APAM Dividend Type Payments
Although APAM has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Artisan Partners Asset Management 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):
| Artisan Partners Asset Management Inc. Class A (APAM) | ||||||
|---|---|---|---|---|---|---|
| Bid | Ask | Last | Change | Volume | P/E | Market Cap |
| 42.12 | 42.82 | 42.71 | +0.52 | 1.6M | 12 | 3.4B |
APAM Dividend-Like Income Using Covered Calls
With APAM at 42.71, 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% | 1.28 | 0.4 |
| 5% | 2.14 | 0.6 |
| 10% | 4.27 | 1.2 |
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 APAM Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Aug 15 | 45.00 | 0.80 | 57 | 1.4 | 2.18 (5.1%) | |
| Jul 18 | 45.00 | 0.20 | 29 | 0.7 | 2.18 (5.1%) | |
| 5% Yield On APAM Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Aug 15 | 45.00 | 0.80 | 57 | 1.4 | 2.18 (5.1%) | |
| Jul 18 | 45.00 | 0.20 | 29 | 0.7 | 2.18 (5.1%) | |
| 10% Yield On APAM Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Aug 15 | 45.00 | 0.80 | 57 | 1.4 | 2.18 (5.1%) | |
| Sep 19 | 44.50 | 1.35 | 92 | 1.5 | 1.68 (3.9%) | |
Want to increase dividends with covered calls? Sign Up For A Free Trial
| Top 10 Open Interest For Jul 18 Expiration | Top 5 High Yield | |||||
|---|---|---|---|---|---|---|
| 1. | SLV dividend | 6. | TSLA dividend | 1. | ALT dividend | |
| 2. | NVDA dividend | 7. | IWM dividend | 2. | COGT dividend | |
| 3. | SPY dividend | 8. | FXI dividend | 3. | BBAI dividend | |
| 4. | GLD dividend | 9. | AAPL dividend | 4. | RUN dividend | |
| 5. | TLT dividend | 10. | CLSK dividend | 5. | CELC dividend | |
Want more examples? APA Dividend | APD Dividend
