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.



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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 ACN Accenture plc - Class A 188.02 285.21 116.75 61.04% 7/09 Yes 6.52 3.47% 7.41% 3.64% 12.78% 13.10% 52.12% Options Chain 14.85 18.00 0.10 18 69 None
2 NKE Nike Inc - Class B 38.30 74.51 37.77 1.40% 9/01 Yes 1.64 4.30% 1.86% 0.93% 6.92% 15.27% 75.93% Options Chain 2.42 2.87 0.07 14 59 None
3 TXN Texas Instruments Inc 254.42 332.33 150.20 69.39% 7/31 Yes 5.68 2.24% 3.27% 1.62% 4.90% 13.68% 86.32% Options Chain 15.73 18.35 0.07 11 64 None
4 IBM International Business Machines Corp 234.71 330.09 197.77 18.68% 8/10 Yes 6.74 2.91% 0.75% 0.37% 0.64% 4.75% 57.61% Options Chain 13.88 16.63 0.07 13 73 None
5 SLB SLB 58.09 60.46 31.05 87.09% 9/02 Yes 1.17 2.05% 3.51% 1.74% 16.08% 3.48% 57.07% Options Chain 2.94 4.00 0.07 7 65 None
6 BBD Banco Bradesco S.A. 3.43 4.19 2.84 20.77% 9/03 No 0.34 10.29% -86.27% -62.95% -13.33% 20.24% 79.49% Options Chain 0.18 0.23 0.07 19 51 None
7 APA APA Corporation 44.70 45.12 20.84 114.49% 7/22 No 1.00 2.26% 0.00% 0.00% 12.47% 5.71% 20.79% Options Chain 2.98 2.61 0.07 14 70 None
8 EQNR Equinor ASA 43.58 44.33 21.54 102.32% 11/16 No 1.52 3.53% 5.48% 6.81% 18.54% 4.98% 41.19% Options Chain 2.03 2.73 0.06 12 59 None
9 QCOM Qualcomm Inc 168.57 258.96 121.54 38.70% 9/03 No 3.59 2.15% 4.55% 2.25% 5.86% 16.60% 41.03% Options Chain 9.08 10.53 0.06 10 63 None
10 LEN Lennar Corp - Class A 84.45 141.39 79.83 5.79% 7/10 Yes 2.00 2.42% 0.00% 0.00% 7.46% 10.73% 30.91% Options Chain 5.25 5.00 0.06 13 61 None
11 CTSH Cognizant Technology Solutions Corp - Class A 63.40 85.48 36.86 72.00% 8/18 No 1.30 2.05% 6.45% 3.18% 5.14% 6.46% 27.78% Options Chain 3.45 3.90 0.06 15 71 None
12 DVN Devon Energy Corp 49.03 52.34 30.89 58.72% 9/15 No 1.04 2.12% 33.33% 15.47% -29.46% 9.68% 23.21% Options Chain 2.38 3.01 0.06 13 64 None
13 DPZ Dominos Pizza Inc 346.68 458.38 282.00 22.94% 9/15 Yes 7.46 2.19% 14.37% 6.94% 15.98% 22.63% 43.88% Options Chain 17.05 20.95 0.06 12 58 None
14 AMGN AMGEN Inc 441.00 447.03 262.49 68.01% 8/21 No 9.94 2.31% 5.88% 2.90% 6.76% 15.64% 62.48% Options Chain 21.50 25.55 0.06 13 71 None
15 STZ Constellation Brands Inc - Class A 129.58 166.17 123.82 4.65% 7/30 Yes 4.10 3.14% 1.23% 0.61% 6.86% 11.65% 39.96% Options Chain 6.20 7.35 0.06 9 61 None
16 EOG EOG Resources Inc 148.96 153.67 99.12 50.28% 10/16 No 4.08 2.75% 3.42% 5.87% 7.99% 15.20% 32.03% Options Chain 7.35 8.40 0.06 12 68 None
