BGS Dividend
Although BGS has a dividend of 0.19 with an ex-dividend date of Sep 30, you can sell covered calls on B&G Foods, Inc. B&G Foods, Inc. 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):
| B&G Foods, Inc. B&G Foods, Inc. (BGS) | ||||||
|---|---|---|---|---|---|---|
| Bid | Ask | Last | Change | Volume | P/E | Market Cap |
| 4.51 | 4.60 | 4.50 | -0.11 | 1.8M | - | 0.4B |
BGS Dividend-Like Income Using Covered Calls
With BGS at 4.50, 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% | 0.14 | 0.0 |
| 5% | 0.23 | 0.1 |
| 10% | 0.45 | 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 BGS Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Oct 17 | 5.00 | 0.05 | 36 | 0.1 | 0.40 (8.9%) | |
| Nov 21 | 5.00 | 0.20 | 71 | 0.3 | 0.40 (8.9%) | |
| 5% Yield On BGS Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Oct 17 | 5.00 | 0.05 | 36 | 0.1 | 0.40 (8.9%) | |
| Nov 21 | 5.00 | 0.20 | 71 | 0.3 | 0.40 (8.9%) | |
| 10% Yield On BGS Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Oct 17 | 5.00 | 0.05 | 36 | 0.1 | 0.40 (8.9%) | |
| Nov 21 | 5.00 | 0.20 | 71 | 0.3 | 0.40 (8.9%) | |
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| Top 10 Open Interest For Sep 19 Expiration | Top 5 High Yield | |||||
|---|---|---|---|---|---|---|
| 1. | NVDA dividend | 6. | QQQ dividend | 1. | ATYR dividend | |
| 2. | SPY dividend | 7. | IBIT dividend | 2. | OPEN dividend | |
| 3. | IWM dividend | 8. | SLV dividend | 3. | IONQ dividend | |
| 4. | PCG dividend | 9. | TSLA dividend | 4. | QURE dividend | |
| 5. | EEM dividend | 10. | FXI dividend | 5. | ARCT dividend | |
Want more examples? BGFV Dividend | BHC Dividend
