BEAT Dividend Type Payments

BIOTELEMETRY dividend

Although BEAT has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on BIOTELEMETRY to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Tue 4:16 PM ET):

BIOTELEMETRY (BEAT)
Bid Ask Last Change Volume P/E Market Cap
60.65 63.10 61.50 +0.15 303K - 2.0B

BEAT Dividend-Like Income Using Covered Calls

With BEAT at 61.50, here's a table showing how big the annual "dividend" (ie. 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% 1.85 0.5
5% 3.08 0.8
10% 6.15 1.7

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 BEAT Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Oct 19 70.00 0.15 25 0.6 6.90 (11.2%)
Nov 16 75.00 0.80 53 1.5 11.90 (19.3%)
5% Yield On BEAT Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Oct 19 65.00 0.90 25 3.6 1.90 (3.1%)
Nov 16 75.00 0.80 53 1.5 11.90 (19.3%)
10% Yield On BEAT Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Oct 19 65.00 0.90 25 3.6 1.90 (3.1%)
Nov 16 70.00 1.55 53 2.9 6.90 (11.2%)

Want to increase dividends with covered calls?  Sign Up For A Free Trial

 
Top 10 Open Interest For Oct 19 Expiration     Top 5 High Yield
1.SPY dividend 6.FXI dividend   1.GERN dividend
2.FTV dividend 7.AMD dividend   2.BBBY dividend
3.EEM dividend 8.BABA dividend   3.AMRN dividend
4.SPX dividend 9.USO dividend   4.BB dividend
5.MU dividend 10.GLD dividend   5.NKE dividend

Want more examples? BDX Dividend | BECN Dividend