An 4.8% Dividend Stock Paying Cash Every Month

Monthly cash has a way of making a portfolio feel useful. Not exciting in a fireworks-and-confetti way. More like a “hey, the bills are coming anyway, so let’s have some cash show up, too” way. For investors building passive income, that rhythm can be surprisingly powerful.

Why monthly matters

The need is not imaginary. Statistics Canada said food purchased from stores rose 4.3% year over year in May 2026, outpacing headline inflation for the 16th straight month. Fresh fruit and vegetables helped push grocery prices higher, which is rude behaviour from salad, frankly.

That is why monthly dividend stocks can appeal to investors. They do not erase inflation or make groceries cheaper. Yet they can add a regular stream of cash that investors can use, save, or reinvest.

The trick is finding a dividend backed by real cash flow. A big yield can look tempting, but if the business cannot support it, the payout can become a trap with a nice bow on top. Investors should want income, but not risk.

WCP

That brings us to Whitecap Resources (TSX:WCP). WCP stock is a Canadian oil and natural gas producer with operations across Western Canada. The company became much larger after closing its combination with Veren in 2025, creating a leading Canadian oil and natural gas producer.

That scale helps explain why WCP stock deserves attention from income investors. Energy prices can swing, sometimes with the emotional stability of a toddler denied a second cookie. A larger asset base, stronger production profile, and disciplined balance sheet can help a producer manage those cycles.

The monthly dividend is the headline here. WCP stock’s dividend table shows 2026 monthly payments of $0.0608 per share from January through June, with the June dividend paid July 15 to shareholders of record on June 30. That works out to about $0.73 per share annually, yielding 4.8% at writing while trading at 21.4 times earnings at writing. Even $7,000 could therefore bring in ample income, with $27 each month from WCP stock.

COMPANYRECENT PRICENUMBER OF SHARESANNUAL DIVIDENDANNUAL TOTAL PAYOUTFREQUENCYTOTAL INVESTMENTWCP$15.70445$0.73$324.85Monthly$6,986.50

Into earnings

The recent results support the income case. In the first quarter of 2026, WCP stock generated $349 million in free funds flow after $676 million of capital investment. It also declared $221 million in dividends during the quarter.

That is the number investors should watch. Free funds flow shows how much cash remains after funding the business. For an energy producer, dividends need that cash far more than they need a pretty investor slide.

WCP stock also raised its full-year production guidance by 7,500 barrels of oil equivalent per day (boe/d), now expecting 378,000 to 382,000 boe/d while keeping its capital budget unchanged. That suggests better execution, not just more spending.

Considerations

The balance sheet adds another useful detail. WCP stock said its net debt to annualized funds flow ratio was 0.8 times at the end of the first quarter, with $1.2 billion of unused credit capacity. That gives the company some room to handle weaker commodity prices.

Yet WCP stock depends on oil and natural gas prices. If prices fall, cash flow can shrink quickly, and dividend safety can weaken. The company may pay monthly, but the energy market does not promise monthly manners.

Still, WCP stock looks like a strong candidate for investors who want monthly cash and can handle energy-sector volatility. The stock offers a 4.8% yield, regular monthly payments, improving production guidance, and a business with far more scale than it had a few years ago.

Bottom line

For long-term income investors, the opportunity is not just the next dividend. It’s the chance to build a monthly cash stream from a Canadian energy stock that can keep paying while the cycle keeps moving.

The post An 4.8% Dividend Stock Paying Cash Every Month appeared first on The Motley Fool Canada.

Should you invest $1,000 in Whitecap Resources right now?

Before you buy stock in Whitecap Resources, consider this:

The Motley Fool Canada team has identified what they believe are the top 10 TSX stocks for 2026… and Whitecap Resources wasn’t one of them. The 10 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 over $17,000!*

Now, it’s worth noting Stock Advisor Canada’s total average return is 97%* – a market-crushing outperformance compared to 88%* for the S&P/TSX Composite Index. Don’t miss out on our top 10 stocks, available when you join our mailing list!

Get the 10 stocks instantly #start_btn6 { background: #0e6d04 none repeat scroll 0 0; color: #fff; font-size: 1.2em; font-family: 'Montserrat', sans-serif; font-weight: 600; height: auto; line-height: 1.2em; margin: 30px 0; max-width: 350px; text-align: center; width: auto; box-shadow: 0 1px 0 rgba(0, 0, 0, 0.5), 0 1px 0 #fff inset, 0 0 2px rgba(0, 0, 0, 0.2); border-radius: 5px; } #start_btn6 a { color: #fff; display: block; padding: 20px; padding-right:1em; padding-left:1em; } #start_btn6 a:hover { background: #FFE300 none repeat scroll 0 0; color: #000; } @media (max-width: 480px) { div#start_btn6 { font-size:1.1em; max-width: 320px;} } margin_bottom_5 { margin-bottom:5px; } margin_top_10 { margin-top:10px; }

* Returns as of July 6th, 2026

More reading

• Your 2026 TFSA Game Plan: How to Turn the Contribution Room Into Monthly Cash
• Here’s the Average Canadian TFSA at Age 50
• 2 High-Yield Dividend Stocks to Own for the Next 10 Years
• How to Structure a TFSA With $14,000 for Lifelong Monthly Income
• 5 TSX Dividend Stocks With Solid Yields Built for Steady Cash Flow in Any Market

Fool contributor Amy Legate-Wolfe has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.