Best Dividend Stocks for Option Income
This report lists what Tim considers to be the best dividend stocks for producing option 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 greater than or equal to 2%, free cash flow per share must be greater than their trailing dividend rate, a dividend payout ratio percentage of 90% or less, a liquidity rating of 2 stars or greater, an Algorithm score of 12 or higher or a Safety Score of 60 or better, and have made at least 20 dividend payments over the last 5 years. Finally, the stock's current price must be within 25% or lower of its 52-week low. This report is sorted by average ATM premium as well as trailing annual dividend yield percentage and is intended to find solid dividend stocks that are ideal for selling covered calls or cash-secured puts on. The report also has direct links to the options chain page for each stock as well.
| Ranking | Ticker | Company | Current Price | 52-Week High | 52-Week Low | Last Price to 52 Week Low | Ex-Dividend Date | Earnings Overlap? | Trailing Annual Dividend Rate | Trailing Annual Dividend Yield Percentage | One Year Dividend Growth Rate Percentage | Three Year Dividend Growth Rate Percentage | Five Year Dividend Growth Rate Percentage | All-Time Dividend Growth Rate Percentage | Dividend Payout Ratio Percentage | Has Options? | ATM Call Premium | ATM Put Premium | Premium To Stock Price Ratio | Liquidity Rating | Algorithm Score | Safety Score | Lists |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 1 | BBY | Best Buy Co. Inc | 67.56 | 101.10 | 54.99 | 22.86% | 3/25 | Yes | 3.77 | 5.54% | 1.06% | 0.53% | 7.93% | 14.79% | 88.08% | Options Chain | 4.75 | 5.60 | 0.08 | 12 | 62 | None | |
| 2 | TGT | Target Corp | 97.50 | 164.79 | 87.35 | 11.62% | 5/14 | Yes | 4.46 | 4.65% | 0.90% | 0.45% | 9.12% | 11.54% | 50.34% | Options Chain | 6.45 | 7.63 | 0.08 | 13 | 66 | None | |
| 3 | HPQ | HP Inc | 25.78 | 39.07 | 21.21 | 21.55% | 3/12 | Yes | 1.13 | 4.45% | 3.71% | 1.84% | 8.63% | 10.23% | 40.65% | Options Chain | 1.46 | 1.68 | 0.07 | 12 | 52 | None | |
| 4 | HAL | Halliburton Company | 20.70 | 37.47 | 18.72 | 10.58% | 3/05 | No | 0.68 | 3.41% | 0.00% | 0.00% | 39.41% | 2.18% | 28.45% | Options Chain | 1.10 | 1.29 | 0.06 | 12 | 57 | None | |
| 5 | GOLD | Barrick Gold Corp | 18.41 | 21.11 | 15.03 | 22.49% | 2/28 | No | 0.40 | 2.18% | 0.00% | 0.00% | 2.67% | -2.00% | 32.79% | Options Chain | 0.96 | 1.14 | 0.06 | 18 | 64 | None | |
| 6 | SCCO | Southern Copper Corporation | 90.12 | 122.68 | 73.52 | 22.58% | 5/02 | No | 2.67 | 2.97% | -27.20% | -14.68% | 18.04% | 10.94% | 58.75% | Options Chain | 4.50 | 5.45 | 0.06 | 13 | 63 | None | |
