Dividends are an effective income generation tool for both short- and long-term investors. To capitalize on dividends, investors must ensure that they purchase the stock before the ex-dividend date and hold the stock through this period. Payments for dividends usually occur two to six weeks after the ex-date. For more information, check out Everything Investors Need to Know About Ex-Dividend Dates.

1. The Procter & Gamble Company

The Procter & Gamble Company (PG ) offers a dividend yield of 3.53% based on yesterday’s closing price of $75.16 and pays a dividend of $2.65. The stock is down 19.95% from its 52-week high. Dividend.com currently rates P&G as “Recommended”, with a DARS™ rating of 3.5 stars out of 5 stars.

2. Colgate-Palmolive Co.

Colgate-Palmolive Co. (CL ) offers a dividend yield of 2.26% based on yesterday’s closing price of $67.25 and pays a dividend of $1.52. The stock is down 6.02% from its 52-week high. Dividend.com currently rates Colgate-Palmolive Co. as “Neutral”, with a DARS™ rating of 3.4 stars out of 5 stars.

3. Pentair

Pentair (PNR ) offers a dividend yield of 2.17% based on yesterday’s closing price of $55.21 and pays a dividend of $1.20. The stock is down 20.73% from its 52-week high. Dividend.com currently rates Pentair as “Neutral”, with a DARS™ rating of 3.4 stars out of 5 stars.

4. Tyco International Ltd.

Tyco International Ltd. (TYC ) offers a dividend yield of 2.27% based on yesterday’s closing price of $36.15 and pays a dividend of 82 cents. The stock is down 19.38% from its 52-week high. Dividend.com currently rates Tyco International Ltd. as “Neutral”, with a DARS™ rating of 3.3 stars out of 5 stars.

5. Core Laboratories NV

Core Laboratories NV (CLB ) offers a dividend yield of 1.96% based on yesterday’s closing price of $112.30 and pays a dividend of $2.20. The stock is down 23.66% from its 52-week high. Dividend.com currently rates Core Laboratories NV as “Neutral”, with a DARS™ rating of 3.4 stars out of 5 stars.

6. SM Energy Company

SM Energy Company (SM ) offers a dividend yield of 0.27% based on yesterday’s closing price of $37.59 and pays a dividend of 10 cents. The stock is down 39.49% from its 52-week high. Dividend.com currently rates SM Energy Company as “Neutral”, with a DARS™ rating of 3.3 stars out of 5 stars.