BMY Dividend Type Payments

BRISTOL-MYERS SQUIBB dividend

Although BMY has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on BRISTOL-MYERS SQUIBB to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Mon 11:30 AM ET):

BRISTOL-MYERS SQUIBB (BMY)
Bid Ask Last Change Volume P/E Market Cap
56.50 56.51 56.51 -0.35 1.3M 100 93B

BMY Dividend-Like Income Using Covered Calls

With BMY at 56.51, 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% 1.70 0.5
5% 2.83 0.8
10% 5.65 1.5

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 BMY Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Jul 20 58.00 0.06 5 1.2 1.49 (2.6%)
Jul 27 61.00 0.08 12 0.7 4.49 (7.9%)
5% Yield On BMY Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Jul 20 58.00 0.06 5 1.2 1.49 (2.6%)
Jul 27 60.50 0.12 12 1.0 3.99 (7.1%)
10% Yield On BMY Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Jul 20 57.50 0.13 5 2.6 0.99 (1.8%)
Jul 27 59.50 0.23 12 1.9 2.99 (5.3%)

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Top 10 Open Interest For Jul 20 Expiration     Top 5 High Yield
1.SPY dividend 6.SPX dividend   1.SKX dividend
2.EEM dividend 7.MU dividend   2.NFLX dividend
3.XLF dividend 8.T dividend   3.LCI dividend
4.BAC dividend 9.QQQ dividend   4.HUYA dividend
5.EWZ dividend 10.FXI dividend   5.IQ dividend

Want more examples? BMTC Dividend | BNCL Dividend