CRSP Dividend Type Payments
Although CRSP has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on CRISPR Therapeutics AG - Common Shares 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):
CRISPR Therapeutics AG - Common Shares (CRSP) |
Bid |
Ask |
Last |
Change |
Volume |
P/E |
Market Cap |
53.17 |
54.11 |
53.91 |
+0.18 |
1.3M |
- |
4.3B |
CRSP Dividend-Like Income Using Covered Calls
With CRSP at 53.91, 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% |
1.62 |
0.4 |
5% |
2.70 |
0.7 |
10% |
5.39 |
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 CRSP Using Covered Calls |
Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
May 3 |
54.00 |
1.55 |
8 |
18.0 |
0.00 (0.0%) |
May 10 |
54.00 |
3.30 |
15 |
21.3 |
0.00 (0.0%) |
5% Yield On CRSP Using Covered Calls |
Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
May 3 |
54.00 |
1.55 |
8 |
18.0 |
0.00 (0.0%) |
May 10 |
54.00 |
3.30 |
15 |
21.3 |
0.00 (0.0%) |
10% Yield On CRSP Using Covered Calls |
Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
May 3 |
54.00 |
1.55 |
8 |
18.0 |
0.00 (0.0%) |
May 10 |
54.00 |
3.30 |
15 |
21.3 |
0.00 (0.0%) |
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