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 | TGT | Target Corp | 96.58 | 164.79 | 87.35 | 10.57% | 5/14 | Yes | 4.46 | 4.68% | 0.90% | 0.45% | 9.12% | 11.54% | 50.34% | Options Chain | 6.60 | 9.23 | 0.10 | 13 | 66 | None | |
| 2 | BBY | Best Buy Co. Inc | 67.71 | 101.10 | 54.99 | 23.13% | 3/25 | Yes | 3.77 | 5.89% | 1.06% | 0.53% | 7.93% | 14.79% | 88.08% | Options Chain | 5.00 | 6.00 | 0.09 | 13 | 63 | None | |
| 3 | HPQ | HP Inc | 25.28 | 39.07 | 21.21 | 19.19% | 3/12 | Yes | 1.13 | 4.59% | 3.71% | 1.84% | 8.63% | 10.23% | 39.93% | Options Chain | 1.80 | 2.02 | 0.08 | 12 | 54 | None | |
| 4 | WLK | Westlake Corporation | 93.39 | 159.32 | 81.41 | 14.72% | 3/04 | Yes | 2.08 | 2.19% | 2.44% | 1.21% | 16.63% | 21.74% | 44.72% | Options Chain | 4.65 | 7.30 | 0.08 | 13 | 56 | None | |
| 5 | HAL | Halliburton Company | 20.85 | 38.00 | 18.72 | 11.38% | 3/05 | No | 0.68 | 3.30% | 0.00% | 0.00% | 39.41% | 2.18% | 28.57% | Options Chain | 1.24 | 1.40 | 0.07 | 13 | 57 | None | |
| 6 | QCOM | Qualcomm Inc | 148.56 | 227.03 | 120.80 | 22.98% | 6/05 | Yes | 3.40 | 2.31% | 6.27% | 3.09% | 7.26% | 17.18% | 36.68% | Options Chain | 8.30 | 9.75 | 0.07 | 14 | 67 | None | |
| 7 | ARE | Alexandria Real Estate Equities Inc | 75.88 | 125.25 | 71.57 | 6.02% | 3/31 | No | 5.24 | 6.81% | 1.73% | 0.86% | 4.19% | 3.89% | 287.91% | Options Chain | 3.80 | 4.95 | 0.07 | 17 | 68 | None | |
| 8 | NKE | Nike Inc - Class B | 57.62 | 96.61 | 52.28 | 10.21% | 3/03 | No | 1.54 | 2.63% | 5.96% | 2.94% | 9.08% | 15.51% | 51.16% | Options Chain | 3.70 | 3.60 | 0.06 | 16 | 60 | None | |
| 9 | MRK | Merck & Co Inc | 82.74 | 131.54 | 75.93 | 8.97% | 3/17 | Yes | 3.16 | 4.01% | 3.85% | 1.90% | 5.25% | 9.17% | 46.88% | Options Chain | 3.35 | 5.25 | 0.06 | 14 | 73 | None | |
| 10 | BXP | Boston Properties Inc | 65.85 | 87.63 | 53.37 | 23.38% | 3/31 | Yes | 3.92 | 6.00% | 0.00% | 0.00% | 0.00% | 3.36% | 4,355.56% | Options Chain | 3.05 | 4.15 | 0.06 | 10 | 60 | None | |
| 11 | TROW | T. Rowe Price Group Inc | 88.44 | 122.80 | 77.85 | 13.60% | 3/14 | Yes | 4.99 | 5.57% | 2.42% | 1.20% | 4.13% | 17.19% | 54.54% | Options Chain | 3.70 | 5.50 | 0.06 | 22 | 64 |
Dividend Stock List |
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| 12 | CF | CF Industries Holdings Inc | 78.47 | 97.65 | 67.34 | 16.53% | 2/14 | No | 2.00 | 2.64% | 0.00% | 0.00% | 13.62% | 30.77% | 29.54% | Options Chain | 4.15 | 4.85 | 0.06 | 12 | 71 | None | |
