AIT Dividend

Although AIT has a dividend of 0.51 with an ex-dividend date of Feb 13, you can sell covered calls on Applied Industrial Technologies, Inc. to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Wed 4:16 PM ET):

Applied Industrial Technologies, Inc. (AIT)
Bid	Ask	Last	Change	Volume	P/E	Market Cap
268.81	295.65	290.31	+6.58	492K	27	11B

AIT Dividend-Like Income Using Covered Calls

With AIT at 290.31, here's a table showing how big the annual "dividend" (i.e. total annual call premium received) would need to be to attain 3%, 5%, and 10% annual yields. Also shown is the equivalent number of cents/day necessary to achieve each yield:

Annual Yield	Annual Premium	Cents/Day
3%	8.71	2.4
5%	14.52	4.0
10%	29.03	8.0

So now we need to find out of the money covered calls that pay at least the prescribed cents/day amount of time premium. That will generate income and, because they are out of the money, leave room for some upside potential on the stock. Here are some examples:

3% Yield On AIT Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Feb 20	300.00	0.75	10	7.5	4.35 (1.5%)
Mar 20	300.00	5.80	38	15.3	4.35 (1.5%)

5% Yield On AIT Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Feb 20	300.00	0.75	10	7.5	4.35 (1.5%)
Mar 20	300.00	5.80	38	15.3	4.35 (1.5%)

10% Yield On AIT Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Mar 20	300.00	5.80	38	15.3	4.35 (1.5%)
May 15	300.00	13.30	94	14.1	4.35 (1.5%)

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Top 10 Open Interest For Feb 20 Expiration				Top 5 High Yield
1.	SLV dividend	6.	QQQ dividend	1.	NRGV dividend
2.	NVDA dividend	7.	SPY dividend	2.	APP dividend
3.	KWEB dividend	8.	EWZ dividend	3.	AAP dividend
4.	GLD dividend	9.	TLT dividend	4.	CSCO dividend
5.	IBIT dividend	10.	INTC dividend	5.	PINS dividend

Want more examples? AIS Dividend | AIV Dividend