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. 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 | QCOM | Qualcomm Inc | 178.40 | 257.56 | 120.88 | 47.58% | 9/03 | Yes | 3.62 | 2.04% | 4.55% | 2.25% | 5.86% | 16.60% | 41.90% | Options Chain | 10.38 | 15.85 | 0.09 | 10 | 63 | None | |
| 2 | PBR | Petroleo Brasileiro S.A. Petrobras | 26.00 | 26.10 | 10.65 | 144.13% | 8/25 | Yes | 3.42 | 13.28% | 65.25% | 28.55% | -25.28% | 5.21% | 86.40% | Options Chain | 1.74 | 2.15 | 0.08 | 18 | 52 | None | |
| 3 | TXN | Texas Instruments Inc | 279.12 | 332.33 | 150.20 | 85.83% | 10/30 | Yes | 5.68 | 2.05% | 5.09% | 4.83% | 5.36% | 13.46% | 86.45% | Options Chain | 18.20 | 21.93 | 0.08 | 10 | 64 | None | |
| 4 | HPQ | HP Inc | 30.01 | 36.23 | 16.91 | 77.47% | 9/09 | No | 1.20 | 3.89% | 2.72% | 1.35% | 4.34% | 10.08% | 45.80% | Options Chain | 1.79 | 2.19 | 0.07 | 12 | 55 | None | |
| 5 | TRI | Thomson-Reuters Corp | 109.01 | 157.66 | 75.78 | 43.85% | 8/19 | Yes | 3.41 | 3.13% | 8.38% | 4.11% | 8.72% | 4.53% | 89.52% | Options Chain | 6.60 | 7.70 | 0.07 | 13 | 70 | None | |
| 6 | LEN | Lennar Corp - Class A | 78.00 | 130.83 | 71.78 | 8.67% | 10/07 | No | 2.00 | 2.56% | 0.00% | 0.00% | 7.46% | 10.47% | 37.88% | Options Chain | 4.45 | 5.20 | 0.07 | 14 | 67 | None | |
| 7 | ACN | Accenture plc - Class A | 229.68 | 282.94 | 115.82 | 98.31% | 10/13 | No | 6.60 | 2.94% | 8.73% | 11.07% | 13.13% | 12.36% | 48.35% | Options Chain | 11.15 | 15.15 | 0.07 | 17 | 66 | None | |
| 8 | IBM | International Business Machines Corp | 232.14 | 330.09 | 197.77 | 17.38% | 8/10 | Yes | 6.74 | 2.88% | 0.75% | 0.37% | 0.64% | 4.75% | 59.86% | Options Chain | 13.45 | 14.75 | 0.06 | 9 | 66 | None | |
| 9 | HAS | Hasbro Inc | 98.41 | 104.60 | 67.33 | 46.16% | 8/19 | Yes | 2.80 | 2.85% | 0.00% | 0.00% | 0.18% | 16.01% | 50.09% | Options Chain | 5.35 | 6.25 | 0.06 | 7 | 60 | None | |
| 10 | NKE | Nike Inc - Class B | 37.13 | 68.19 | 31.97 | 16.14% | 9/01 | No | 1.64 | 4.42% | 1.86% | 0.93% | 6.92% | 15.27% | 78.85% | Options Chain | 2.04 | 2.33 | 0.06 | 12 | 58 | None | |
| 11 | EQNR | Equinor ASA | 44.92 | 47.01 | 21.54 | 108.54% | 11/16 | Yes | 1.52 | 3.38% | 5.48% | 6.81% | 18.54% | 4.98% | 41.64% | Options Chain | 2.30 | 2.80 | 0.06 | 13 | 61 | None | |
| 12 | BMY | Bristol-Myers Squibb Company | 59.75 | 67.94 | 40.71 | 46.77% | 10/02 | Yes | 2.52 | 4.16% | 1.61% | 2.47% | 3.93% | 6.95% | 51.96% | Options Chain | 2.54 | 3.62 | 0.06 | 16 | 63 | None | |
