AMC Dividend Type Payments
Although AMC has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on AMC Entertainment Holdings, Inc. Class A to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Fri 4:16 PM ET):
AMC Entertainment Holdings, Inc. Class A (AMC) | ||||||
---|---|---|---|---|---|---|
Bid | Ask | Last | Change | Volume | P/E | Market Cap |
5.18 | 5.20 | 5.18 | +0.04 | 17.6M | - | 4.2B |
AMC Dividend-Like Income Using Covered Calls
With AMC at 5.18, 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% | 0.16 | 0.0 |
5% | 0.26 | 0.1 |
10% | 0.52 | 0.1 |
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 AMC Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Aug 2 | 10.00 | 0.02 | 8 | 0.3 | 4.80 (92.7%) | |
Aug 9 | 5.50 | 0.25 | 15 | 1.7 | 0.30 (5.8%) |
5% Yield On AMC Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Aug 2 | 10.00 | 0.02 | 8 | 0.3 | 4.80 (92.7%) | |
Aug 9 | 5.50 | 0.25 | 15 | 1.7 | 0.30 (5.8%) |
10% Yield On AMC Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Aug 2 | 10.00 | 0.02 | 8 | 0.3 | 4.80 (92.7%) | |
Aug 9 | 5.50 | 0.25 | 15 | 1.7 | 0.30 (5.8%) |
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Top 10 Open Interest For Aug 16 Expiration | Top 5 High Yield | |||||
---|---|---|---|---|---|---|
1. | NVDA dividend | 6. | TSLA dividend | 1. | SNAP dividend | |
2. | IWM dividend | 7. | SIRI dividend | 2. | TDOC dividend | |
3. | QQQ dividend | 8. | AAPL dividend | 3. | NET dividend | |
4. | FXI dividend | 9. | AMZN dividend | 4. | CLSK dividend | |
5. | SPY dividend | 10. | SLV dividend | 5. | TEAM dividend |
Want more examples? AMBC Dividend | AMCR Dividend