Contrarian Ideas: 15 High Dividend Yield Stocks With Excessive Bearish Options Sentiment

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Includes: ACMP, E, EROC, GSK, LGCY, MWE, NKA, OKS, PAA, RGP, SPH, TCP, UNS, UNTD, YPF
by: Kapitall

If you are of the contrarian camp and want to improve your portfolio’s income, this may be an interesting starting point for your own analysis.

To construct this list we looked for companies with the following characteristics:

  • Market cap above $300M
  • Dividend yield above 4%
  • Put/Call ratio above 1 and significantly higher than two weeks ago (i.e. bearish trends in options sentiment)

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We also created an equal weighted index of the stocks mentioned below, and monitored the performance of the list relative to the S&P 500 index over the last month. To access a complete analysis of this list's recent performance, click here.



Given this information, which of these high yield dividend stocks do you think is ready for a rebound?

1. Regency Energy Partners LP (RGNC)
: Oil & Gas Pipelines Industry. Market cap of $3.61B. Dividend yield at 6.77%. The Put/Call ratio increased by 564.06% over the last two weeks, from 0.64 to 4.25. The stock has gained 36.29% over the last year.

2. TC Pipelines LP (TCLP): Oil & Gas Pipelines Industry. Market cap of $2.19B. Dividend yield at 6.33%. The Put/Call ratio increased by 348.98% over the last two weeks, from 0.49 to 2.2. The stock has gained 38.24% over the last year.

3. United Online, Inc. (NASDAQ:UNTD): Specialty Retail Industry. Market cap of $556.92M. Dividend yield at 6.33%. The Put/Call ratio increased by 346.77% over the last two weeks, from 0.62 to 2.77. Might be undervalued at current levels, with a PEG ratio at 0.71, and P/FCF ratio at 11.69. The stock is a short squeeze candidate, with a short float at 5.79% (equivalent to 6.52 days of average volume). The stock has lost 3.95% over the last year.

4. GlaxoSmithKline plc (NYSE:GSK): Drug Manufacturer. Market cap of $111.64B. Dividend yield at 4.75%. The Put/Call ratio increased by 270.83% over the last two weeks, from 0.96 to 3.56. The stock has gained 32.6% over the last year.

5. ONEOK Partners, L.P. (NYSE:OKS): Oil & Gas Pipelines Industry. Market cap of $8.72B. Dividend yield at 5.38%. The Put/Call ratio increased by 165.93% over the last two weeks, from 0.91 to 2.42. The stock has gained 55.7% over the last year.

6. Legacy Reserves Lp (NASDAQ:LGCY):
Oil & Gas Drilling & Exploration Industry. Market cap of $1.28B. Dividend yield at 7.23%. The Put/Call ratio increased by 165.31% over the last two weeks, from 0.49 to 1.3. It's been a rough couple of days for the stock, losing 9.22% over the last week.

7. Niska Gas Storage Partners LLC (NYSE:NKA): Gas Utilities Industry. Market cap of $1.42B. Dividend yield at 6.67%. The Put/Call ratio increased by 116.38% over the last two weeks, from 2.32 to 5.02. Offers a good dividend, and appears to have good liquidity to back it up--dividend yield at 6.67%, current ratio at 2.63, and quick ratio at 1.25. The stock has lost 3.41% over the last month.

8. MarkWest Energy Partners LP (NYSE:MWE): Oil & Gas Drilling & Exploration Industry. Market cap of $3.55B. Dividend yield at 5.67%. The Put/Call ratio increased by 107.81% over the last two weeks, from 0.64 to 1.33. It's been a rough couple of days for the stock, losing 7.35% over the last week.

9. Chesapeake Midstream Partners, L.P. (CHKM):
Oil & Gas Refining & Marketing Industry. Market cap of $3.82B. Dividend yield at 5.16%. The Put/Call ratio increased by 95.45% over the last two weeks, from 1.32 to 2.58. The stock has lost 1.35% over the last month.

10. Plains All American Pipeline, L.P. (NYSE:PAA): Oil & Gas Pipelines Industry. Market cap of $9.23B. Dividend yield at 6.23%. The Put/Call ratio increased by 87.72% over the last two weeks, from 0.57 to 1.07. The stock has gained 23.98% over the last year.

11. YPF S.A. (NYSE:YPF): Oil & Gas Refining & Marketing Industry. Market cap of $16.15B. Dividend yield at 7.74%. The Put/Call ratio increased by 54.87% over the last two weeks, from 4.52 to 7. The stock has gained 7.01% over the last year.

12. Eagle Rock Energy Partners, L.P. (NASDAQ:EROC):
Oil & Gas Refining & Marketing Industry. Market cap of $1.02B. Dividend yield at 5.29%. The Put/Call ratio increased by 42.53% over the last two weeks, from 0.87 to 1.24. It's been a rough couple of days for the stock, losing 8.25% over the last week. The stock has had a good month, gaining 11.18%.

13. Eni SpA (NYSE:E): Major Integrated Oil & Gas Industry. Market cap of $99.39B. Dividend yield at 5.47%. The Put/Call ratio increased by 40.0% over the last two weeks, from 0.85 to 1.19. It's been a rough couple of days for the stock, losing 7.65% over the last week.

14. Suburban Propane Partners LP (NYSE:SPH):
Gas Utilities Industry. Market cap of $1.91B. Dividend yield at 6.32%. The Put/Call ratio increased by 39.76% over the last two weeks, from 0.83 to 1.16. Offers a good dividend, and appears to have good liquidity to back it up--dividend yield at 6.32%, current ratio at 2.61, and quick ratio at 2.17. The stock has gained 30.25% over the last year.

15. UniSource Energy Corporation (NYSE:UNS): Electric Utilities Industry. Market cap of $1.38B. Dividend yield at 4.48%. The Put/Call ratio increased by 35.23% over the last two weeks, from 0.88 to 1.19. The stock has gained 23.98% over the last year.

*Options data sourced from Schaeffer’s, other relevant data sourced from Finviz.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.