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 70 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 |
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1 | DG | Dollar General Corp | 72.49 | 164.24 | 66.43 | 9.12% | 1/07 | Yes | 2.36 | 3.26% | 0.00% | 0.00% | 9.86% | -3.92% | 38.94% | Options Chain | 5.55 | 7.30 | 0.10 | 12 | 64 | None | |
2 | CNQ | Canadian Natural Resources Ltd | 30.38 | 39.84 | 28.12 | 8.04% | 12/13 | Yes | 2.14 | 6.96% | 15.54% | 17.43% | 25.93% | 23.68% | 87.24% | Options Chain | 2.48 | 1.38 | 0.08 | 12 | 71 | None | |
3 | HAL | Halliburton Company | 25.24 | 40.90 | 25.21 | 0.12% | 12/04 | No | 0.68 | 2.70% | 6.25% | 19.02% | 21.21% | 2.18% | 24.03% | Options Chain | 1.90 | 0.93 | 0.08 | 16 | 67 | None | |
4 | TGT | Target Corp | 131.35 | 177.93 | 120.21 | 9.27% | 2/12 | Yes | 4.44 | 3.38% | 0.90% | 0.45% | 9.12% | 7.37% | 47.13% | Options Chain | 8.28 | 9.18 | 0.07 | 17 | 65 | None | |
5 | NKE | Nike Inc - Class B | 68.68 | 105.61 | 70.07 | 1.98% | 12/02 | Yes | 1.51 | 2.20% | 8.63% | 9.69% | 10.58% | 15.51% | 46.60% | Options Chain | 4.45 | 3.70 | 0.06 | 14 | 58 | None | |
6 | FDX | Fedex Corp | 256.07 | 310.77 | 229.73 | 11.47% | 12/09 | Yes | 5.40 | 2.11% | 9.53% | 13.39% | 20.05% | 17.69% | 34.50% | Options Chain | 12.55 | 15.23 | 0.06 | 14 | 69 | None | |
7 | GPC | Genuine Parts Company | 117.74 | 160.82 | 111.84 | 5.28% | 12/06 | Yes | 4.00 | 3.40% | 5.26% | 5.70% | 6.07% | 10.30% | 51.55% | Options Chain | 4.15 | 6.85 | 0.06 | 13 | 61 | None | |
8 | VLO | Valero Energy Corp | 133.08 | 179.47 | 115.89 | 14.83% | 1/30 | No | 4.34 | 3.26% | 5.61% | 2.77% | 3.62% | 12.67% | 50.52% | Options Chain | 7.63 | 7.23 | 0.06 | 12 | 72 | None | |
9 | OVV | Ovintiv Inc | 42.52 | 54.76 | 36.64 | 16.05% | 12/13 | Yes | 1.20 | 2.82% | 4.35% | 12.39% | 33.75% | 9.23% | 15.83% | Options Chain | 2.43 | 1.85 | 0.06 | 13 | 74 | None | |
10 | CF | CF Industries Holdings Inc | 84.05 | 98.25 | 68.30 | 23.06% | 2/14 | Yes | 2.00 | 2.38% | 0.00% | 0.00% | 13.62% | 27.31% | 31.70% | Options Chain | 4.25 | 4.70 | 0.06 | 12 | 70 | None | |
11 | STX | Seagate Technology Holdings Plc | 96.15 | 114.47 | 80.60 | 19.29% | 3/19 | No | 2.82 | 2.93% | 2.13% | 1.06% | 1.53% | 6.82% | 51.27% | Options Chain | 4.95 | 4.95 | 0.05 | 14 | 55 | None | |
12 | SWKS | Skyworks Solutions Inc | 65.69 | 119.13 | 62.01 | 5.93% | 2/24 | No | 2.76 | 4.20% | 1.45% | 0.72% | 7.20% | 26.31% | 84.92% | Options Chain | 2.93 | 2.60 | 0.04 | 18 | 64 |
Dividend Stock List |
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13 | QSR | Restaurant Brands International Inc | 64.14 | 80.60 | 59.67 | 7.49% | 12/20 | Yes | 2.32 | 3.62% | 5.45% | 3.64% | 2.77% | 20.29% | 58.15% | Options Chain | 2.75 | 2.45 | 0.04 | 11 | 71 | None | |