| 13 | FNF | Fidelity National Financial Inc | 39.68 | 56.47 | 37.88 | 4.75% | 9/16 | Yes | 2.08 | 5.24% | 2.97% | 1.47% | 4.12% | 2.92% | 72.22% | Options Chain | 1.85 | 2.35 | 0.06 | 15 | 68 | None | |
| 14 | COP | Conoco Phillips | 141.73 | 141.62 | 82.95 | 70.86% | 8/17 | Yes | 3.36 | 2.37% | 5.66% | 2.79% | -1.64% | 5.82% | 44.50% | Options Chain | 6.80 | 8.15 | 0.06 | 9 | 67 | None | |
| 15 | CVS | CVS Health Corp | 92.58 | 110.00 | 68.48 | 35.19% | 10/22 | Yes | 2.66 | 2.87% | 0.00% | 0.00% | 4.86% | 6.75% | 71.31% | Options Chain | 4.60 | 5.25 | 0.06 | 11 | 64 | None | |
| 16 | ABT | Abbott Laboratories | 104.89 | 128.83 | 80.89 | 29.67% | 10/15 | Yes | 2.52 | 2.41% | 6.78% | 7.03% | 7.60% | 8.38% | 81.29% | Options Chain | 4.50 | 5.90 | 0.06 | 10 | 66 | None | |
| 17 | HAL | Halliburton Company | 33.50 | 43.20 | 21.78 | 53.81% | 9/02 | Yes | 0.68 | 2.07% | 0.00% | 0.00% | 9.10% | 2.12% | 35.79% | Options Chain | 1.58 | 1.88 | 0.06 | 12 | 56 | None | |
| 18 | CMCSA | Comcast Corp - Class A | 21.90 | 31.56 | 20.48 | 6.93% | 10/07 | Yes | 1.32 | 6.06% | 1.54% | 4.02% | 5.64% | 27.14% | 42.58% | Options Chain | 1.19 | 1.03 | 0.05 | 15 | 70 | None | |
| 19 | PM | Philip Morris International Inc | 199.90 | 210.45 | 137.25 | 45.65% | 10/02 | Yes | 6.01 | 3.00% | 13.48% | 6.52% | 6.15% | 5.94% | 86.35% | Options Chain | 8.80 | 10.80 | 0.05 | 10 | 67 | None | |
| 20 | TGT | Target Corp | 156.63 | 170.75 | 81.20 | 92.89% | 11/10 | Yes | 4.58 | 2.97% | 1.77% | 1.79% | 3.82% | 11.03% | 47.56% | Options Chain | 7.13 | 8.33 | 0.05 | 11 | 64 | None | |
| 21 | HD | Home Depot Inc | 309.63 | 389.18 | 277.15 | 11.72% | 9/03 | Yes | 9.29 | 3.01% | 1.30% | 0.65% | 5.23% | 27.51% | 65.01% | Options Chain | 12.78 | 15.38 | 0.05 | 8 | 61 | None | |
| 22 | SWK | Stanley Black & Decker Inc | 92.48 | 103.74 | 59.33 | 55.87% | 9/08 | Yes | 3.33 | 3.60% | 1.82% | 0.90% | 1.39% | 5.82% | 81.42% | Options Chain | 4.45 | 4.55 | 0.05 | 15 | 64 | None | |
| 23 | UNM | Unum Group | 92.23 | 96.77 | 68.21 | 35.21% | 7/24 | Yes | 1.89 | 2.04% | 9.66% | 10.87% | 11.25% | 5.98% | 44.04% | Options Chain | 3.80 | 4.25 | 0.05 | 9 | 62 | None | |
| 24 | MDT | Medtronic Plc | 94.75 | 102.92 | 72.06 | 31.49% | 9/25 | Yes | 2.86 | 2.99% | 1.77% | 0.88% | 1.91% | 16.03% | 70.27% | Options Chain | 3.40 | 4.35 | 0.05 | 12 | 64 | None | |
| 25 | GSK | GSK Plc | 49.51 | 60.11 | 41.38 | 19.65% | 8/14 | Yes | 1.82 | 3.70% | 5.58% | 2.75% | -1.28% | 0.71% | 57.28% | Options Chain | 1.88 | 2.15 | 0.04 | 11 | 67 | None | |
