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, 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.



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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 WSM Williams-Sonoma Inc 151.19 218.93 124.37 21.56% 4/17 Yes 2.37 1.57% 22.51% 10.68% 21.54% 14.29% 26.99% Options Chain 11.85 17.50 0.12 15 67 None
2 TER Teradyne Inc 77.12 162.70 65.77 17.26% 2/14 Yes 0.48 0.62% 0.00% 0.00% 4.66% 8.01% 14.46% Options Chain 5.40 7.45 0.10 16 58 None
3 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
4 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
5 GPN Global Payments Inc 72.48 125.18 65.93 9.93% 3/14 Yes 1.00 1.39% 0.00% 0.00% 2.96% 15.76% 16.23% Options Chain 3.85 6.05 0.08 16 73 None
6 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
7 A Agilent Technologies Inc 106.28 154.20 96.43 10.21% 4/01 Yes 0.97 0.92% 3.77% 1.87% 6.33% 9.10% 21.75% Options Chain 5.05 8.35 0.08 11 60 None
8 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
9 AMAT Applied Materials Inc 151.55 254.22 123.74 22.47% 5/22 Yes 1.60 1.11% 21.05% 10.02% 18.28% 12.58% 20.92% Options Chain 8.75 11.63 0.08 16 62 None
10 ORCL Oracle Corp 138.49 197.09 112.38 23.23% 4/10 Yes 1.70 1.24% 25.00% 11.80% 13.62% 17.35% 39.91% Options Chain 9.48 10.20 0.07 11 64 None
11 WST West Pharmaceutical Services Inc 214.55 372.07 187.43 14.47% 4/30 No 0.82 0.39% 3.70% 1.84% 5.04% 7.08% 12.26% Options Chain 10.80 15.15 0.07 12 57 None
12 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
13 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
14 LDOS Leidos Holdings Inc 145.71 201.76 123.25 18.22% 3/14 Yes 1.56 1.10% 3.90% 1.93% 3.39% -1.21% 16.92% Options Chain 6.15 9.55 0.07 13 66 None
15 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
16 BAH Booz Allen Hamilton Holding Corp - Class A 119.59 189.07 101.05 18.35% 2/14 Yes 2.08 1.79% 7.84% 3.85% 10.42% 15.55% 30.68% Options Chain 7.75 7.70 0.06 15 63 None
17 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
18 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
19 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
20 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
21 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
22 OC Owens Corning 144.08 212.65 123.41 16.75% 3/10 No 2.58 1.79% 15.00% 7.24% 27.63% 15.82% 35.01% Options Chain 8.85 8.85 0.06 9 69 None
23 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
24 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
25 AAPL Apple Inc 209.28 259.81 168.32 24.33% 2/10 Yes 1.00 0.49% 1.01% 0.50% 3.69% 35.61% 15.87% Options Chain 10.65 12.78 0.06 10 64 None
26 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
27 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
28 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
29 UNH Unitedhealth Group Inc 418.64 625.65 417.12 0.36% 3/10 No 8.40 1.98% 2.69% 1.34% 10.67% 23.95% 35.16% Options Chain 20.90 24.68 0.06 12 66 None
30 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
31 SCI Service Corp International 78.42 88.70 66.16 18.53% 3/14 Yes 1.22 1.55% 6.67% 3.28% 9.82% 8.83% 34.56% Options Chain 2.93 4.55 0.06 8 64 None
32 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
33 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
34 BDX Becton Dickinson & Company 205.08 250.85 193.03 6.24% 3/10 Yes 3.98 1.97% 6.94% 3.41% 5.48% 10.58% 66.22% Options Chain 9.75 11.45 0.06 13 63 None
35 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
36 JBHT J.B. Hunt Transport Services Inc 129.73 199.88 122.79 5.65% 2/07 No 1.73 1.33% 2.33% 1.16% 10.51% 16.48% 30.95% Options Chain 7.15 7.05 0.06 12 58 None
37 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
38 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
39 AXP American Express Company 264.81 325.20 218.27 21.32% 4/04 No 2.92 1.11% 21.48% 10.22% 17.51% 7.75% 20.41% Options Chain 11.95 14.38 0.05 15 69 None
40 TXT Textron Inc 68.42 94.50 57.70 18.58% 6/13 No 0.08 0.12% 0.00% 0.00% 0.00% -2.69% 1.84% Options Chain 2.48 3.70 0.05 13 55 None
41 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
42 MSFT Microsoft Corporation 391.85 465.64 344.79 13.65% 5/15 Yes 3.16 0.84% 7.79% 3.82% 9.61% 12.66% 24.98% Options Chain 16.78 20.98 0.05 14 70 None
43 CAT Caterpillar Inc 306.45 414.91 265.98 15.22% 4/21 Yes 5.64 1.91% 4.06% 2.01% 7.14% 12.80% 25.57% Options Chain 14.58 16.30 0.05 12 73 None
44 DHR Danaher Corp 197.14 280.67 171.00 15.29% 3/28 No 1.13 0.58% 18.52% 8.87% 11.10% 17.34% 21.40% Options Chain 8.35 10.45 0.05 10 60 None
45 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