17 PM Philip Morris International Inc 186.17 207.76 138.43 34.49% 6/25 Yes 5.88 3.14% 4.26% 2.11% 3.93% 5.94% 80.77% Options Chain 9.20 10.35 0.06 8 61 None
18 TGT Target Corp 163.36 170.75 81.20 101.18% 8/12 No 4.58 2.80% 2.65% 1.32% 4.04% 11.28% 48.16% Options Chain 7.18 8.65 0.05 15 72 None
19 BBY Best Buy Co. Inc 86.84 91.27 54.38 59.69% 9/17 No 3.82 4.62% 1.05% 0.52% 2.20% 14.06% 65.41% Options Chain 4.58 4.55 0.05 15 57 None
20 FIS Fidelity National Information Services Inc 41.87 68.07 37.42 11.89% 9/11 No 1.68 4.10% 10.00% 4.88% -1.64% 10.41% 25.81% Options Chain 2.05 2.20 0.05 12 67 None
21 SWK Stanley Black & Decker Inc 96.50 104.68 59.87 61.18% 9/08 No 3.32 3.51% 1.82% 0.90% 1.39% 5.82% 82.38% Options Chain 3.50 5.05 0.05 12 57 None
22 MDLZ Mondelez International Inc - Class A 61.45 66.65 50.34 22.07% 9/30 No 2.00 3.22% 7.22% 3.55% 9.07% 5.55% 73.26% Options Chain 2.28 3.15 0.05 9 63 None
23 CVE Cenovus Energy Inc 32.81 33.40 15.36 113.61% 9/15 No 0.82 2.54% 12.82% 6.22% 17.35% -0.18% 31.66% Options Chain 1.15 1.68 0.05 12 68 None
24 UNM Unum Group 93.00 94.55 67.08 38.64% 7/24 No 1.89 2.06% 14.77% 7.13% 12.52% 5.89% 43.74% Options Chain 4.75 2.95 0.05 9 62 None
25 NTES NetEase Inc 117.05 156.41 105.44 11.01% 6/05 No 3.02 2.52% -5.11% -2.59% 17.29% 17.99% 40.54% Options Chain 4.15 5.95 0.05 18 30
Dividend Stock List
26 HON Honeywell International Inc 206.40 258.09 193.26 6.80% 8/14 Yes 7.84 3.67% -69.43% -44.71% -22.94% 6.13% 30.15% Options Chain 8.95 10.40 0.05 11 66 None
27 SU Suncor Energy Inc 68.98 69.83 36.87 87.09% 9/04 No 2.37 3.44% 3.90% 1.93% 6.30% 13.28% 43.01% Options Chain 3.43 2.78 0.05 13 74 None
28 NTR Nutrien Ltd 80.73 83.98 51.72 56.09% 9/29 No 2.19 2.82% 0.92% 0.46% 3.46% 9.91% 43.11% Options Chain 3.95 3.45 0.05 13 75 None
29 CNQ Canadian Natural Resources Ltd 51.81 52.08 28.74 80.27% 9/11 No 2.42 4.68% 6.38% 3.14% 12.69% 23.08% 59.73% Options Chain 2.08 2.53 0.05 12 65 None
30 XOM Exxon Mobil Corp 164.48 174.09 105.30 56.20% 8/17 No 4.12 2.50% 3.00% 1.49% 3.79% 5.76% 53.30% Options Chain 5.80 8.03 0.05 11 66 None
31 LOW Lowe`s Cos. Inc 199.84 289.87 199.34 0.25% 10/21 No 4.85 2.42% 4.26% 4.35% 7.28% 16.10% 40.76% Options Chain 7.00 9.75 0.05 10 63 None
32 WFC Wells Fargo & Company 89.19 96.18 72.36 23.26% 8/07 Yes 1.85 2.13% 17.65% 8.47% 16.12% 8.33% 26.89% Options Chain 3.83 4.35 0.05 15 74 None
33 DRI Darden Restaurants Inc 220.03 229.76 165.13 33.25% 7/10 Yes 6.12 2.86% 11.72% 5.70% 8.83% 13.54% 57.46% Options Chain 8.60 10.65 0.05 10 62 None