| 26 | YUMC | Yum China Holdings Inc | 44.67 | 57.33 | 39.72 | 12.46% | 8/27 | Yes | 1.11 | 2.46% | 20.83% | 9.92% | 24.68% | 14.77% | 40.66% | Options Chain | 1.88 | 1.80 | 0.04 | 14 | 51 | None | |
| 27 | T | AT&T Inc | 23.44 | 28.43 | 19.41 | 20.76% | 10/09 | Yes | 1.11 | 4.74% | 0.00% | 0.00% | -4.82% | 1.89% | 36.04% | Options Chain | 0.61 | 0.94 | 0.04 | 11 | 60 | None | |
| 28 | XOM | Exxon Mobil Corp | 174.68 | 179.16 | 108.83 | 60.51% | 8/17 | Yes | 4.12 | 2.36% | 3.00% | 1.49% | 3.79% | 5.76% | 52.15% | Options Chain | 5.85 | 7.00 | 0.04 | 12 | 71 | None | |
| 29 | ADM | Archer Daniels Midland Company | 82.61 | 88.75 | 54.00 | 52.98% | 8/19 | Yes | 2.07 | 2.48% | 1.96% | 0.98% | 6.78% | 14.63% | 56.40% | Options Chain | 3.30 | 3.30 | 0.04 | 14 | 43 | None | |
| 30 | OKE | Oneok Inc | 90.65 | 99.85 | 61.67 | 46.99% | 11/02 | Yes | 4.24 | 4.68% | 3.88% | 3.96% | 3.43% | 6.88% | 73.23% | Options Chain | 3.60 | 3.40 | 0.04 | 14 | 73 | None | |
| 31 | CVX | Chevron Corp | 224.99 | 222.55 | 142.51 | 57.88% | 8/19 | Yes | 7.05 | 3.21% | 4.09% | 2.03% | 5.81% | 6.12% | 67.85% | Options Chain | 8.13 | 8.78 | 0.04 | 11 | 69 | None | |
| 32 | FANG | Diamondback Energy Inc | 195.60 | 216.90 | 133.81 | 46.18% | 8/13 | Yes | 4.25 | 2.17% | 10.00% | 4.88% | -16.29% | 34.11% | 80.95% | Options Chain | 6.40 | 7.60 | 0.04 | 10 | 74 | None | |
| 33 | MET | Metlife Inc | 100.76 | 102.42 | 66.41 | 51.72% | 11/03 | Yes | 2.32 | 2.32% | 4.34% | 4.32% | 4.32% | 6.69% | 44.44% | Options Chain | 1.70 | 3.90 | 0.04 | 17 | 70 | None | |
| 34 | TTE | TotalEnergies SE | 88.49 | 92.37 | 56.36 | 57.01% | 12/31 | Yes | 3.45 | 3.78% | -15.25% | 6.95% | 7.30% | 3.56% | 43.18% | Options Chain | 2.25 | 3.40 | 0.04 | 14 | 58 | None | |
| 35 | PCAR | Paccar Inc | 110.01 | 138.87 | 90.03 | 22.19% | 11/10 | Yes | 2.43 | 2.21% | 4.55% | 8.60% | 10.47% | 9.62% | 51.16% | Options Chain | 4.20 | 3.95 | 0.04 | 10 | 62 | None | |
| 36 | WFC | Wells Fargo & Company | 83.87 | 96.18 | 72.36 | 15.91% | 8/07 | No | 1.85 | 2.21% | 17.65% | 8.47% | 16.12% | 8.33% | 26.89% | Options Chain | 3.20 | 3.18 | 0.04 | 15 | 74 | None | |
| 37 | TFC | Truist Financial Corporation | 46.57 | 54.52 | 39.89 | 16.75% | 8/14 | Yes | 2.08 | 4.42% | 0.00% | 0.00% | 0.99% | 7.08% | 48.15% | Options Chain | 1.30 | 1.75 | 0.04 | 11 | 70 | None | |
