DAVE Dividend Type Payments
Although DAVE has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Dave Inc. - Class A 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):
| Dave Inc. - Class A (DAVE) | ||||||
|---|---|---|---|---|---|---|
| Bid | Ask | Last | Change | Volume | P/E | Market Cap |
| 252.50 | 275.95 | 260.67 | -7.74 | 549K | - | 3.1B |
DAVE Dividend-Like Income Using Covered Calls
With DAVE at 260.67, 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% | 7.82 | 2.1 |
| 5% | 13.03 | 3.6 |
| 10% | 26.07 | 7.1 |
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 DAVE Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Aug 15 | 280.00 | 25.20 | 46 | 54.8 | 4.05 (1.6%) | |
| Oct 17 | 280.00 | 38.10 | 109 | 35.0 | 4.05 (1.6%) | |
| 5% Yield On DAVE Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Aug 15 | 280.00 | 25.20 | 46 | 54.8 | 4.05 (1.6%) | |
| Oct 17 | 280.00 | 38.10 | 109 | 35.0 | 4.05 (1.6%) | |
| 10% Yield On DAVE Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Aug 15 | 280.00 | 25.20 | 46 | 54.8 | 4.05 (1.6%) | |
| Oct 17 | 280.00 | 38.10 | 109 | 35.0 | 4.05 (1.6%) | |
Want to increase dividends with covered calls? Sign Up For A Free Trial
| Top 10 Open Interest For Jul 18 Expiration | Top 5 High Yield | |||||
|---|---|---|---|---|---|---|
| 1. | NVDA dividend | 6. | GLD dividend | 1. | COGT dividend | |
| 2. | SLV dividend | 7. | AAPL dividend | 2. | STZ dividend | |
| 3. | SPY dividend | 8. | TLT dividend | 3. | IREN dividend | |
| 4. | IWM dividend | 9. | FXI dividend | 4. | CIFR dividend | |
| 5. | TSLA dividend | 10. | QQQ dividend | 5. | IONQ dividend | |
Want more examples? DAT Dividend | DAX Dividend