| 13 | BKR | Baker Hughes Co - Class A | 36.45 | 49.16 | 30.42 | 19.82% | 5/06 | No | 0.86 | 2.40% | 9.52% | 4.65% | 6.32% | 2.60% | 31.39% | Options Chain | 1.73 | 2.23 | 0.06 | 13 | 66 | None | |
| 14 | SLB | SLB | 34.52 | 49.94 | 31.11 | 10.96% | 2/05 | Yes | 1.11 | 3.18% | 3.64% | 1.80% | 22.88% | 3.48% | 35.69% | Options Chain | 1.64 | 2.11 | 0.06 | 12 | 69 | None | |
| 15 | CFG | Citizens Financial Group Inc | 37.06 | 48.82 | 31.90 | 16.18% | 4/30 | No | 1.68 | 4.60% | 0.00% | 0.00% | 1.87% | 17.29% | 52.34% | Options Chain | 1.85 | 2.25 | 0.06 | 16 | 74 | None | |
| 16 | FITB | Fifth Third Bancorp | 35.28 | 48.18 | 32.25 | 9.40% | 3/31 | No | 1.46 | 4.16% | 2.78% | 1.38% | 6.74% | 8.29% | 46.35% | Options Chain | 1.68 | 2.13 | 0.06 | 12 | 65 | None | |
| 17 | OXY | Occidental Petroleum Corp | 40.36 | 67.24 | 34.78 | 16.04% | 3/10 | Yes | 0.90 | 2.23% | 9.09% | 4.45% | 121.34% | -0.92% | 39.82% | Options Chain | 1.96 | 2.38 | 0.06 | 10 | 66 | None | |
| 18 | COP | Conoco Phillips | 91.72 | 127.53 | 79.88 | 14.82% | 2/14 | Yes | 3.12 | 3.47% | 0.00% | 0.00% | 12.47% | 5.93% | 39.90% | Options Chain | 4.63 | 5.40 | 0.06 | 9 | 76 | None | |
| 19 | ADM | Archer Daniels Midland Company | 48.25 | 64.19 | 40.98 | 17.74% | 2/18 | Yes | 2.01 | 4.23% | 2.00% | 1.00% | 8.35% | 14.99% | 55.52% | Options Chain | 2.20 | 2.73 | 0.06 | 12 | 55 | None | |
| 20 | SU | Suncor Energy Inc | 35.60 | 40.86 | 30.79 | 15.62% | 3/04 | Yes | 2.23 | 6.26% | 3.40% | 1.69% | 21.39% | 13.58% | 65.98% | Options Chain | 1.50 | 2.00 | 0.06 | 13 | 73 | None | |
| 21 | CINF | Cincinnati Financial Corp | 133.69 | 159.87 | 107.24 | 24.66% | 3/24 | No | 3.30 | 2.46% | 7.41% | 3.64% | 8.40% | 8.98% | 22.53% | Options Chain | 6.45 | 7.40 | 0.06 | 17 | 67 | None | |
| 22 | BG | Bunge Global SA | 80.91 | 112.16 | 66.75 | 21.21% | 2/18 | No | 2.72 | 3.41% | 0.65% | 0.32% | 7.33% | 9.26% | 34.13% | Options Chain | 4.45 | 3.55 | 0.05 | 14 | 61 | None | |
| 23 | EXR | Extra Space Storage Inc | 141.05 | 180.93 | 121.03 | 16.54% | 3/14 | Yes | 6.48 | 4.59% | 0.00% | 0.00% | 9.54% | 11.52% | 160.79% | Options Chain | 7.75 | 6.45 | 0.05 | 11 | 63 | None | |
| 24 | PCAR | Paccar Inc | 91.89 | 115.43 | 85.05 | 8.04% | 2/12 | Yes | 3.93 | 4.24% | 12.82% | 6.22% | 10.25% | 9.67% | 49.75% | Options Chain | 4.90 | 4.95 | 0.05 | 11 | 72 | None | |
