EQIX Dividend

EQUINIX dividend

Although EQIX has a dividend of 2.28 with an ex-dividend date of Aug 21, you can sell covered calls on EQUINIX 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):

EQUINIX (EQIX)
Bid Ask Last Change Volume P/E Market Cap
436.00 450.00 438.77 -4.83 481K 127 35B

EQIX Dividend-Like Income Using Covered Calls

With EQIX at 438.77, 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% 13.16 3.6
5% 21.94 6.0
10% 43.88 12.0

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 EQIX Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Sep 21 460.00 2.10 36 5.8 10.00 (2.3%)
Dec 21 480.00 6.20 127 4.9 30.00 (6.8%)
5% Yield On EQIX Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Sep 21 450.00 4.50 36 12.5 0.00 (0.0%)
Dec 21 470.00 8.10 127 6.4 20.00 (4.6%)
10% Yield On EQIX Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Sep 21 450.00 4.50 36 12.5 0.00 (0.0%)
Dec 21 450.00 15.80 127 12.4 0.00 (0.0%)

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Top 10 Open Interest For Sep 21 Expiration     Top 5 High Yield
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Want more examples? EQH Dividend | EQL Dividend