These 2 dividend stocks have high yields of over 8% and stable dividend coverage. The company's earnings can cover the dividend payments. Now there are some very interesting out-of-the-money covered call opportunities and related option plays. Here they are:

Gladstone Capital Corp (GLAD)

This is a business development corporation (BDC), which means it's sort of like a bank that makes loans to companies. It makes loans, collects the interest, and pays out to shareholders 90% of its net income after deducting admin costs. The key here is whether the amount it earns in interest is greater than what it pays out.

Right now, it pays a dividend of 81 cents per share. So at $9.81 per GLAD stock yields 8.26%. But more importantly, the weighted-average yield earned by the company was 10.3% in the last six months. This can be seen on page 49 of the 10-Q and also in its second-quarter fiscal earnings press release on May 3.

This is higher than the company’s current 8.26% yield to investors. We have to adjust for the fact that GLAD stock is 3.37% over the company’s net asset value NAV of $9.49 per share.

This reduces the company’s 10.3% weighted average income to 9.96% on a price equivalent basis. This still covers the 8.26% yield it pays out, so GLAD stock can afford this high yield.

One more thing. This company pays out monthly dividends. That makes this one of the more attractive dividend stocks on this list.

Investors can make additional income by selling out-of-the-money covered calls. For example, the Sept. 16 $12.50 strike price calls sell for 13 cents at the midpoint.

That means that investors can make 3.045% on today's price of $9.85 per share over the next 94 days if held till expiration (not likely). That implies an additional annualized yield of 12.18% if you can repeat this 3 more times in the next 9 months. So, the total return is over 20% (i.e., 8.26% from dividends and 12.18% from covered calls). That is a very good return for most income-oriented investors.

Prospect Capital (PSEC)

This is also another BDC that now yields over 10% based on its price of $7.05 on June 14 and its annual 72 cents dividend payment (actually 10.2%). It also pays out its dividends on monthly basis, just like GLAD stock above.

Moreover, it can cover the dividend payments. Its annualized asset portfolio of loans yields 8.4%. Since the stock has a net asset value NAV of $10.81, it trades for just 65.2% of that NAV. Therefore we can adjust its 8.4% portfolio earnings by dividing it by 0.652, deriving an equivalent portfolio yield of 12.88%, which is greater than its 10.2% yield to investors.

In addition, there are several income opportunities here with call and put options. For example, one could sell out-of-the-money calls for the Aug. 19 expiration period and earn 5 cents per call.

That provides an income of 0.706% for 2 months if held to expiration. That works out to an annualized return of 4.24% annually. So its total yield will be 14.4%, including the dividend yield income.

In addition, the investor could sell out-of-the-money puts that are well below the existing price, reducing the risk they will expire in-the-money. For example, the investor could pick up 20 cents per call, at a strike price of $4.00 per share.

This means the investor would receive a 2-month yield of 2.82% (i.e., $0.20/$7.08) if held til expiration (which probably won't happen). That works out to an annualized yield return of 16.92%. So, altogether, this stock provides a potential opportunity of up to 31.3% (i.e., 14.4% from the dividends and out-of-the-money calls, if repeated, and 16.92% from selling out-of-the-money puts at the same time).

Obviously, there are more risks with the short put strategy, including having to purchase shares at $4.00 if the stock falls below that price in 64 days. But overall, there seems little risk of that happening since the dividend is covered by the company's earnings.