| 25 | SPG | Simon Property Group Inc | 156.66 | 187.80 | 132.53 | 18.21% | 3/10 | Yes | 8.25 | 5.28% | 3.70% | 1.84% | 9.47% | 5.13% | 113.64% | Options Chain | 8.20 | 6.70 | 0.05 | 9 | 74 | None | |
| 26 | HSY | Hershey Company | 163.28 | 206.26 | 138.94 | 17.52% | 2/14 | Yes | 5.48 | 3.29% | 0.00% | 0.00% | 12.59% | 10.34% | 50.46% | Options Chain | 6.45 | 8.45 | 0.05 | 13 | 63 | None | |
| 27 | CVX | Chevron Corp | 138.73 | 168.96 | 132.04 | 5.07% | 2/14 | Yes | 6.60 | 4.83% | 4.91% | 2.42% | 6.53% | 6.15% | 67.90% | Options Chain | 4.88 | 6.95 | 0.05 | 13 | 78 | None | |
| 28 | CMCSA | Comcast Corp - Class A | 33.90 | 44.53 | 31.44 | 7.82% | 4/02 | No | 1.26 | 3.66% | 8.20% | 4.02% | 7.73% | 29.38% | 30.43% | Options Chain | 1.09 | 1.69 | 0.05 | 14 | 63 | None | |
| 29 | O | Realty Income Corp | 56.89 | 63.08 | 48.42 | 17.49% | 5/01 | Yes | 3.16 | 5.54% | 5.33% | 2.63% | 3.56% | 3.03% | 322.81% | Options Chain | 1.48 | 2.83 | 0.05 | 8 | 61 | None | |
| 30 | XOM | Exxon Mobil Corp | 108.57 | 124.20 | 97.80 | 11.01% | 2/12 | No | 3.88 | 3.57% | 3.13% | 1.55% | 3.21% | 5.80% | 49.49% | Options Chain | 4.15 | 5.38 | 0.05 | 11 | 74 | None | |
| 31 | HD | Home Depot Inc | 357.58 | 434.31 | 315.91 | 13.19% | 3/13 | Yes | 9.05 | 2.54% | 2.22% | 1.11% | 8.66% | 28.30% | 60.74% | Options Chain | 17.70 | 16.98 | 0.05 | 8 | 60 | None | |
| 32 | MET | Metlife Inc | 75.19 | 88.48 | 65.21 | 15.30% | 5/06 | Yes | 2.18 | 2.94% | 5.34% | 2.63% | 4.55% | 7.13% | 36.09% | Options Chain | 3.60 | 3.45 | 0.05 | 19 | 72 | None | |
| 33 | USB | U.S. Bancorp. | 39.92 | 52.79 | 35.18 | 13.47% | 3/31 | No | 1.99 | 4.97% | 1.01% | 0.50% | 3.25% | 8.90% | 49.26% | Options Chain | 1.91 | 1.76 | 0.05 | 15 | 70 | None | |
| 34 | OMC | Omnicom Group Inc | 74.92 | 105.28 | 69.13 | 8.38% | 3/11 | No | 2.80 | 3.67% | 0.00% | 0.00% | 0.00% | 10.60% | 38.25% | Options Chain | 3.35 | 3.50 | 0.05 | 15 | 70 | None | |
| 35 | KHC | Kraft Heinz Company | 29.49 | 36.89 | 26.90 | 9.63% | 3/07 | Yes | 1.60 | 5.32% | 0.00% | 0.00% | 0.00% | -4.69% | 71.11% | Options Chain | 1.00 | 1.36 | 0.05 | 12 | 69 | None | |
| 36 | NEE | NextEra Energy Inc | 66.09 | 84.83 | 61.72 | 7.08% | 2/28 | No | 2.11 | 3.18% | 10.00% | 4.88% | 10.14% | 5.68% | 62.66% | Options Chain | 2.65 | 3.04 | 0.05 | 9 | 65 | None | |
