BIO Dividend Type Payments

BIO-RAD LABORATORIES dividend

Although BIO has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on BIO-RAD LABORATORIES 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):

BIO-RAD LABORATORIES (BIO)
Bid Ask Last Change Volume P/E Market Cap
280.72 280.96 280.96 -3.46 63K 8.2 8.6B

BIO Dividend-Like Income Using Covered Calls

With BIO at 280.96, 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% 8.43 2.3
5% 14.05 3.8
10% 28.10 7.7

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 BIO Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Nov 16 320.00 1.10 29 3.8 39.04 (13.9%)
Dec 21 320.00 2.45 64 3.8 39.04 (13.9%)
5% Yield On BIO Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Nov 16 310.00 2.20 29 7.6 29.04 (10.3%)
Dec 21 310.00 4.10 64 6.4 29.04 (10.3%)
10% Yield On BIO Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Nov 16 300.00 4.20 29 14.5 19.04 (6.8%)
Dec 21 300.00 6.50 64 10.2 19.04 (6.8%)

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Want more examples? BIL Dividend | BIOC Dividend