34 ABT Abbott Laboratories 110.47 134.38 81.39 35.73% 7/15 Yes 2.48 2.28% 6.78% 3.33% 7.60% 8.42% 80.26% Options Chain 5.15 5.30 0.05 9 61 None
35 SBAC SBA Communications Corp - Class A 186.42 221.58 160.33 16.27% 8/20 No 4.86 2.57% 12.61% 6.12% 15.19% 19.01% 52.83% Options Chain 6.05 8.85 0.05 11 61 None
36 COP Conoco Phillips 137.20 137.42 82.95 65.40% 8/17 No 3.36 2.54% 5.66% 2.79% -1.64% 5.82% 44.15% Options Chain 5.08 6.48 0.05 12 78 None
37 ITUB Itau Unibanco Holding S.A. 8.08 9.47 6.06 33.33% 12/02 No 0.17 2.23% -95.32% -78.36% -30.51% 2.33% 20.82% Options Chain 0.38 0.05 13 48 None
38 HD Home Depot Inc 319.40 418.06 286.95 11.31% 9/03 No 9.26 2.82% 1.30% 0.65% 5.23% 27.51% 64.80% Options Chain 10.83 14.55 0.05 10 70 None
39 CVS CVS Health Corp 97.23 110.00 67.46 44.13% 7/23 No 2.66 2.73% 0.00% 0.00% 4.86% 6.93% 70.18% Options Chain 3.83 4.35 0.04 14 69 None
40 ADM Archer Daniels Midland Company 85.52 87.90 54.00 58.37% 8/19 No 2.07 2.45% 1.96% 0.98% 6.78% 14.63% 56.71% Options Chain 3.70 3.80 0.04 16 57 None
41 PG Procter & Gamble Company 146.92 164.77 134.62 9.14% 7/24 No 4.29 2.93% 4.24% 2.10% 4.80% 8.60% 64.71% Options Chain 4.15 6.48 0.04 8 65 None
42 SIRI Sirius XM Holdings Inc 29.70 32.37 19.15 55.09% 8/10 No 1.08 3.91% 0.00% 0.00% 4.64% 12.87% 43.37% Options Chain 1.25 1.30 0.04 11 61 None
43 BR Broadridge Financial Solutions Inc 178.24 250.03 133.01 34.00% 9/03 No 3.90 2.16% 17.52% 8.41% 12.42% 16.92% 40.88% Options Chain 7.40 7.45 0.04 13 69 None
44 USB U.S. Bancorp. 63.53 66.08 43.76 45.18% 6/30 Yes 2.08 3.35% 1.96% 0.98% 2.56% 8.74% 41.52% Options Chain 2.42 2.63 0.04 16 74 None
45 TTE TotalEnergies SE 89.25 92.16 54.01 65.25% 12/31 No 3.40 3.76% -15.25% 6.95% 7.30% 3.56% 41.62% Options Chain 1.63 3.65 0.04 14 55 None
46 PEP PepsiCo Inc 140.02 168.19 133.40 4.96% 9/04 Yes 5.75 4.11% 5.29% 2.61% 6.95% 10.75% 76.63% Options Chain 4.05 5.65 0.04 13 63 None
47 MDT Medtronic Plc 93.10 103.76 72.65 28.15% 9/25 No 2.85 3.10% 1.77% 0.88% 1.91% 16.03% 77.87% Options Chain 3.35 3.75 0.04 14 72 None
48 TFC Truist Financial Corporation 50.94 54.52 39.10 30.28% 8/14 Yes 2.08 4.20% 0.00% 0.00% 0.99% 7.08% 47.82% Options Chain 1.40 2.05 0.04 15 76 None
49 FHN First Horizon Corporation 24.57 26.43 19.39 26.71% 9/11 No 0.64 2.66% 13.33% 6.46% 3.18% 3.95% 30.77% Options Chain 0.70 0.98 0.04 16 70 None
50 CVX Chevron Corp 211.78 213.20 142.51 48.61% 8/19 No 7.05 3.41% 4.09% 2.03% 5.81% 6.12% 68.91% Options Chain 6.43 8.00 0.04 13 77 None
