per share. $10,000 invested in this stock would earn $53 a month.

Superior operates a North American-wide propane distribution business, and is the leading distributor of propane in Canada. It has strategically located its facilities close to rail transportation and major customers, providing cost advantages that can boost margins and position the company competitively within core markets. Superior has grown largely by acquisition, but it has taken on quite a lot of debt. If it can execute, investors should receive a combination of growth and income. However, there are some risks that come with the elevated debt.

Northland Power: An alternative energy stock with a monthly passive income stream

An alternative energy stock that pays a monthly passive income stream is Northland Power (TSX:NPI). It pays a $0.10 dividend per share every month. With a price of $43 per share, that equates to a 2.8% dividend yield right now. Put $10,000 into Northland stock and you would earn $23.40 a month.

Northland is an attractive stock for income and growth. It operates an international renewable energy business, and it’s core focus is on offshore wind power, one of the fastest renewable power growth segments.

The company is expected to report very strong results this week. Across the globe, power prices have soared and that should support strong earnings. Any excess cash generated should help support its large, long-term development pipeline.

Dream Industrial REIT: Growth, passive income, and value

If you’d like to count on monthly passive income, real estate stocks often pay a monthly distribution. That is largely because they earn monthly income from contracted leases. Right now, a favourite real estate stock is Dream Industrial Real Estate Investment Trust (TSX:DIR.UN).

It has a portfolio that spans across top Canadian and European industrial markets, and it just reported very strong second quarter results. Funds from operation per unit (a key real estate profitability metric) increased 12.6% to $0.22. Its portfolio value increased 22% in the quarter. Likewise, it saw new lease rates increase by a whopping 34% on average.

Dream Industrial pays a $0.0583 monthly distribution. After a 27% decline this year, this passive income stock trades with an elevated 5.6% yield. If you put $10,000 into this stock, you would earn $46.66 a month. For a healthy dividend, a solid growth outlook, and an attractive valuation, Dream Industrial is an ideal stock to buy now.

Should you invest $1,000 in TransAlta right now?

Before you buy stock in TransAlta, consider this:

The Motley Fool Stock Advisor Canada analyst team just identified what they believe are the Top Stocks for 2025 and Beyond for investors to buy now… and TransAlta wasn’t one of them. The Top Stocks that made the cut could potentially produce monster returns in the coming years.

Consider MercadoLibre, which we first recommended on January 8, 2014 ... if you invested $1,000 in the “eBay of Latin America” at the time of our recommendation, you’d have $21,345.77!*

Stock Advisor Canada provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month – one from Canada and one from the U.S. The Stock Advisor Canada service has outperformed the return of S&P/TSX Composite Index by 24 percentage points since 2013*.

See the Top Stocks * Returns as of 4/21/25

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.

Fool contributor Robin Brown has positions in DREAM INDUSTRIAL REIT and NORTHLAND POWER INC. The Motley Fool recommends DREAM INDUSTRIAL REIT, PEMBINA PIPELINE CORPORATION, and SUPERIOR PLUS CORP.

Confidently Navigate Market Volatility: Claim Your Free Report!

Feeling uneasy about the ups and downs of the stock market lately? You’re not alone. At The Motley Fool Canada, we get it — and we’re here to help. We’ve crafted an essential guide designed to help you through these uncertain times: "5-Step Checklist: How to Prepare Your Portfolio for Volatility."

Don't miss out on this opportunity for peace of mind. Just click below to learn how to receive your complimentary report today!

Get Our Free Report Today

More on Dividend Stocks

Canadian dollars in a magnifying glass
Dividend Stocks

If I Could Only Buy and Hold a Single Monthly Payer, This Would Be it

Long-term investors seeking monthly income should take a closer look at discounted Granite REIT for a generous yield.

Read more »

dividends can compound over time
Dividend Stocks

Is Fiera Stock a Buy for its Dividend Yield?

Fiera stock has one amazing dividend yield right now, but what else should investors consider?

Read more »

The sun sets behind a power source
Dividend Stocks

This Dividend Champion Has Paid Dividends for 51 Straight Years

All hail this dividend king for its proven potential to provide stable, reliable, and growing income.

Read more »

Person holding a smartphone with a stock chart on screen
Dividend Stocks

The Smartest Telecom Stock to Buy With $3,500 Right Now

Smart TFSA move? Telus stock shines for income & growth, outpacing rivals with a 7.7% dividend yield, two decades of…

Read more »

hand stacks coins
Dividend Stocks

I’d Put $7,000 in These Legendary Dividend Growers to Earn for the Next Decade

If you've got some cash for your TFSA, here are two stocks that should give you growing dividend income and…

Read more »

Blocks conceptualizing Canada's Tax Free Savings Account
Dividend Stocks

Here’s How to Catch up to the Average Canadian TFSA at Age 45

The TFSA can create immense passive income, and this dividend stock is an excellent choice.

Read more »

edit Safe pig, protect money
Dividend Stocks

How I’d Secure My Retirement With a $7,000 Investment Today

If you have the discipline to invest with a long-term strategy, here’s how you can use $7,000 in a TFSA…

Read more »

Canadian flag
Dividend Stocks

TFSA: 3 Canadian Stocks to Buy and Hold for Life

The TFSA is the perfect place to create income for years, and these three are the best Canadian stocks to…

Read more »