14 | LMT | Lockheed Martin Corp | 444.39 | 615.09 | 403.36 | 10.17% | 3/03 | No | 12.75 | 2.87% | 3.53% | 1.75% | 5.64% | 6.32% | 57.15% | Options Chain | 16.05 | 18.80 | 0.04 | 13 | 72 | None | |
15 | SLB | SLB | 40.16 | 54.25 | 36.27 | 10.73% | 2/05 | No | 1.11 | 2.76% | 3.64% | 1.80% | 22.88% | 3.39% | 35.69% | Options Chain | 1.63 | 1.57 | 0.04 | 14 | 69 | None | |
16 | MGA | Magna International Inc | 38.62 | 54.38 | 35.05 | 10.19% | 11/15 | Yes | 1.90 | 4.92% | 3.26% | 2.74% | 4.39% | 8.44% | 50.67% | Options Chain | 1.50 | 1.55 | 0.04 | 17 | 69 | None | |
17 | COP | Conoco Phillips | 98.36 | 132.44 | 94.23 | 4.38% | 2/14 | No | 3.12 | 3.12% | 0.00% | 0.00% | 12.47% | 2.08% | 37.01% | Options Chain | 3.53 | 3.93 | 0.04 | 9 | 75 | None | |
18 | MRK | Merck & Co Inc | 87.28 | 132.67 | 87.33 | 0.06% | 3/17 | No | 3.12 | 3.57% | 3.85% | 1.90% | 5.25% | 9.08% | 46.29% | Options Chain | 2.98 | 3.45 | 0.04 | 12 | 73 | None | |
19 | CMCSA | Comcast Corp - Class A | 34.37 | 44.93 | 32.50 | 5.75% | 4/02 | No | 1.24 | 3.60% | 8.20% | 4.02% | 7.73% | 18.57% | 29.95% | Options Chain | 0.83 | 1.27 | 0.04 | 12 | 64 | None | |
20 | XOM | Exxon Mobil Corp | 108.89 | 125.31 | 98.01 | 11.10% | 2/12 | No | 3.84 | 3.53% | 3.13% | 1.55% | 3.21% | 2.04% | 48.92% | Options Chain | 3.28 | 3.85 | 0.04 | 12 | 75 | None | |
21 | FAST | Fastenal Company | 73.45 | 84.39 | 60.35 | 21.71% | 1/31 | No | 1.60 | 2.17% | 10.26% | 5.00% | 11.32% | 20.31% | 80.00% | Options Chain | 1.93 | 2.48 | 0.03 | 13 | 57 | None | |
22 | CVX | Chevron Corp | 152.78 | 164.68 | 134.00 | 14.01% | 2/14 | No | 6.52 | 4.29% | 4.91% | 2.42% | 6.53% | 2.59% | 67.15% | Options Chain | 5.05 | 3.75 | 0.03 | 11 | 75 | None | |
23 | HRL | Hormel Foods Corp | 29.28 | 35.84 | 27.50 | 6.47% | 1/13 | Yes | 1.14 | 3.90% | 2.65% | 1.32% | 4.31% | 7.37% | 77.38% | Options Chain | 0.83 | 0.93 | 0.03 | 13 | 53 | None | |
24 | OMC | Omnicom Group Inc | 83.80 | 106.15 | 81.42 | 2.92% | 12/20 | No | 2.80 | 3.34% | 0.00% | 0.00% | 1.87% | 14.21% | 37.53% | Options Chain | 1.90 | 2.63 | 0.03 | 13 | 72 | None | |
25 | TROW | T. Rowe Price Group Inc | 110.14 | 124.52 | 98.28 | 12.07% | 12/13 | No | 4.96 | 4.50% | 1.64% | 1.65% | 8.34% | 19.44% | 54.21% | Options Chain | 3.25 | 3.45 | 0.03 | 21 | 62 |
Dividend Stock List |
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26 | SHEL | Shell Plc ADR (Representing - ) | 65.89 | 72.99 | 60.15 | 9.54% | 2/14 | No | 2.75 | 4.18% | 4.07% | 2.01% | 14.96% | 5.40% | 54.39% | Options Chain | 1.63 | 2.00 | 0.03 | 14 | 72 | None | |
27 | VICI | VICI Properties Inc | 30.11 | 33.38 | 25.97 | 15.94% | 12/17 | Yes | 1.70 | 5.63% | 5.28% | 6.30% | 7.80% | 9.24% | 62.78% | Options Chain | 0.85 | 0.83 | 0.03 | 13 | 79 | None | |