51 BMY Bristol-Myers Squibb Company 67.66 68.64 41.13 64.50% 7/02 No 2.51 3.75% 1.61% 0.80% 3.93% 7.12% 55.65% Options Chain 2.53 2.20 0.04 11 63 None
52 PRU Prudential Financial Inc 119.84 126.26 89.60 33.75% 8/25 No 5.55 4.74% 3.70% 1.84% 3.93% 9.95% 51.25% Options Chain 3.15 4.45 0.04 17 66 None
53 MO Altria Group Inc 69.49 77.06 53.01 31.09% 9/15 No 4.24 6.18% 6.73% 3.31% 4.81% 8.01% 87.97% Options Chain 1.90 2.57 0.04 9 67 None
54 FANG Diamondback Energy Inc 203.42 216.90 131.14 55.12% 8/13 No 4.25 2.10% 10.00% 4.88% -16.29% 34.11% 82.05% Options Chain 6.90 7.50 0.04 10 67 None
55 ZTS Zoetis Inc - Class A 76.59 152.23 70.98 7.90% 7/20 No 2.09 2.71% 6.00% 2.96% 13.01% 19.26% 34.21% Options Chain 2.50 2.80 0.04 15 65 None
56 FITB Fifth Third Bancorp 54.40 59.50 39.08 39.20% 6/30 No 1.60 3.02% 3.90% 1.93% 6.15% 8.25% 54.61% Options Chain 1.75 1.98 0.04 7 64 None
57 KEY Keycorp 22.12 23.84 15.82 39.82% 9/01 Yes 0.82 3.87% 0.00% 0.00% 0.94% 3.23% 48.24% Options Chain 0.80 0.68 0.04 15 68 None
58 OKE Oneok Inc 95.75 99.85 61.67 55.26% 8/03 No 4.24 4.43% 3.88% 1.92% 3.43% 6.96% 73.23% Options Chain 2.10 3.33 0.03 14 71 None
59 VZ Verizon Communications Inc 50.22 50.78 36.55 37.40% 7/10 Yes 2.79 5.56% 3.95% 1.96% 2.41% 2.96% 72.79% Options Chain 1.67 1.72 0.03 10 74 None
60 MCD McDonald`s Corp 261.00 335.18 258.02 1.15% 9/01 No 7.44 2.85% 3.77% 1.87% 7.08% 17.52% 60.49% Options Chain 8.53 6.88 0.03 12 66 None
61 MET Metlife Inc 99.23 100.93 66.41 49.42% 8/04 No 2.32 2.46% 5.45% 2.69% 4.60% 6.89% 44.53% Options Chain 2.68 3.20 0.03 17 68 None
62 CL Colgate-Palmolive Company 90.10 98.15 73.22 23.05% 7/20 No 2.10 2.33% 2.91% 1.45% 3.33% 8.52% 83.00% Options Chain 2.80 2.68 0.03 7 62 None
63 TROW T. Rowe Price Group Inc 110.88 122.00 84.21 31.67% 9/15 No 5.14 4.72% 2.36% 1.17% 2.02% 16.78% 51.61% Options Chain 3.43 3.13 0.03 21 67
Dividend Stock List
64 ITW Illinois Tool Works Inc 269.09 301.92 234.38 14.81% 9/30 No 6.44 2.34% 10.61% 5.17% 7.98% 13.46% 59.08% Options Chain 8.20 6.35 0.03 11 64 None
65 MFC Manulife Financial Corp 43.29 44.95 29.12 48.66% 8/21 No 1.90 4.47% 10.23% 4.99% 10.10% 10.87% 71.78% Options Chain 1.13 1.30 0.03 15 60 None
66 QSR Restaurant Brands International Inc 80.26 81.88 59.14 35.71% 9/18 No 2.54 3.25% 4.84% 2.39% 4.74% 21.18% 63.82% Options Chain 2.33 2.40 0.03 8 62 None
67 CFG Citizens Financial Group Inc 69.78 75.33 46.55 49.90% 7/30 No 1.84 2.70% 6.98% 3.43% 3.23% 15.70% 40.35% Options Chain 1.93 2.08 0.03 15 77 None