| 7 | CF | CF Industries Holdings Inc | 81.00 | 97.65 | 67.34 | 20.29% | 5/15 | No | 2.00 | 2.48% | 0.00% | 0.00% | 13.62% | 30.77% | 29.67% | Options Chain | 3.65 | 4.75 | 0.06 | 12 | 69 | None | |
| 8 | NKE | Nike Inc - Class B | 58.79 | 96.61 | 52.28 | 12.45% | 6/02 | No | 1.54 | 2.71% | 5.96% | 2.94% | 9.08% | 15.51% | 51.16% | Options Chain | 3.15 | 3.33 | 0.06 | 16 | 60 | None | |
| 9 | UNH | Unitedhealth Group Inc | 399.41 | 625.65 | 393.11 | 1.60% | 3/10 | No | 8.40 | 2.10% | 2.69% | 1.34% | 10.67% | 23.95% | 35.15% | Options Chain | 18.43 | 22.25 | 0.06 | 13 | 66 | None | |
| 10 | COP | Conoco Phillips | 91.38 | 122.11 | 79.88 | 14.40% | 2/14 | Yes | 3.12 | 3.44% | 0.00% | 0.00% | 12.47% | 5.93% | 39.95% | Options Chain | 4.25 | 5.03 | 0.06 | 9 | 76 | None | |
| 11 | BKR | Baker Hughes Co - Class A | 37.25 | 49.16 | 30.42 | 22.45% | 5/06 | No | 0.86 | 2.32% | 9.52% | 4.65% | 6.32% | 2.60% | 29.35% | Options Chain | 1.78 | 2.03 | 0.05 | 12 | 66 | None | |
| 12 | ARE | Alexandria Real Estate Equities Inc | 75.61 | 125.25 | 70.57 | 7.14% | 3/31 | No | 5.24 | 7.04% | 1.73% | 0.86% | 4.19% | 3.89% | 291.11% | Options Chain | 2.93 | 4.05 | 0.05 | 17 | 68 | None | |
| 13 | OXY | Occidental Petroleum Corp | 40.73 | 64.64 | 34.78 | 17.11% | 6/10 | Yes | 0.90 | 2.23% | 9.09% | 4.45% | 121.34% | -0.92% | 39.82% | Options Chain | 2.09 | 2.14 | 0.05 | 9 | 66 | None | |
| 14 | MRK | Merck & Co Inc | 83.44 | 131.54 | 75.93 | 9.89% | 3/17 | No | 3.16 | 3.80% | 3.85% | 1.90% | 5.25% | 9.17% | 45.93% | Options Chain | 3.95 | 4.30 | 0.05 | 15 | 73 | None | |
| 15 | QCOM | Qualcomm Inc | 139.80 | 227.03 | 120.80 | 15.73% | 6/05 | No | 3.40 | 2.51% | 6.27% | 3.09% | 7.26% | 17.18% | 34.69% | Options Chain | 6.50 | 7.18 | 0.05 | 14 | 69 | None | |
| 16 | SLB | SLB | 34.56 | 49.94 | 31.11 | 11.09% | 6/04 | No | 1.11 | 3.29% | 3.64% | 1.80% | 22.88% | 3.48% | 37.63% | Options Chain | 1.46 | 1.77 | 0.05 | 11 | 68 | None | |
| 17 | BG | Bunge Global SA | 78.70 | 112.16 | 66.75 | 17.90% | 2/18 | No | 2.72 | 3.43% | 0.65% | 0.32% | 7.33% | 9.26% | 34.04% | Options Chain | 3.85 | 4.00 | 0.05 | 14 | 61 | None | |
| 18 | FDX | Fedex Corp | 219.30 | 309.09 | 194.30 | 12.87% | 3/10 | No | 5.52 | 2.63% | 2.22% | 1.11% | 17.46% | 16.72% | 34.74% | Options Chain | 8.65 | 10.93 | 0.05 | 14 | 66 | None | |
| 19 | PCAR | Paccar Inc | 88.12 | 115.43 | 84.65 | 4.10% | 5/14 | No | 3.93 | 4.38% | 12.82% | 6.22% | 10.25% | 9.67% | 59.64% | Options Chain | 3.40 | 4.35 | 0.05 | 12 | 68 | None | |
| 20 | FITB | Fifth Third Bancorp | 37.10 | 48.18 | 32.25 | 15.04% | 3/31 | No | 1.46 | 4.05% | 2.78% | 1.38% | 6.74% | 8.29% | 46.35% | Options Chain | 1.20 | 1.75 | 0.05 | 12 | 65 | None | |
| 21 | SU | Suncor Energy Inc | 36.25 | 40.86 | 30.79 | 17.73% | 3/04 | Yes | 2.23 | 6.25% | 3.40% | 1.69% | 21.39% | 13.58% | 65.20% | Options Chain | 1.50 | 1.70 | 0.05 | 13 | 73 | None | |
