Dividends can be a source of passive income in addition to capital gains. However, each publicly listed company has its own dividend policy. Some companies pay dividends once a year, while others make multiple payments. If you're looking for stocks that pay dividends regularly, it's important to understand their payment frequency and schedule. Here's what you need to know about stocks with recurring dividend payments. 

Are There Stocks That Pay Dividends Every Month?

Stocks that consistently pay dividends every month are still uncommon in Indonesia. Companies that regularly pay dividends do not necessarily distribute them every month, as payment frequency depends on each company's dividend policy. Therefore, don't rely solely on historical dividend payments. Check the latest payment schedule to determine when you can expect to receive dividends. 

Stocks With Consistent Dividend Histories 

Some publicly listed companies have a history of paying dividends more than once a year. However, the frequency and amount of dividends may vary from one period to another. Here are some examples: 

Stock Code	Sector	Dividend Frequency	Payment History	Dividend Yield
MARK	Basic Materials	Several times a year	Interim & final	7.07%
AMAR	Financials	Several times a year	Interim & final	4.83%
TAPG	Consumer Non-Cyclicals	Several times a year	Interim & final	9.57%
EAST	Properties & Real Estate	Irregular	Based on the company's decision	2.15%
IKBI	Basic Materials	Irregular	Based on the company's decision	6.82%

Dividend yields can change depending on the stock price and the amount of dividends distributed. Therefore, any list of dividend-paying stocks should be updated based on the latest announcements from each company. Payment history is also important for assessing dividend consistency. 

How to Read a Dividend Payment Schedule

There are several important dates you should understand to determine when you are entitled to receive a dividend:

• Cum date, or cum-dividend date, is the last date on which investors can purchase a stock and still be entitled to receive the dividend.
• Ex date, or ex-dividend date, is the first day on which investors purchasing the stock are no longer entitled to receive the dividend.
• Recording date is the date when the company records the investors who are entitled to receive the dividend.
• Payment date is the date when the company pays the dividend to investors.

Don't Chase High Dividend Yields Alone

A high dividend yield may be attractive, but it does not necessarily mean that a company has strong fundamentals. You should also consider earnings, cash flow, dividend payout ratio, financial condition, and dividend payment consistency. This can help you determine whether the dividend is supported by a healthy and sustainable business.

Monitoring Dividend Information

Up-to-date information can help you track dividend schedules and assess a company's financial condition. Use sources that provide company data, payment histories, financial statements, and corporate actions. Mandiri Sekuritas, through Growin', helps investors monitor market information and investment activities. Companies may pay dividends 1–4 times a year, depending on their respective dividend policies.

Regular dividend payments can be part of a strategy for building passive income. However, don't simply look for stocks that pay dividends most frequently. Instead, look for companies with healthy businesses, strong financial positions, and sustainable dividend policies. By understanding dividend history, payment schedules, and company fundamentals, you can develop a more focused investment strategy with securities companies registered with and supervised by the Financial Services Authority (OJK), such as Mandiri Sekuritas. 

FAQ

Are there any stocks in Indonesia that actually pay dividends every month?

Monthly dividend payments are still uncommon in Indonesia. Companies may pay dividends 1–4 times a year, depending on their respective policies.

 

Does a quarterly dividend mean the company will definitely pay dividends four times a year?

Not necessarily. The frequency of dividend payments depends on the company's policy and corporate decisions.

 

Does a stock price usually fall after a dividend is paid?

A stock price may be adjusted after the stock enters the ex date. However, stock price movements are also influenced by market conditions and other factors.

 

How much should you invest to create a steady stream of dividend income? 

There is no fixed amount. Potential dividend income depends on the number of shares you own and the dividend per share distributed by the company.

 

Are stock dividends received by investors subject to tax?

Dividend taxation depends on the applicable tax rules and the investor's circumstances. Be sure to check the latest regulations before calculating your potential investment returns.