| 37 | EQR | Equity Residential Properties Trust | 68.53 | 76.83 | 59.41 | 15.35% | 3/31 | No | 2.72 | 3.92% | 4.53% | 2.24% | 3.54% | 3.41% | 99.91% | Options Chain | 2.48 | 3.10 | 0.05 | 11 | 64 | None | |
| 38 | RF | Regions Financial Corp | 20.28 | 27.41 | 17.18 | 18.04% | 6/02 | No | 0.99 | 4.82% | 2.04% | 1.02% | 11.37% | -1.71% | 47.83% | Options Chain | 0.60 | 0.90 | 0.04 | 13 | 70 | None | |
| 39 | CCI | Crown Castle Inc | 100.19 | 117.05 | 82.81 | 20.99% | 3/14 | No | 6.26 | 6.12% | 0.00% | 0.00% | 3.48% | 12.84% | -71.14% | Options Chain | 4.40 | 4.25 | 0.04 | 4 | 54 | None | |
| 40 | NLY | Annaly Capital Management Inc | 19.21 | 21.36 | 16.35 | 17.49% | 3/31 | No | 2.65 | 14.01% | 7.69% | 3.77% | -5.56% | -0.43% | 163.58% | Options Chain | 0.54 | 0.82 | 0.04 | 11 | 58 | None | |
| 41 | SYY | Sysco Corp | 70.93 | 81.12 | 67.12 | 5.68% | 4/04 | Yes | 2.04 | 2.81% | 0.99% | 0.49% | 2.61% | 15.53% | 52.31% | Options Chain | 2.18 | 3.00 | 0.04 | 14 | 55 | None | |
| 42 | KDP | Keurig Dr Pepper Inc | 34.40 | 37.52 | 29.92 | 14.97% | 3/28 | No | 0.91 | 2.57% | 5.14% | 2.54% | 8.05% | -0.22% | 87.02% | Options Chain | 0.93 | 1.45 | 0.04 | 7 | 64 | None | |
| 43 | EQNR | Equinor ASA | 22.66 | 27.48 | 21.29 | 6.43% | 5/16 | Yes | 1.40 | 6.13% | 9.63% | 4.70% | 27.50% | 4.58% | 45.75% | Options Chain | 0.90 | 0.95 | 0.04 | 12 | 68 | None | |
| 44 | TTE | TotalEnergies SE | 59.95 | 70.71 | 51.78 | 15.78% | 6/18 | Yes | 3.39 | 5.72% | 2.08% | 1.03% | 2.58% | 1.07% | 50.66% | Options Chain | 2.50 | 2.50 | 0.04 | 12 | 62 | None | |
| 45 | UNP | Union Pacific Corp | 213.29 | 255.44 | 204.66 | 4.22% | 2/28 | Yes | 5.32 | 2.47% | 1.52% | 0.75% | 5.72% | 8.43% | 48.01% | Options Chain | 7.25 | 8.85 | 0.04 | 12 | 64 | None | |
| 46 | MDT | Medtronic Plc | 84.16 | 95.49 | 74.13 | 13.53% | 3/28 | Yes | 2.80 | 3.34% | 0.36% | 0.18% | 3.18% | 16.48% | 85.11% | Options Chain | 2.99 | 3.30 | 0.04 | 11 | 64 | None | |
| 47 | PRU | Prudential Financial Inc | 102.90 | 128.97 | 90.38 | 13.85% | 2/18 | Yes | 5.25 | 5.05% | 3.85% | 1.90% | 4.09% | 10.52% | 70.00% | Options Chain | 3.60 | 4.00 | 0.04 | 16 | 67 | None | |
| 48 | VICI | VICI Properties Inc | 32.22 | 33.57 | 26.29 | 22.56% | 3/20 | Yes | 1.71 | 5.28% | 2.06% | 1.03% | 5.81% | 9.24% | 66.89% | Options Chain | 1.05 | 1.25 | 0.04 | 10 | 79 | None | |