| 38 | VZ | Verizon Communications Inc | 44.79 | 50.88 | 35.99 | 24.45% | 10/09 | Yes | 2.81 | 6.28% | 3.31% | 2.59% | 2.25% | 2.96% | 73.24% | Options Chain | 1.48 | 1.61 | 0.04 | 10 | 73 | None | |
| 39 | JNJ | Johnson & Johnson | 255.56 | 281.07 | 180.57 | 41.53% | 11/24 | No | 5.28 | 2.08% | 3.50% | 4.09% | 4.57% | 12.69% | 61.18% | Options Chain | 8.70 | 9.13 | 0.04 | 9 | 66 | None | |
| 40 | QSR | Restaurant Brands International Inc | 74.11 | 81.15 | 62.26 | 19.03% | 9/18 | Yes | 2.57 | 3.47% | 4.84% | 2.39% | 4.74% | 21.18% | 64.57% | Options Chain | 2.58 | 2.45 | 0.03 | 12 | 70 | None | |
| 41 | PG | Procter & Gamble Company | 159.35 | 164.77 | 134.62 | 18.37% | 10/23 | Yes | 4.29 | 2.69% | 3.48% | 4.47% | 4.61% | 8.47% | 64.81% | Options Chain | 3.93 | 5.43 | 0.03 | 10 | 74 | None | |
| 42 | USB | U.S. Bancorp. | 57.39 | 65.47 | 43.35 | 32.39% | 9/30 | No | 2.10 | 3.64% | 5.88% | 2.90% | 3.53% | 8.74% | 42.42% | Options Chain | 1.84 | 1.94 | 0.03 | 13 | 66 | None | |
| 43 | MFC | Manulife Financial Corp | 44.34 | 44.95 | 30.55 | 45.14% | 8/21 | Yes | 1.90 | 4.36% | 10.23% | 4.99% | 10.10% | 10.87% | 70.97% | Options Chain | 1.43 | 1.28 | 0.03 | 17 | 68 | None | |
| 44 | FHN | First Horizon Corporation | 22.88 | 26.25 | 19.26 | 18.80% | 9/11 | No | 0.66 | 2.89% | 13.33% | 6.46% | 3.18% | 3.95% | 31.73% | Options Chain | 0.73 | 0.70 | 0.03 | 12 | 59 | None | |
| 45 | SLF | Sun Life Financial Inc | 78.56 | 83.66 | 55.25 | 42.19% | 8/26 | Yes | 3.76 | 4.74% | 9.09% | 4.45% | 8.61% | 10.67% | 87.85% | Options Chain | 2.00 | 2.48 | 0.03 | 12 | 59 | None | |
| 46 | BTI | British American Tobacco Plc | 58.00 | 65.33 | 47.10 | 23.14% | 12/29 | No | 3.32 | 5.73% | 3.81% | 5.74% | 6.00% | 11.33% | 83.68% | Options Chain | 1.80 | 1.58 | 0.03 | 11 | 71 | None | |
| 47 | KO | Coca-Cola Company | 91.94 | 91.94 | 64.14 | 43.34% | 12/01 | Yes | 2.10 | 2.28% | 3.92% | 4.54% | 4.76% | 9.10% | 63.06% | Options Chain | 2.61 | 2.75 | 0.03 | 9 | 61 | None | |
| 48 | TD | Toronto Dominion Bank | 120.39 | 124.60 | 76.69 | 56.98% | 10/09 | No | 4.40 | 3.65% | 4.76% | 3.85% | 5.44% | 9.39% | 65.28% | Options Chain | 3.45 | 2.70 | 0.03 | 15 | 76 | None | |
| 49 | FITB | Fifth Third Bancorp | 50.37 | 59.01 | 38.76 | 29.95% | 9/30 | Yes | 1.62 | 3.22% | 9.09% | 4.45% | 7.46% | 8.25% | 54.55% | Options Chain | 0.30 | 1.43 | 0.03 | 7 | 65 | None | |
| 50 | BNS | Bank Of Nova Scotia | 91.60 | 94.87 | 61.19 | 49.70% | 10/06 | No | 4.48 | 4.92% | 3.70% | 2.79% | 2.49% | 9.76% | 81.16% | Options Chain | 1.80 | 2.60 | 0.03 | 12 | 63 | None | |