| 22 | DOC | Healthpeak OP LLC | 17.75 | 22.57 | 17.24 | 2.96% | 6/16 | No | 3.41 | 19.16% | 0.00% | 0.00% | 0.00% | 0.00% | 830.90% | Options Chain | 0.63 | 0.83 | 0.05 | 12 | 49 | None | |
| 23 | GIS | General Mills Inc | 55.64 | 73.73 | 54.58 | 1.94% | 4/10 | No | 2.40 | 4.32% | 0.84% | 0.42% | 4.15% | 7.59% | 52.75% | Options Chain | 2.60 | 1.75 | 0.05 | 12 | 60 | None | |
| 24 | NEE | NextEra Energy Inc | 67.25 | 84.83 | 61.72 | 8.96% | 2/28 | No | 2.11 | 3.20% | 10.00% | 4.88% | 10.14% | 5.68% | 79.08% | Options Chain | 2.34 | 3.13 | 0.05 | 9 | 66 | None | |
| 25 | SPG | Simon Property Group Inc | 162.00 | 187.80 | 136.34 | 18.82% | 3/10 | Yes | 8.25 | 5.19% | 3.70% | 1.84% | 9.47% | 5.13% | 113.79% | Options Chain | 7.40 | 6.75 | 0.05 | 8 | 74 | None | |
| 26 | EQNR | Equinor ASA | 23.19 | 27.48 | 21.29 | 8.92% | 8/19 | No | 1.40 | 6.27% | 9.63% | 4.70% | 27.50% | 4.58% | 44.30% | Options Chain | 0.95 | 1.05 | 0.05 | 12 | 68 | None | |
| 27 | BXP | Boston Properties Inc | 65.05 | 87.63 | 53.37 | 21.88% | 3/31 | No | 3.92 | 6.03% | 0.00% | 0.00% | 0.00% | 3.36% | 4,355.56% | Options Chain | 2.88 | 2.78 | 0.04 | 7 | 59 | None | |
| 28 | HD | Home Depot Inc | 364.05 | 434.31 | 315.91 | 15.24% | 3/13 | Yes | 9.05 | 2.53% | 2.22% | 1.11% | 8.66% | 28.30% | 60.70% | Options Chain | 15.75 | 15.90 | 0.04 | 8 | 60 | None | |
| 29 | OMC | Omnicom Group Inc | 77.07 | 105.28 | 69.13 | 11.49% | 3/11 | No | 2.80 | 3.70% | 0.00% | 0.00% | 0.00% | 10.60% | 38.25% | Options Chain | 2.73 | 3.33 | 0.04 | 15 | 70 | None | |
| 30 | PLD | Prologis Inc | 106.02 | 129.30 | 85.35 | 24.22% | 3/18 | No | 3.89 | 3.77% | 5.21% | 2.57% | 12.52% | 4.21% | 97.01% | Options Chain | 4.45 | 4.05 | 0.04 | 12 | 69 | None | |
| 31 | OKE | Oneok Inc | 82.95 | 116.82 | 74.87 | 10.79% | 5/05 | Yes | 4.00 | 4.94% | 4.04% | 2.00% | 2.45% | 7.04% | 78.13% | Options Chain | 3.45 | 3.45 | 0.04 | 13 | 74 | None | |
| 32 | MDT | Medtronic Plc | 85.25 | 95.49 | 74.13 | 15.00% | 3/28 | Yes | 2.80 | 3.35% | 0.36% | 0.18% | 3.18% | 16.48% | 85.37% | Options Chain | 2.58 | 3.53 | 0.04 | 10 | 64 | None | |
| 33 | XOM | Exxon Mobil Corp | 106.15 | 124.20 | 97.80 | 8.54% | 5/15 | Yes | 3.88 | 3.67% | 3.13% | 1.55% | 3.21% | 5.80% | 49.49% | Options Chain | 4.03 | 4.38 | 0.04 | 11 | 74 | None | |
| 34 | TTE | TotalEnergies SE | 57.63 | 70.49 | 51.78 | 11.30% | 9/30 | No | 3.39 | 5.87% | 2.08% | 1.03% | 2.58% | 1.07% | 50.66% | Options Chain | 2.13 | 2.35 | 0.04 | 13 | 62 | None | |
| 35 | RF | Regions Financial Corp | 21.05 | 27.41 | 17.18 | 22.53% | 6/02 | No | 0.99 | 4.83% | 2.04% | 1.02% | 11.37% | -1.71% | 47.83% | Options Chain | 0.85 | 0.85 | 0.04 | 14 | 71 | None | |
