Best Monthly Dividend Stocks this January 2026

Cohen Steers Quality Income Realty Fund Inc (RQI) focuses on generating reliable income through monthly dividends, currently boasting a yield of 9.52%. This fund is particularly appealing for investors prioritizing income over capital appreciation, despite a recent 1-year return of -3.41% and a 5-year return of -2.14%. With strong analyst ratings of B+, RQI can be considered a strategic buy for those prepared to navigate its complexities.

RQI is a strategic buy for income-focused investors who can navigate its complexities, though it faces challenges due to uncertain real estate valuations and interest rates.

RQI pays a monthly dividend of $1.12 per share, yielding 9.52%, with the next ex-dividend date on January 13, 2026.

RQI primarily generates income through investments in real estate securities, with capital appreciation as a secondary goal.

AGNC Investment Corp. (AGNC) offers a compelling monthly dividend stock with a forward yield of 12.62%, making it an attractive choice for income-focused investors. Despite a 1-year return of 24.78%, its 5-year return has declined by 26.86%, suggesting cautious consideration for those prioritizing long-term growth. Analysts maintain a median 12-month price target of $10.25, with ratings ranging from Equal Weight to Overweight, highlighting the stock's mixed but generally positive outlook.

AGNC may not be ideal for dividend investors, as its management focuses on total return rather than reliable dividend payments.

Armour Residential REIT (ARR) stands out with an impressive forward yield of 15.91%, appealing to investors seeking robust monthly dividends. Despite its high yield, the stock has faced challenges, reflected in a 5-year return of -66.34%. Analysts are cautiously optimistic, offering a median price target of $17.25 and maintaining a Neutral rating, suggesting that while ARR may provide strong income, it may not significantly outperform the market in the near term.

ARR shows potential for market outperformance, but its Growth Score is F and Momentum Score is D, indicating it may not be suitable for momentum investors.

ARR is expected to perform in line with market averages over the next 12 months.

Predictions for ARR suggest a price of $18.22 in one day, $17.93 in one week, and $18.49 in one month.

Eaton Vance Ltd Duration Income Fund (EVV) is an attractive option for income-focused investors, boasting an impressive monthly dividend yield of 8.81%. With a strong analyst rating of A-, this fund provides a reliable income stream, although potential investors should be aware of the risks associated with its heavy leverage and sensitivity to interest rates. The fund has seen a modest one-year return of 0.91% and a five-year return of -19.73%, highlighting the importance of considering market conditions when investing.

EVV is highly leveraged, making it sensitive to interest rate changes, which can amplify losses in a high-rate environment. Additionally, a significant portion of its assets are below investment grade, increasing default risk if economic conditions worsen.

EVV offers an annual dividend of $0.88 per share, resulting in a yield of 8.81%, with dividends paid monthly.

EVV's current stock price is $9.91, with a market capitalization of $1.15 billion and a daily trading volume of 366,780 shares.

The PIMCO Corporate and Income Opportunity Fund (PTY) offers a compelling strategy for income-seeking investors, delivering a substantial dividend yield of 10.83%. Despite a challenging performance with a one-year return of -8.08% and a five-year return of -26.76%, its 20-day moving average of 12.95 suggests potential for recovery, making it a noteworthy consideration. However, it's important to note that analysts have rated PTY with a C-, indicating some caution for prospective buyers.

The 20-day moving average for PTY is 12.95, indicating that it is a buy.

Major shareholders of PTY include LPL Financial LLC, Morgan Stanley, Northwestern Mutual Wealth Management, and Invesco Ltd.

Ellington Financial (EFC) stands out as a compelling choice for income-focused investors, boasting a high dividend yield of 11.37%. Recent performance reflects a 1-year return of 13.47%, although it has faced challenges over the past five years with a return of -9.91%. Analysts show a consensus Buy rating, with a median price target of $13.50, indicating a positive outlook for this high-yield investment option in the U.S. market.

Ellington Financial (EFC) has a consensus rating of 'Buy' from 7 analysts.

Ellington Financial has paid dividends to its shareholders since 2009.

Investing in EFC stock involves risks such as credit risk, prepayment risk, interest rate risk, and market risk, making it unsuitable for risk-averse investors.

Major shareholders of EFC include BlackRock, Vanguard Group, and various ETFs such as iShares Core S&P Small-Cap ETF and iShares Russell 2000 ETF.

The Nuveen Floating Rate Income Fund (JFR) offers an attractive dividend yield of 12.94%, making it appealing for investors seeking reliable monthly income. With a focus on adjustable-rate loans, JFR reduces interest rate risk, thus providing a potential hedge against rising rates. Despite a 1-year return of -9.77% and a 5-year return of -12.84%, analyst ratings remain positive, indicating a buy signal for both short and long-term investments.

JFR stock has positive buy signals from both short and long-term moving averages, indicating a favorable long-term investment outlook.

Investing in JFR stock offers reduced interest rate risk due to its focus on adjustable rate loans, which are less affected by rising short-term rates.

The 12-month average price target for JFR stock is $10.58, suggesting a potential upside of 0.72% based on analyst ratings.

Major shareholders of JFR stock include Morgan Stanley, Sit Investment Associates, LPL Financial, and Invesco, among others.

Apple Hospitality REIT (APLE) offers an appealing dividend yield of 8.10%, making it a strong candidate for income-focused investors. Despite facing a 1-year return of -14.92% and a 5-year return of -1.66%, the REIT is recognized for its potential to outperform the market, with a median price target of $14.00 set by analysts. As a monthly dividend stock, it provides consistent payouts, though future distributions depend on board approval.

APLE REIT shows potential for growth, but its current Growth Score is D and Momentum Score is F, indicating it may not be suitable for momentum investors.

APLE REIT expects to continue monthly distributions, but each distribution requires approval from the Board of Directors.