BIO Dividend Type Payments

Bio-Rad Laboratories, Inc dividend

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

Bio-Rad Laboratories, Inc (BIO)
Bid Ask Last Change Volume P/E Market Cap
250.00 254.12 254.25 +2.19 185K - 0.0B

BIO Dividend-Like Income Using Covered Calls

With BIO at 254.25, 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% 7.63 2.1
5% 12.71 3.5
10% 25.43 7.0

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
Dec 21 270.00 0.45 10 4.5 15.88 (6.2%)
Jan 18 280.00 1.20 38 3.2 25.88 (10.2%)
5% Yield On BIO Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Dec 21 270.00 0.45 10 4.5 15.88 (6.2%)
Jan 18 270.00 3.10 38 8.2 15.88 (6.2%)
10% Yield On BIO Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Dec 21 260.00 2.45 10 24.5 5.88 (2.3%)
Jan 18 270.00 3.10 38 8.2 15.88 (6.2%)

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Top 10 Open Interest For Dec 21 Expiration     Top 5 High Yield
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Want more examples? BIL Dividend | BIOC Dividend