| 49 | TSN | Tyson Foods Inc - Class A | 60.62 | 65.82 | 52.36 | 15.78% | 5/30 | Yes | 1.98 | 3.22% | 1.52% | 0.76% | 2.74% | 17.72% | 66.89% | Options Chain | 1.60 | 2.28 | 0.04 | 17 | 61 | None | |
| 50 | CL | Colgate-Palmolive Company | 93.91 | 107.54 | 84.85 | 10.68% | 4/17 | Yes | 2.02 | 2.15% | 5.05% | 2.49% | 3.83% | 8.64% | 58.72% | Options Chain | 3.50 | 2.93 | 0.04 | 11 | 63 | None | |
| 51 | HBAN | Huntington Bancshares Inc | 14.40 | 18.09 | 11.54 | 24.78% | 6/17 | No | 0.62 | 4.37% | 0.00% | 0.00% | 0.61% | 3.90% | 46.97% | Options Chain | 0.43 | 0.53 | 0.04 | 13 | 63 | None | |
| 52 | KIM | Kimco Realty Corporation | 20.35 | 25.28 | 17.19 | 18.38% | 3/07 | No | 0.98 | 4.78% | 3.09% | 1.53% | 10.12% | 3.55% | 178.18% | Options Chain | 0.15 | 0.73 | 0.04 | 10 | 58 | None | |
| 53 | PLD | Prologis Inc | 102.24 | 129.30 | 85.35 | 19.79% | 3/18 | No | 3.89 | 3.76% | 5.21% | 2.57% | 12.52% | 4.21% | 97.01% | Options Chain | 3.30 | 3.65 | 0.04 | 11 | 69 | None | |
| 54 | VZ | Verizon Communications Inc | 41.91 | 46.61 | 36.29 | 15.49% | 4/10 | No | 2.70 | 6.30% | 1.40% | 0.70% | 1.81% | 2.99% | 65.16% | Options Chain | 1.43 | 1.33 | 0.03 | 14 | 65 | None | |
| 55 | DOC | Healthpeak OP LLC | 17.83 | 22.57 | 17.20 | 3.66% | 6/16 | No | 3.41 | 18.10% | 0.00% | 0.00% | 0.00% | 0.00% | 946.30% | Options Chain | 0.10 | 0.60 | 0.03 | 9 | 50 | None | |
| 56 | JNJ | Johnson & Johnson | 154.58 | 169.99 | 139.56 | 10.76% | 5/27 | No | 4.96 | 3.19% | 5.91% | 2.91% | 5.55% | 13.03% | 55.17% | Options Chain | 4.73 | 5.10 | 0.03 | 13 | 65 | None | |
| 57 | WPC | W. P. Carey Inc | 60.62 | 65.16 | 50.25 | 20.64% | 3/31 | Yes | 3.52 | 5.79% | 2.01% | 1.00% | -4.08% | 2.92% | 168.18% | Options Chain | 0.83 | 1.90 | 0.03 | 8 | 58 | None | |
| 58 | LHX | L3Harris Technologies Inc | 216.08 | 263.05 | 192.04 | 12.52% | 6/03 | No | 4.68 | 2.16% | 3.45% | 1.71% | 4.15% | 7.92% | 59.09% | Options Chain | 6.35 | 5.30 | 0.03 | 13 | 70 | None | |
| 59 | GIS | General Mills Inc | 56.14 | 73.73 | 54.58 | 2.86% | 4/10 | No | 2.40 | 4.19% | 0.84% | 0.42% | 4.15% | 7.59% | 52.75% | Options Chain | 1.58 | 1.43 | 0.03 | 12 | 60 | None | |
| 60 | PG | Procter & Gamble Company | 161.02 | 178.84 | 155.17 | 3.77% | 4/21 | Yes | 4.08 | 2.56% | 6.74% | 3.32% | 5.59% | 8.68% | 64.91% | Options Chain | 3.43 | 4.03 | 0.03 | 12 | 71 | None |