BLK Dividend

BlackRock, Inc dividend

Although BLK has a dividend of 3.30 with an ex-dividend date of Sep 4, you can sell covered calls on BlackRock, 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):

BlackRock, Inc (BLK)
Bid Ask Last Change Volume P/E Market Cap
470.00 488.88 473.24 -1.90 871K 18 73B

BLK Dividend-Like Income Using Covered Calls

With BLK at 473.24, 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% 14.20 3.9
5% 23.66 6.5
10% 47.32 13.0

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 BLK Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Aug 2 490.00 0.75 15 5.0 1.12 (0.2%)
Aug 9 490.00 1.40 22 6.4 1.12 (0.2%)
5% Yield On BLK Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Aug 16 490.00 2.70 29 9.3 1.12 (0.2%)
Aug 23 495.00 2.40 36 6.7 6.12 (1.3%)

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Top 10 Open Interest For Aug 16 Expiration     Top 5 High Yield
1.SPY dividend 6.QQQ dividend   1.SNAP dividend
2.FXI dividend 7.NIO dividend   2.HAL dividend
3.EEM dividend 8.BAC dividend   3.ITCI dividend
4.SPX dividend 9.GLD dividend   4.TWTR dividend
5.GDX dividend 10.EWZ dividend   5.CRWD dividend

Want more examples? BLHY Dividend | BLKB Dividend