EPZM Dividend Type Payments

EPIZYME INC dividend

Although EPZM has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on EPIZYME INC to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Wed 10:10 AM ET):

EPIZYME INC (EPZM)
Bid Ask Last Change Volume P/E Market Cap
9.95 10.05 10.05 -0.15 54K - 0.7B

EPZM Dividend-Like Income Using Covered Calls

With EPZM at 10.05, here's a table showing how big the annual "dividend" (ie. 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% 0.30 0.1
5% 0.50 0.1
10% 1.01 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 EPZM Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Aug 17 10.00 0.10 3 1.7 0.00 (0.0%)
Sep 21 10.00 0.15 38 0.3 0.00 (0.0%)
5% Yield On EPZM Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Aug 17 10.00 0.10 3 1.7 0.00 (0.0%)
Sep 21 10.00 0.15 38 0.3 0.00 (0.0%)
10% Yield On EPZM Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Aug 17 10.00 0.10 3 1.7 0.00 (0.0%)
Nov 16 10.00 0.90 94 0.9 0.00 (0.0%)

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

 
Top 10 Open Interest For Aug 17 Expiration     Top 5 High Yield
1.SPY dividend 6.XLF dividend   1.UVXY dividend
2.EEM dividend 7.FB dividend   2.LCI dividend
3.QQQ dividend 8.FXI dividend   3.NVDA dividend
4.SPX dividend 9.GLD dividend   4.JWN dividend
5.BAC dividend 10.AABA dividend   5.GDS dividend

Want more examples? EPV Dividend | EQAL Dividend