| COMPANY | RECENT PRICE | NUMBER OF SHARES | INVESTMENT | DIVIDEND | TOTAL PAYOUT | FREQUENCY |
| NWH.UN | $6.00 | 3,666 | $21,996.0 | $0.03 | $110.00 | Monthly |
| PZA | $16.39 | 1,342 | $21,995.4 | $0.0775 | $104.00 | Monthly |
| WCP | $13.59 | 1,618 | $21,988.6 | $0.0608 | $98.40 | Monthly |
| Total | $312.40 | Monthly |
With that in mind, here are my three top picks. A combined investment of $66,000, divided equally between these stocks, could generate more than $300 in monthly passive income, creating a meaningful and consistent cash flow for investors.
Source: Getty Images
NorthWest Healthcare Properties REIT
First on my list NorthWest Healthcare Properties REIT (TSX: NWH.UN), which posted a solid fourth-quarter performance yesterday. The REIT reported revenues of $107.6 million, up 4.8% year-over-year, driven by owned real estate revenue growth and favorable currency effects, partially offset by sales of non-core assets over the past four quarters. Net operating income (NOI) for the same property increased 3% to $65 million, supported by inflation-related rent escalations, leased capital expenditures and improved recoveries. During the quarter, the REIT also completed 286,850 square feet of new, remodeled and early leasing activity, achieving a strong 85% renewal rate.
General and administrative expenses increased $0.8 million to $11.8 million, primarily due to lower payroll capitalization amid reduced development activities and unfavorable currency movements at foreign subsidiaries. Net losses rose to $27 million from $2.9 million in the year-ago quarter. Excluding one-time items, however, adjusted funds from operations (AFFO) increased 20% year-over-year to $0.12 per unit, improving the AFFO payout ratio to 75%, compared to 90% a year earlier.
The REIT has also increased its financial flexibility by reducing its debt-to-gross book value to 46.4% from 50% at the end of 2024. As of the fourth quarter, liquidity was $465.5 million, including cash and undrawn credit facilities. Now that fundamentals have been strengthened and the balance sheet is healthier, management remains focused on driving organic growth and selective acquisitions to support sustainable distributions.
Currently, NorthWest Healthcare pays a monthly benefit of $0.03 per unit, which yields approximately 6% annualized.
Pizza Pizza Royalty
Another monthly dividend stock that I consider an attractive buy right now is Pizza Pizza Royalty (TSX:PZA). The company operates the Pizza Pizza and Pizza 73 brands through an asset-light franchise model, earning royalties based on franchisee sales. This structure makes financial performance less sensitive to fluctuations in commodity prices and rising labor costs, while at the same time generating stable and predictable cash flows. To help smooth out the seasonal fluctuations typical of the restaurant industry, the company pays equal monthly dividends to investors. Currently, it pays $0.0775 per share every month, which translates into a forward yield of about 5.7%.
So far this year, PZA has expanded its royalty pool by adding 39 new restaurants and removing 19 locations that have ceased operations, resulting in net growth. In addition to expanding its footprint, management is investing in digital platform enhancements, faster service initiatives and menu innovation to drive same-store sales growth.
Given its resilient, asset-light business model and continued growth initiatives, PZA appears well-positioned to support (and potentially increase) its dividend payments, making it an attractive choice for income-oriented investors.
Whitecap Resources
My final choice is Whitecap Resources (TSX: WCP), which recently posted strong fourth-quarter performance. The company’s free cash flow increased 22.9% year over year to $186 million, supported by efficient operational execution and continued integration efforts following the merger with Veren.
Whitecap also ended the quarter with a solid balance sheet, reporting a net debt to annual cash flows ratio of 1.0. In addition, it had approximately $1.5 billion in liquidity at the end of the quarter, making it well-positioned to finance ongoing development and growth initiatives.
From a resource perspective, the company has 2.2 billion barrels of oil equivalent in proven and probable reserves, with a reserve life index of more than 16 years. To further strengthen its manufacturing base, Whitecap plans to invest between $2 billion and $2.1 billion this year. Supported by these investments, management expects average production in 2026 to be between 370,000 and 375,000 boe/d, with the midpoint representing a 21.2% increase over the previous year.
Given its growing production profile, disciplined capital allocation and prudent risk management strategy, Whitecap appears well positioned to support and potentially improve its dividend payments. The company currently pays a monthly dividend of $0.0608 per share, yielding approximately 5.4%.
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