The Canadian inventory market has no scarcity of choices to select from whenever you need to purchase dividend shares. Issues appear to be heating up because the S&P/TSX Composite Index continues its bull market run. The Canadian benchmark is up by 26.63% 12 months so far, indicating indicators of power within the total financial system. Whereas the index exhibits a broad upward pattern, not each inventory has seen its share costs soar.
Earlier than we see the entire market attain new all-time highs, it could be a good suggestion to lock in juicy dividend yields into your self-directed funding portfolio. Though the Canadian power sector may need a status for being risky, there are shares that may be wonderful holdings for month-to-month dividend revenue.
As we speak, I’ll talk about a month-to-month dividend inventory which may warrant a spot in your self-directed passive-income-focused portfolio.
Whitecap Sources
Whitecap Sources (TSX:WCP) is a $14.24 billion market-cap Canadian power firm that engages within the acquisition, growth, and manufacturing of crude oil and pure fuel. Whereas most power shares pay dividends on a quarterly schedule, Whitecap Sources distributes funds to traders every month.
The power firm is among the few month-to-month dividend shares that boasts a rising payout. The corporate has not too long ago grown by strategic acquisitions, garnering extra consideration from traders for the type of returns it will probably provide. The corporate’s acquisition of Veren, which it accomplished in Could 2025, has been a profitable resolution. The merger has modified the sport for Whitecap Sources and its traders.
The corporate’s third-quarter outcomes for the fiscal 12 months noticed its quarterly income shoot by over 86%, and its funds circulation surged by 119% in the identical interval. The corporate’s administration has effectively built-in the 2 companies, and it’s assured in its future. The administration elevated its forecasted value synergies from an estimated $210 million firstly to an enormous $300 million per 12 months.
Month-to-month dividends galore
One of many main causes I’m discussing this inventory is its month-to-month distributions. Most TSX dividend shares pay on a quarterly schedule. It means it’s essential to wait for 3 months to obtain a payout. Whitecap Sources gives month-to-month dividends. The month-to-month frequency makes it a preferred holding for these looking for common month-to-month returns, particularly retirees. Traders who need to compound returns by reinvesting dividends additionally admire that the inventory cuts checks every month.
As of this writing, Whitecap Sources inventory trades for $11.73 per share, and it pays traders $0.0608 per 30 days, translating to a juicy 6.22% annualized dividend yield. The yield was round 7% till not too long ago, however on account of an 11% uptick in share costs, it noticed its yield barely deflated. Investing in its shares at present ranges can imply locking within the high-yielding dividends earlier than additional deflation.
Silly takeaway
Excessive yields usually include excessive dangers, however Whitecap Sources is a well-capitalized enterprise with a stable stability sheet. The corporate’s financials may help it stand up to among the worst market circumstances with out compromising its month-to-month dividends.
The corporate’s administration additionally augments its secure dividends with hedging to make it an much more engaging funding to contemplate. It may be a superb funding to contemplate. Right here’s how shopping for shares of this month-to-month dividend inventory can present $150 per 30 days:
| Ticker | Current Value | Variety of Shares | Dividends per Month per Share | Complete Month-to-month Dividend Payout |
| WCP | $11.73 | 2500 | $0.0608 | $152 |
