CYBR Dividend Type Payments
Although CYBR has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on CyberArk Software Ltd. - Ordinary Shares to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Tue 4:16 PM ET):
| CyberArk Software Ltd. - Ordinary Shares (CYBR) |
|---|
| Bid |
Ask |
Last |
Change |
Volume |
P/E |
Market Cap |
| 505.00 |
512.99 |
507.98 |
-10.98 |
327K |
- |
20B |
CYBR Dividend-Like Income Using Covered Calls
With CYBR at 507.98, 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% |
15.24 |
4.2 |
| 5% |
25.40 |
7.0 |
| 10% |
50.80 |
13.9 |
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 CYBR Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| Dec 19 |
520.00 |
19.60 |
46 |
42.6 |
7.01 (1.4%) |
| Nov 21 |
520.00 |
12.40 |
18 |
68.9 |
7.01 (1.4%) |
| 5% Yield On CYBR Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| Dec 19 |
520.00 |
19.60 |
46 |
42.6 |
7.01 (1.4%) |
| Nov 21 |
520.00 |
12.40 |
18 |
68.9 |
7.01 (1.4%) |
| 10% Yield On CYBR Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| Dec 19 |
520.00 |
19.60 |
46 |
42.6 |
7.01 (1.4%) |
| Nov 21 |
520.00 |
12.40 |
18 |
68.9 |
7.01 (1.4%) |
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