Covered Calls With Upcoming Dividends

This report lists what Tim considers to be the best dividend stocks for producing covered call option income with an upcoming ex-dividend date. The idea of this strategy is to collect premium from the covered call, and either have the stock get called away before the ex-dividend date, called away after the ex-dividend date and collect the dividend income, or not be called away at all (and keep all of the premium and dividend income). The criteria for the stocks on this list are that they must have a market cap of $10 billion or greater, have a dividend yield between 2% and 10%, a dividend payout ratio percentage of 90% or less, a liquidity rating of 2 stars or greater, an Algorithm score of 12 or higher, have made at least 10 dividend payments over the last 5 years, and have an upcoming ex-dividend date within the next 45 days. The report is sorted in order of the nearest upcoming dividend date and is intended to find solid dividend stocks that are ideal for selling covered calls on. The report also has direct links to the options chain page for each stock as well.

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Ticker Company Options Chain Bid Ask Premium Return on Investment Premium to Strike Price Ratio Implied Volatility Delta Theta Underlying Stock Price Strike Price Contract Expiration Earnings Overlap? Ex-Dividend Date Previous Dividend Amount Current Dividend Amount 5-Year Dividend Payments Count Total Years Dividends Increasing Liquidity Rating Algorithm Score Safety Score Lists
COST Costco Wholesale Corp Options Chain 41.10 48.50 44.80
Profitability Analysis 4.13%
0.05 0.31 0.55 -0.48 975.84 970.00 6/6/2025 No 5/02 1.16 1.30 23 21 15 62 None
COST Costco Wholesale Corp Options Chain 35.50 40.70 38.10
Profitability Analysis 4.46%
0.04 0.29 0.51 -0.48 975.84 980.00 6/6/2025 No 5/02 1.16 1.30 23 21 15 62 None
GS Goldman Sachs Group Inc Options Chain 24.35 27.05 25.70
Profitability Analysis 8.39%
0.05 0.34 0.52 -0.29 529.31 545.00 6/6/2025 No 5/30 3.00 3.00 21 13 15 78 None
GS Goldman Sachs Group Inc Options Chain 21.55 24.35 22.95
Profitability Analysis 8.81%
0.04 0.34 0.49 -0.28 529.31 550.00 6/6/2025 No 5/30 3.00 3.00 21 13 15 78 None
MSFT Microsoft Corporation Options Chain 16.35 19.35 17.85
Profitability Analysis 7.82%
0.05 0.31 0.55 -0.20 374.39 385.00 6/6/2025 Yes 5/15 0.83 0.83 21 20 14 70 None
MSFT Microsoft Corporation Options Chain 13.85 16.55 15.20
Profitability Analysis 8.45%
0.04 0.31 0.50 -0.20 374.39 390.00 6/6/2025 Yes 5/15 0.83 0.83 21 20 14 70 None
AMAT Applied Materials Inc Options Chain 9.05 10.00 9.53
Profitability Analysis 10.57%
0.06 0.45 0.54 -0.11 144.70 150.00 6/6/2025 Yes 5/22 0.40 0.46 21 7 15 62 None
AMAT Applied Materials Inc Options Chain 7.80 8.85 8.33
Profitability Analysis 11.47%
0.05 0.44 0.50 -0.11 144.70 152.50 6/6/2025 Yes 5/22 0.40 0.46 21 7 15 62 None
QCOM Qualcomm Inc Options Chain 6.95 7.75 7.35
Profitability Analysis 7.49%
0.05 0.42 0.48 -0.10 147.21 150.00 6/6/2025 Yes 6/05 0.85 0.89 21 22 14 70 None
TGT Target Corp Options Chain 6.55 6.80 6.68
Profitability Analysis 6.81%
0.07 0.53 0.55 -0.08 95.31 94.00 5/30/2025 Yes 5/14 1.12 1.12 21 39 13 66 None
TGT Target Corp Options Chain 5.40 5.70 5.55
Profitability Analysis 8.77%
0.06 0.51 0.47 -0.07 95.31 97.00 6/6/2025 Yes 5/14 1.12 1.12 21 39 13 66 None
MS Morgan Stanley Options Chain 5.25 5.65 5.45
Profitability Analysis 8.07%
0.05 0.34 0.53 -0.06 112.31 115.00 6/6/2025 No 4/30 0.93 0.93 21 11 16 76 None
TJX TJX Companies Inc Options Chain 4.75 5.45 5.10
Profitability Analysis 3.97%
0.04 0.27 0.54 -0.06 126.50 126.00 6/6/2025 Yes 5/15 0.38 0.42 18 4 13 62 None
SBUX Starbucks Corp Options Chain 4.90 5.05 4.98
Profitability Analysis 5.64%
0.06 0.44 0.55 -0.06 83.86 83.00 5/30/2025 Yes 5/16 0.61 0.61 21 15 10 57 None
MS Morgan Stanley Options Chain 4.70 5.10 4.90
Profitability Analysis 8.47%
0.04 0.33 0.50 -0.06 112.31 116.00 6/6/2025 No 4/30 0.93 0.93 21 11 16 76 None
TJX TJX Companies Inc Options Chain 4.20 4.95 4.58
Profitability Analysis 4.35%
0.04 0.27 0.51 -0.06 126.50 127.00 6/6/2025 Yes 5/15 0.38 0.42 18 4 13 62 None
SBUX Starbucks Corp Options Chain 4.40 4.55 4.48
Profitability Analysis 6.24%
0.05 0.44 0.52 -0.06 83.86 84.00 5/30/2025 Yes 5/16 0.61 0.61 21 15 10 57 None
JNJ Johnson & Johnson Options Chain 3.55 4.40 3.98
Profitability Analysis 3.15%
0.03 0.20 0.51 -0.05 155.38 155.00 5/30/2025 No 5/27 1.24 1.30 21 42 13 65 None
WMT Walmart Inc Options Chain 3.85 4.00 3.93
Profitability Analysis 4.51%
0.04 0.32 0.53 -0.06 95.84 96.00 5/30/2025 No 5/09 0.23 0.23 23 41 9 58 None
C Citigroup Inc Options Chain 2.96 3.20 3.08
Profitability Analysis 8.05%
0.05 0.33 0.52 -0.03 66.30 68.00 6/6/2025 No 5/05 0.56 0.56 21 2 17 85 None
C Citigroup Inc Options Chain 2.39 2.73 2.56
Profitability Analysis 8.78%
0.04 0.32 0.47 -0.03 66.30 69.00 6/6/2025 No 5/05 0.56 0.56 21 2 17 85 None
KR Kroger Company Options Chain 2.16 2.36 2.26
Profitability Analysis 2.19%
0.03 0.24 0.53 -0.03 72.00 71.00 5/30/2025 No 5/15 0.32 0.32 21 18 12 63 None
KR Kroger Company Options Chain 1.82 2.32 2.07
Profitability Analysis 3.32%
0.03 0.25 0.45 -0.02 72.00 72.00 6/6/2025 No 5/15 0.32 0.32 21 18 12 63 None
EPD Enterprise Products Partners L P Options Chain 0.80 0.99 0.90
Profitability Analysis 5.65%
0.03 0.22 0.54 -0.01 30.70 31.00 5/30/2025 Yes 4/30 0.54 0.54 21 27 12 67 None
EPD Enterprise Products Partners L P Options Chain 0.42 0.62 0.52
Profitability Analysis 7.67%
0.02 0.22 0.35 -0.01 30.70 32.00 6/6/2025 Yes 4/30 0.54 0.54 21 27 12 67 None