28 | TSN | Tyson Foods Inc - Class A | 57.94 | 66.36 | 49.49 | 17.07% | 5/30 | No | 1.97 | 3.40% | 1.52% | 0.76% | 2.74% | 14.80% | 66.55% | Options Chain | 1.30 | 1.63 | 0.03 | 18 | 61 | None | |
29 | CL | Colgate-Palmolive Company | 86.76 | 108.14 | 80.92 | 7.22% | 1/21 | No | 2.00 | 2.33% | 1.01% | 0.50% | 2.81% | 4.65% | 56.98% | Options Chain | 2.33 | 1.83 | 0.03 | 12 | 62 | None | |
30 | PG | Procter & Gamble Company | 167.97 | 179.34 | 150.79 | 11.39% | 1/24 | No | 4.03 | 2.40% | 1.66% | 0.83% | 4.31% | 4.71% | 64.01% | Options Chain | 2.93 | 4.33 | 0.03 | 12 | 70 | None | |
31 | GIS | General Mills Inc | 59.60 | 74.50 | 57.94 | 2.87% | 4/10 | Yes | 2.39 | 4.06% | 0.84% | 0.42% | 4.15% | 5.52% | 51.96% | Options Chain | 1.23 | 1.53 | 0.03 | 14 | 60 | None | |
32 | CNI | Canadian National Railway Company | 101.58 | 131.90 | 98.69 | 2.93% | 3/10 | No | 3.38 | 3.28% | 5.03% | 2.48% | 9.60% | 9.60% | 69.12% | Options Chain | 1.60 | 2.43 | 0.02 | 12 | 68 | None | |
33 | PCAR | Paccar Inc | 106.02 | 120.95 | 87.02 | 21.83% | 2/12 | No | 3.90 | 3.68% | 12.82% | 6.22% | 10.25% | 6.66% | 49.37% | Options Chain | 1.98 | 2.53 | 0.02 | 15 | 73 | None | |
34 | PRU | Prudential Financial Inc | 112.82 | 130.55 | 99.52 | 13.36% | 2/18 | No | 5.20 | 4.61% | 3.85% | 1.90% | 4.09% | 5.43% | 69.24% | Options Chain | 1.70 | 2.63 | 0.02 | 18 | 68 | None | |
35 | LHX | L3Harris Technologies Inc | 206.13 | 264.49 | 197.23 | 4.51% | 11/18 | No | 4.64 | 2.25% | 1.75% | 1.77% | 8.08% | 7.92% | 59.03% | Options Chain | 4.60 | 3.43 | 0.02 | 12 | 68 | None | |
36 | UNP | Union Pacific Corp | 242.08 | 256.84 | 216.15 | 12.00% | 2/28 | No | 5.28 | 2.18% | 1.52% | 0.75% | 5.72% | 8.04% | 47.57% | Options Chain | 4.85 | 5.15 | 0.02 | 10 | 70 | None | |
37 | TTE | TotalEnergies SE | 60.78 | 71.95 | 52.48 | 15.82% | 6/18 | No | 3.33 | 5.48% | 2.08% | 1.03% | 2.58% | 5.87% | 49.79% | Options Chain | 0.95 | 1.25 | 0.02 | 16 | 72 | None | |
38 | JNJ | Johnson & Johnson | 153.12 | 167.51 | 139.79 | 9.54% | 2/18 | No | 4.91 | 3.21% | 1.02% | 0.51% | 4.31% | 9.88% | 84.80% | Options Chain | 2.98 | 2.99 | 0.02 | 13 | 63 | None | |
39 | SYY | Sysco Corp | 71.12 | 81.68 | 68.04 | 4.53% | 1/03 | No | 2.03 | 2.85% | 0.99% | 0.49% | 2.61% | 9.48% | 52.05% | Options Chain | 0.90 | 1.35 | 0.02 | 14 | 55 | None | |
40 | ITUB | Itau Unibanco Holding S.A. | 5.85 | 6.80 | 4.86 | 20.37% | 7/02 | No | 0.21 | 3.61% | -84.65% | -60.82% | -30.86% | 8.81% | 30.58% | Options Chain | 0.10 | 0.02 | 16 | 72 | None | ||
41 | BBD | Banco Bradesco S.A. | 2.12 | 2.83 | 1.79 | 18.44% | 1/03 | No | 0.18 | 8.56% | 297.98% | 99.49% | 68.06% | 15.01% | 82.49% | Options Chain | 17 | 65 | None |