FRT Dividend Type Payments

FEDERAL REALTY INVESTMENT dividend

Although FRT has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on FEDERAL REALTY INVESTMENT to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Mon 4:16 PM ET):

FEDERAL REALTY INVESTMENT (FRT)
Bid Ask Last Change Volume P/E Market Cap
115.04 119.72 119.23 +0.83 589K 31 8.8B

FRT Dividend-Like Income Using Covered Calls

With FRT at 119.23, 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% 3.58 1.0
5% 5.96 1.6
10% 11.92 3.3

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 FRT Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Oct 19 120.00 0.60 5 12.0 0.28 (0.2%)
Nov 16 125.00 0.85 33 2.6 5.28 (4.4%)
5% Yield On FRT Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Oct 19 120.00 0.60 5 12.0 0.28 (0.2%)
Nov 16 125.00 0.85 33 2.6 5.28 (4.4%)
10% Yield On FRT Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Oct 19 120.00 0.60 5 12.0 0.28 (0.2%)
Nov 16 120.00 2.45 33 7.4 0.28 (0.2%)

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Top 10 Open Interest For Oct 19 Expiration     Top 5 High Yield
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Want more examples? FRSH Dividend | FRTA Dividend