COF Dividend Type Payments
Although COF has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Capital One Financial Corporation to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Thu 11:25 AM ET):
Capital One Financial Corporation (COF) | ||||||
---|---|---|---|---|---|---|
Bid | Ask | Last | Change | Volume | P/E | Market Cap |
145.73 | 145.85 | 145.76 | -3.11 | 1.0M | 13 | 57B |
COF Dividend-Like Income Using Covered Calls
With COF at 145.76, here's a table showing how big the annual "dividend" (i.e. 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% | 4.37 | 1.2 |
5% | 7.29 | 2.0 |
10% | 14.58 | 4.0 |
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 COF Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
May 3 | 146.00 | 3.70 | 9 | 41.1 | 0.15 (0.1%) | |
May 10 | 146.00 | 4.20 | 16 | 26.3 | 0.15 (0.1%) |
5% Yield On COF Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
May 3 | 146.00 | 3.70 | 9 | 41.1 | 0.15 (0.1%) | |
May 10 | 146.00 | 4.20 | 16 | 26.3 | 0.15 (0.1%) |
10% Yield On COF Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
May 3 | 146.00 | 3.70 | 9 | 41.1 | 0.15 (0.1%) | |
May 10 | 146.00 | 4.20 | 16 | 26.3 | 0.15 (0.1%) |
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Top 10 Open Interest For May 17 Expiration | Top 5 High Yield | |||||
---|---|---|---|---|---|---|
1. | QQQ dividend | 6. | EEM dividend | 1. | FSLY dividend | |
2. | HYG dividend | 7. | KWEB dividend | 2. | SNAP dividend | |
3. | IWM dividend | 8. | SLV dividend | 3. | WOLF dividend | |
4. | SPY dividend | 9. | TSLA dividend | 4. | PENN dividend | |
5. | FXI dividend | 10. | NVDA dividend | 5. | UPST dividend |
Want more examples? CODX Dividend | COHR Dividend