ALEX Dividend
Although ALEX has a dividend of 0.23 with an ex-dividend date of Jun 13, you can sell covered calls on Alexander & Baldwin, Inc. REIT Holding Company to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Wed 10:40 AM ET):
| Alexander & Baldwin, Inc. REIT Holding Company (ALEX) | ||||||
|---|---|---|---|---|---|---|
| Bid | Ask | Last | Change | Volume | P/E | Market Cap |
| 17.40 | 17.42 | 17.41 | -0.16 | 35K | 21 | 1.3B |
ALEX Dividend-Like Income Using Covered Calls
With ALEX at 17.41, 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% | 0.52 | 0.1 |
| 5% | 0.87 | 0.2 |
| 10% | 1.74 | 0.5 |
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 ALEX Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Dec 19 | 17.50 | 0.40 | 220 | 0.2 | 0.08 (0.5%) | |
Want to increase dividends with covered calls? Sign Up For A Free Trial
| Top 10 Open Interest For May 16 Expiration | Top 5 High Yield | |||||
|---|---|---|---|---|---|---|
| 1. | NVDA dividend | 6. | IWM dividend | 1. | DOCS dividend | |
| 2. | SPY dividend | 7. | SLV dividend | 2. | CAVA dividend | |
| 3. | TLT dividend | 8. | FXI dividend | 3. | RXRX dividend | |
| 4. | TSLA dividend | 9. | GLD dividend | 4. | HTZ dividend | |
| 5. | QQQ dividend | 10. | INTC dividend | 5. | NFE dividend | |
Want more examples? ALEC Dividend | ALG Dividend
