CMCSA Dividend

COMCAST dividend

Although CMCSA has a dividend of 0.19 with an ex-dividend date of Oct 2, you can sell covered calls on COMCAST 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):

COMCAST (CMCSA)
Bid Ask Last Change Volume P/E Market Cap
34.80 35.50 34.97 -0.42 15.0M 6.9 162B

CMCSA Dividend-Like Income Using Covered Calls

With CMCSA at 34.97, 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% 1.05 0.3
5% 1.75 0.5
10% 3.50 1.0

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 CMCSA Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Aug 17 36.00 0.01 3 0.3 0.50 (1.4%)
Aug 24 36.50 0.06 10 0.6 1.00 (2.9%)
5% Yield On CMCSA Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Aug 17 35.50 0.06 3 2.0 0.00 (0.0%)
Aug 24 36.50 0.06 10 0.6 1.00 (2.9%)
10% Yield On CMCSA Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Aug 17 35.50 0.06 3 2.0 0.00 (0.0%)
Aug 24 36.00 0.13 10 1.3 0.50 (1.4%)

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Top 10 Open Interest For Aug 17 Expiration     Top 5 High Yield
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Want more examples? CMCO Dividend | CMD Dividend