68 SPG Simon Property Group Inc 211.52 238.50 166.33 27.17% 9/09 No 8.80 4.15% 5.26% 2.60% 6.87% 5.14% 62.15% Options Chain 6.30 5.95 0.03 12 71 None
69 BNS Bank Of Nova Scotia 93.35 94.96 60.09 55.35% 10/06 No 4.44 4.87% 3.70% 2.79% 2.49% 9.76% 80.29% Options Chain 2.38 2.65 0.03 11 65 None
70 BTI British American Tobacco Plc 55.68 66.38 47.85 16.36% 10/02 No 3.28 5.87% 3.81% 5.74% 6.00% 11.33% 82.72% Options Chain 0.40 1.58 0.03 11 71 None
71 KO Coca-Cola Company 88.24 92.49 64.04 37.79% 9/15 Yes 2.08 2.34% 3.92% 1.94% 4.76% 9.24% 62.46% Options Chain 2.43 2.47 0.03 9 61 None
72 RF Regions Financial Corp 29.93 32.47 22.04 35.80% 9/01 Yes 1.09 3.74% 16.50% 7.94% 12.85% -1.38% 45.25% Options Chain 0.73 0.78 0.03 17 69 None
73 SLF Sun Life Financial Inc 80.79 83.66 55.25 46.23% 8/26 No 3.76 4.82% 9.09% 4.45% 8.61% 10.67% 88.89% Options Chain 2.08 1.85 0.03 14 72 None
74 YUMC Yum China Holdings Inc 43.69 57.33 39.90 9.50% 8/27 No 1.11 2.47% 20.83% 9.92% 24.68% 14.77% 40.96% Options Chain 1.05 0.98 0.02 14 51 None
75 BMO Bank of Montreal 172.33 187.22 117.03 47.25% 10/30 No 6.68 3.92% 4.97% 5.10% 5.58% 5.28% 75.48% Options Chain 3.65 3.65 0.02 13 73 None
76 CM Canadian Imperial Bank Of Commerce 115.66 124.86 75.22 53.76% 9/28 No 4.18 3.69% 7.54% 3.70% 6.60% 5.27% 55.73% Options Chain 2.43 2.23 0.02 16 73 None
77 SYY Sysco Corp 81.94 90.56 67.23 21.88% 10/02 No 2.17 2.64% 3.81% 3.88% 3.23% 14.85% 59.94% Options Chain 1.40 1.55 0.02 12 64 None
78 TD Toronto Dominion Bank 121.47 125.47 71.76 69.27% 10/09 No 4.33 3.62% 4.76% 3.85% 5.44% 9.39% 64.34% Options Chain 2.28 1.93 0.02 15 77 None
79 FNF Fidelity National Financial Inc 46.18 57.15 42.32 9.12% 9/16 No 2.06 4.43% 2.97% 1.47% 4.12% 2.92% 71.28% Options Chain 0.50 0.83 0.02 15 64 None
80 VICI VICI Properties Inc 25.65 31.85 25.81 0.62% 6/18 No 1.80 7.00% 1.98% 0.99% 4.66% 8.49% 70.59% Options Chain 0.43 0.02 8 64 None
81 CNI Canadian National Railway Company 121.45 131.55 89.09 36.32% 9/08 No 3.60 2.99% 3.10% 1.54% 5.72% 14.96% 64.26% Options Chain 1.08 2.03 0.02 9 67 None
82 RY Royal Bank Of Canada 212.07 218.11 139.29 52.25% 10/26 No 6.58 3.20% 12.58% 10.19% 8.21% 8.48% 57.57% Options Chain 2.10 3.35 0.02 13 73 None
83 RCI Rogers Communications Inc - Class B 36.65 40.38 31.38 16.79% 9/08 No 2.00 5.49% 0.00% 0.00% 0.00% 28.19% 24.36% Options Chain 0.43 0.01 17 64 None
84 HST Host Hotels & Resorts Inc 21.99 25.71 14.59 50.72% 6/30 No 1.27 5.87% 0.00% 0.00% 24.78% -0.14% 85.23% Options Chain 15 64 None