Occidental Petroleum (OXY) hiked its annual dividend per share (DPS) by 9% dividend hike last month. That has helped make OXY stock an analyst favorite - cheap based on their price targets. Shorting out-of-the-money puts can provide extra income and set a lower buy-in target price.
OXY is trading at $47.19 in midday trading today, up from a low of $45.51 on March 5. With its new annual 96 cents DPS announced on Feb. 18, OXY has a dividend yield of 2.0%, making it very attractive to value investors and analysts.
