CRK Dividend Type Payments

Comstock Resources, Inc. dividend

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

Comstock Resources, Inc. (CRK)
Bid Ask Last Change Volume P/E Market Cap
10.15 10.33 10.30 +0.15 3.0M 13 2.8B

CRK Dividend-Like Income Using Covered Calls

With CRK at 10.30, 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% 0.31 0.1
5% 0.52 0.1
10% 1.03 0.3

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 CRK Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
May 17 11.00 0.20 23 0.9 0.67 (6.5%)
Jun 21 11.00 0.45 58 0.8 0.67 (6.5%)
5% Yield On CRK Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
May 17 11.00 0.20 23 0.9 0.67 (6.5%)
Jun 21 11.00 0.45 58 0.8 0.67 (6.5%)
10% Yield On CRK Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
May 17 11.00 0.20 23 0.9 0.67 (6.5%)
Jun 21 11.00 0.45 58 0.8 0.67 (6.5%)

Want to increase dividends with covered calls?  Sign Up For A Free Trial

 
 
Top 10 Open Interest For May 17 Expiration     Top 5 High Yield
1.QQQ dividend 6.EEM dividend   1.WOLF dividend
2.HYG dividend 7.KWEB dividend   2.FSLY dividend
3.IWM dividend 8.SLV dividend   3.INTC dividend
4.SPY dividend 9.TSLA dividend   4.GRPN dividend
5.FXI dividend 10.NVDA dividend   5.MPW dividend

Want more examples? CRI Dividend | CRL Dividend