ARMK Dividend Type Payments

Aramark dividend

Although ARMK has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Aramark to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Thu 1:25 PM ET):

Aramark (ARMK)
Bid Ask Last Change Volume P/E Market Cap
32.14 32.16 32.15 -0.40 406K 14 8.5B

ARMK Dividend-Like Income Using Covered Calls

With ARMK at 32.15, 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% 0.96 0.3
5% 1.61 0.4
10% 3.22 0.9

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 ARMK Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
May 17 32.00 1.05 23 3.9 0.00 (0.0%)
Jun 21 32.00 1.40 58 2.1 0.00 (0.0%)
5% Yield On ARMK Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
May 17 32.00 1.05 23 3.9 0.00 (0.0%)
Jun 21 32.00 1.40 58 2.1 0.00 (0.0%)
10% Yield On ARMK Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
May 17 32.00 1.05 23 3.9 0.00 (0.0%)
Jun 21 32.00 1.40 58 2.1 0.00 (0.0%)

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Want more examples? ARM Dividend | AROC Dividend