| 36 | MET | Metlife Inc | 77.88 | 88.48 | 65.21 | 19.43% | 5/06 | No | 2.18 | 2.88% | 5.34% | 2.63% | 4.55% | 7.13% | 36.70% | Options Chain | 2.90 | 3.08 | 0.04 | 20 | 72 | None | |
| 37 | CNI | Canadian National Railway Company | 101.50 | 126.37 | 91.65 | 10.75% | 6/09 | No | 3.42 | 3.58% | 5.03% | 2.48% | 9.60% | 15.33% | 67.64% | Options Chain | 2.63 | 4.00 | 0.04 | 10 | 70 | None | |
| 38 | CVX | Chevron Corp | 138.65 | 168.96 | 132.04 | 5.01% | 5/19 | Yes | 6.60 | 4.84% | 4.91% | 2.42% | 6.53% | 6.15% | 67.97% | Options Chain | 4.88 | 5.33 | 0.04 | 13 | 78 | None | |
| 39 | USB | U.S. Bancorp. | 41.50 | 52.79 | 35.18 | 17.96% | 3/31 | No | 1.99 | 4.91% | 1.01% | 0.50% | 3.25% | 8.90% | 49.26% | Options Chain | 1.21 | 1.59 | 0.04 | 15 | 70 | None | |
| 40 | CHRW | C.H. Robinson Worldwide Inc | 90.83 | 114.09 | 76.21 | 19.18% | 3/07 | No | 2.47 | 2.72% | 0.81% | 0.41% | 4.50% | 15.17% | 63.99% | Options Chain | 3.35 | 3.45 | 0.04 | 14 | 55 | None | |
| 41 | CMCSA | Comcast Corp - Class A | 34.39 | 44.53 | 31.44 | 9.38% | 4/02 | No | 1.26 | 3.73% | 8.20% | 4.02% | 7.73% | 29.38% | 31.03% | Options Chain | 1.02 | 1.29 | 0.04 | 12 | 64 | None | |
| 42 | BDX | Becton Dickinson & Company | 169.50 | 250.85 | 165.50 | 2.42% | 3/10 | No | 3.98 | 2.36% | 6.94% | 3.41% | 5.48% | 10.58% | 66.89% | Options Chain | 4.90 | 6.30 | 0.04 | 13 | 64 | None | |
| 43 | UNP | Union Pacific Corp | 218.55 | 255.44 | 204.66 | 6.79% | 2/28 | No | 5.32 | 2.49% | 1.52% | 0.75% | 5.72% | 8.43% | 47.88% | Options Chain | 8.10 | 6.60 | 0.04 | 11 | 64 | None | |
| 44 | CFG | Citizens Financial Group Inc | 39.06 | 48.28 | 31.54 | 23.84% | 4/30 | No | 1.68 | 4.35% | 0.00% | 0.00% | 1.87% | 17.29% | 53.33% | Options Chain | 1.18 | 1.43 | 0.04 | 16 | 72 | None | |
| 45 | TROW | T. Rowe Price Group Inc | 91.80 | 122.80 | 77.85 | 17.92% | 3/14 | Yes | 4.99 | 5.66% | 2.42% | 1.20% | 4.13% | 17.19% | 54.54% | Options Chain | 1.98 | 3.30 | 0.04 | 22 | 65 |
Dividend Stock List |
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| 46 | LHX | L3Harris Technologies Inc | 219.74 | 263.05 | 192.04 | 14.42% | 6/03 | No | 4.68 | 2.13% | 3.45% | 1.71% | 4.15% | 7.92% | 55.52% | Options Chain | 6.75 | 7.75 | 0.04 | 13 | 70 | None | |
| 47 | SHEL | Shell Plc ADR (Representing - ) | 66.69 | 74.18 | 58.55 | 13.90% | 5/16 | Yes | 2.78 | 4.29% | 4.07% | 2.01% | 10.62% | -0.53% | 54.94% | Options Chain | 2.05 | 2.30 | 0.03 | 17 | 70 | None | |
| 48 | HON | Honeywell International Inc | 214.18 | 240.29 | 179.36 | 19.41% | 5/16 | No | 4.42 | 2.10% | 3.43% | 1.70% | 4.64% | 6.16% | 50.86% | Options Chain | 6.50 | 7.05 | 0.03 | 12 | 69 | None | |
| 49 | KDP | Keurig Dr Pepper Inc | 34.66 | 37.52 | 29.92 | 15.84% | 3/28 | No | 0.91 | 2.66% | 5.14% | 2.54% | 8.05% | -0.22% | 82.27% | Options Chain | 0.75 | 1.13 | 0.03 | 9 | 64 | None | |