| 51 | BAC | Bank Of America Corp | 51.79 | 64.90 | 45.65 | 13.45% | 9/04 | No | 1.16 | 2.24% | 18.52% | 8.87% | 10.45% | 4.49% | 28.16% | Options Chain | 1.38 | 1.46 | 0.03 | 9 | 65 | None | |
| 52 | CINF | Cincinnati Financial Corp | 167.22 | 193.71 | 146.70 | 13.99% | 9/23 | Yes | 3.69 | 2.21% | 8.05% | 3.95% | 8.04% | 8.94% | 17.42% | Options Chain | 3.70 | 4.70 | 0.03 | 18 | 66 | None | |
| 53 | CFG | Citizens Financial Group Inc | 63.36 | 75.33 | 47.96 | 32.11% | 10/30 | Yes | 1.84 | 2.88% | 10.47% | 6.35% | 4.07% | 15.22% | 40.09% | Options Chain | 1.08 | 1.73 | 0.03 | 16 | 77 | None | |
| 54 | PRU | Prudential Wealth Advisors | 115.91 | 126.26 | 89.60 | 29.36% | 8/25 | Yes | 5.55 | 4.79% | 3.70% | 1.84% | 3.93% | 9.95% | 50.27% | Options Chain | 2.43 | 2.93 | 0.03 | 17 | 67 | None | |
| 55 | TROW | T. Rowe Price Group Inc | 100.97 | 120.50 | 83.17 | 21.40% | 9/15 | Yes | 5.17 | 5.12% | 2.36% | 1.17% | 2.02% | 16.78% | 52.81% | Options Chain | 1.85 | 2.45 | 0.02 | 21 | 69 |
Dividend Stock List |
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| 56 | RF | Regions Financial Corp | 27.45 | 32.14 | 22.67 | 21.09% | 12/01 | Yes | 1.09 | 3.99% | 9.71% | 7.38% | 11.16% | -0.88% | 44.69% | Options Chain | 0.63 | 0.63 | 0.02 | 16 | 69 | None | |
| 57 | UL | Unilever plc | 66.16 | 73.09 | 53.97 | 22.59% | 8/07 | No | 2.22 | 3.36% | -7.35% | -3.74% | 1.20% | 4.10% | 43.91% | Options Chain | 1.25 | 1.48 | 0.02 | 12 | 66 | None | |
| 58 | MKC | McCormick & Co. Inc (Non Voting) | 45.96 | 70.38 | 42.79 | 7.41% | 10/13 | No | 1.92 | 4.18% | 4.92% | 2.43% | 6.37% | 11.06% | 34.72% | Options Chain | 0.50 | 0.98 | 0.02 | 10 | 63 | None | |
| 59 | RY | Royal Bank Of Canada | 197.80 | 218.11 | 140.42 | 40.86% | 10/26 | No | 6.58 | 3.33% | 12.58% | 10.19% | 8.21% | 8.48% | 57.77% | Options Chain | 3.55 | 3.75 | 0.02 | 11 | 65 | None | |
| 60 | SPG | Simon Property Group Inc | 203.39 | 235.97 | 164.57 | 23.59% | 9/09 | Yes | 8.90 | 4.33% | 5.26% | 2.60% | 6.87% | 5.14% | 63.03% | Options Chain | 3.80 | 3.30 | 0.02 | 12 | 72 | None | |
| 61 | VICI | VICI Properties Inc | 23.60 | 29.61 | 22.43 | 5.22% | 9/17 | Yes | 1.81 | 7.71% | 4.25% | 2.10% | 5.24% | 8.49% | 70.43% | Options Chain | 0.18 | 0.23 | 0.01 | 8 | 67 | None | |
| 62 | PAG | Penske Automotive Group Inc | 212.42 | 225.51 | 138.01 | 53.92% | 11/13 | Yes | 5.64 | 2.66% | 10.42% | 18.26% | 28.93% | 20.31% | 36.60% | Options Chain | 0.28 | 0.00 | 13 | 69 | None |