DOC Dividend
Although DOC has a dividend of 0.10 with an ex-dividend date of Sep 19, you can sell covered calls on Healthpeak Properties, Inc. 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):
| Healthpeak Properties, Inc. (DOC) | ||||||
|---|---|---|---|---|---|---|
| Bid | Ask | Last | Change | Volume | P/E | Market Cap |
| 18.19 | 18.45 | 18.39 | +0.39 | 5.9M | 78 | 13B |
DOC Dividend-Like Income Using Covered Calls
With DOC at 18.39, 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% | 0.55 | 0.2 |
| 5% | 0.92 | 0.3 |
| 10% | 1.84 | 0.5 |
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 DOC Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Jan 16 | 20.00 | 0.30 | 134 | 0.2 | 1.55 (8.4%) | |
| Apr 17 | 20.00 | 0.50 | 225 | 0.2 | 1.55 (8.4%) | |
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| Top 10 Open Interest For Sep 19 Expiration | Top 5 High Yield | |||||
|---|---|---|---|---|---|---|
| 1. | NVDA dividend | 6. | FXI dividend | 1. | ATYR dividend | |
| 2. | PCG dividend | 7. | QQQ dividend | 2. | APP dividend | |
| 3. | IWM dividend | 8. | IBIT dividend | 3. | PL dividend | |
| 4. | SPY dividend | 9. | SLV dividend | 4. | UUUU dividend | |
| 5. | EEM dividend | 10. | TLT dividend | 5. | CRH dividend | |
Want more examples? DNOW Dividend | DOCU Dividend