46 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
47 SHW Sherwin-Williams Company 331.62 399.55 280.39 18.27% 5/16 No 2.94 0.88% 10.49% 5.11% 9.48% 11.77% 27.87% Options Chain 16.75 13.70 0.05 12 54 None
48 ZTS Zoetis Inc - Class A 153.47 198.58 139.22 10.24% 4/21 Yes 1.86 1.21% 15.74% 7.58% 18.92% 19.62% 34.14% Options Chain 7.25 7.75 0.05 13 59 None
49 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
50 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
51 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
52 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
53 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
54 SYK Stryker Corp 365.06 405.25 312.78 16.71% 3/31 Yes 3.28 0.91% 3.70% 1.84% 6.78% 12.41% 42.16% Options Chain 14.80 17.95 0.05 8 65 None
55 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
56 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
57 CTSH Cognizant Technology Solutions Corp - Class A 72.17 90.51 63.07 14.43% 2/18 Yes 1.21 1.70% 3.33% 1.65% 6.61% 6.99% 26.30% Options Chain 3.23 3.40 0.05 16 61 None
58 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
59 ALL Allstate Corp (The) 192.91 212.91 154.43 24.92% 3/10 Yes 3.76 1.94% 8.70% 4.26% 5.41% 8.06% 22.13% Options Chain 7.35 8.95 0.05 17 74 None
60 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
61 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
62 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
63 TRU TransUnion 82.09 112.91 66.38 23.67% 2/27 No 0.43 0.52% 9.52% 4.65% 6.32% 6.96% 29.66% Options Chain 3.60 3.70 0.05 12 55 None
64 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
65 DOV Dover Corp 169.01 221.73 143.04 18.16% 2/28 Yes 2.06 1.24% 0.49% 0.24% 0.87% 7.94% 20.03% Options Chain 7.25 7.45 0.04 14 60 None
66 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
67 MCO Moody`s Corp 438.62 530.93 357.34 22.75% 5/16 Yes 3.49 0.81% 10.59% 5.16% 10.96% 5.17% 30.11% Options Chain 17.60 19.05 0.04 11 62 None
68 CP Canadian Pacific Kansas City Ltd 72.48 87.26 66.49 9.01% 3/28 Yes 0.76 1.04% 0.00% 0.00% 0.00% 8.31% 26.48% Options Chain 3.13 2.40 0.04 7 68 None
69 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
70 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
71 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
72 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
73 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
74 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
75 AON Aon plc. - Class A 335.85 412.97 273.50 22.80% 5/01 Yes 2.70 0.73% 12.88% 6.24% 10.62% 5.58% 21.60% Options Chain 10.75 13.70 0.04 11 67 None
76 ECL Ecolab Inc 238.14 272.98 216.12 10.19% 3/18 Yes 2.44 1.03% 10.17% 4.96% 7.46% 9.66% 32.97% Options Chain 8.80 9.60 0.04 11 62 None
77 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
78 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
79 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
80 NOC Northrop Grumman Corp 473.20 550.76 413.34 14.48% 3/03 No 8.24 1.78% 2.36% 1.17% 7.54% 7.07% 29.10% Options Chain 18.20 18.30 0.04 14 71 None
81 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
82 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
83 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
84 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
85 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
86 WM Waste Management Inc 228.31 239.32 194.50 17.38% 3/14 No 3.08 1.35% 10.00% 4.88% 9.45% 7.18% 45.22% Options Chain 7.00 8.00 0.04 10 65 None
87 CB Chubb Ltd 279.11 306.91 239.98 16.31% 3/14 No 3.64 1.28% 1.39% 0.69% 3.44% 12.67% 16.36% Options Chain 9.75 9.75 0.03 15 72 None
88 WCN Waste Connections Inc 194.47 201.66 159.53 21.90% 2/27 No 1.20 0.61% 7.69% 3.77% 10.50% 14.13% 50.21% Options Chain 6.75 5.85 0.03 8 63 None
89 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
90 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
91 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
92 CTVA Corteva Inc 61.47 66.06 49.59 23.96% 3/03 Yes 0.67 1.10% 3.03% 1.50% 5.93% 6.14% 54.47% Options Chain 1.20 1.95 0.03 13 58 None
93 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
94 YUM Yum Brands Inc 147.30 163.30 121.56 21.17% 2/21 Yes 2.72 1.84% 5.97% 2.94% 9.16% 14.20% 52.01% Options Chain 4.30 4.35 0.03 7 64 None
95 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
96 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
97 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
98 SSNC SS&C Technologies Holdings Inc 72.69 89.73 59.22 22.75% 3/03 No 0.99 1.28% 2.04% 1.02% 10.12% 16.39% 33.00% Options Chain 1.78 1.55 0.02 12 57 None