| 50 | O | Realty Income Corp | 56.96 | 62.79 | 48.20 | 18.17% | 5/01 | Yes | 3.17 | 5.55% | 5.33% | 2.63% | 3.56% | 3.03% | 323.98% | Options Chain | 1.33 | 1.85 | 0.03 | 8 | 61 | None | |
| 51 | HSY | Hershey Company | 164.00 | 206.26 | 138.94 | 18.04% | 5/16 | No | 5.48 | 3.28% | 0.00% | 0.00% | 12.59% | 10.34% | 50.18% | Options Chain | 3.90 | 5.25 | 0.03 | 13 | 65 | None | |
| 52 | VZ | Verizon Communications Inc | 43.84 | 46.61 | 36.47 | 20.21% | 4/10 | No | 2.70 | 6.23% | 1.40% | 0.70% | 1.81% | 2.99% | 64.23% | Options Chain | 1.17 | 1.38 | 0.03 | 14 | 72 | None | |
| 53 | CL | Colgate-Palmolive Company | 90.00 | 107.54 | 84.85 | 6.07% | 4/17 | No | 2.02 | 2.23% | 5.05% | 2.49% | 3.83% | 8.64% | 57.22% | Options Chain | 2.45 | 2.70 | 0.03 | 13 | 63 | None | |
| 54 | NLY | Annaly Capital Management Inc | 19.29 | 21.36 | 16.59 | 16.27% | 3/31 | No | 2.65 | 13.65% | 7.69% | 3.77% | -5.56% | -0.43% | 163.58% | Options Chain | 0.48 | 0.56 | 0.03 | 12 | 58 | None | |
| 55 | PG | Procter & Gamble Company | 160.12 | 178.84 | 155.17 | 3.19% | 4/21 | No | 4.08 | 2.55% | 6.74% | 3.32% | 5.59% | 8.68% | 64.60% | Options Chain | 4.08 | 4.40 | 0.03 | 12 | 72 | None | |
| 56 | JNJ | Johnson & Johnson | 155.80 | 169.99 | 139.56 | 11.64% | 5/27 | No | 4.96 | 3.21% | 5.91% | 2.91% | 5.55% | 13.03% | 55.17% | Options Chain | 3.80 | 4.05 | 0.03 | 16 | 66 | None | |
| 57 | ITW | Illinois Tool Works Inc | 242.32 | 276.43 | 214.66 | 12.89% | 6/30 | No | 5.90 | 2.47% | 3.45% | 1.71% | 6.18% | 13.63% | 50.38% | Options Chain | 3.95 | 6.10 | 0.03 | 12 | 64 | None | |
| 58 | KHC | Kraft Heinz Company | 28.70 | 35.61 | 26.90 | 6.69% | 5/30 | No | 1.60 | 5.61% | 0.00% | 0.00% | 0.00% | -4.69% | 73.06% | Options Chain | 0.60 | 0.71 | 0.02 | 10 | 69 | None | |
| 59 | SYY | Sysco Corp | 70.77 | 81.12 | 67.12 | 5.44% | 7/03 | No | 2.04 | 2.91% | 6.93% | 3.41% | 4.09% | 15.53% | 52.31% | Options Chain | 1.30 | 1.70 | 0.02 | 14 | 55 | None | |
| 60 | EQR | Equity Residential Properties Trust | 71.72 | 76.83 | 59.41 | 20.72% | 3/31 | No | 2.72 | 3.85% | 4.53% | 2.24% | 3.54% | 3.41% | 104.12% | Options Chain | 1.65 | 1.70 | 0.02 | 11 | 62 | None | |
| 61 | TSN | Tyson Foods Inc - Class A | 61.23 | 65.82 | 52.36 | 16.94% | 5/30 | Yes | 1.98 | 3.27% | 1.52% | 0.76% | 2.74% | 17.72% | 66.89% | Options Chain | 1.00 | 1.33 | 0.02 | 17 | 63 | None | |
| 62 | VICI | VICI Properties Inc | 31.70 | 33.57 | 26.29 | 20.58% | 3/20 | No | 1.71 | 5.43% | 2.06% | 1.03% | 5.81% | 9.24% | 68.50% | Options Chain | 0.60 | 0.28 | 0.02 | 10 | 78 | None | |
| 63 | WPC | W. P. Carey Inc | 61.30 | 65.16 | 51.58 | 18.84% | 3/31 | No | 3.52 | 5.68% | 2.01% | 1.00% | -4.08% | 2.92% | 168.18% | Options Chain | 0.65 | 1.13 | 0.02 | 9 | 58 | None |