FTSI Dividend Type Payments

Although FTSI has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on FTS INTL INC to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Thu 1:15 PM ET):

FTS INTL INC (FTSI)
Bid Ask Last Change Volume P/E Market Cap
10.89 10.92 10.90 +0.47 317K 1.7 1.1B

FTSI Dividend-Like Income Using Covered Calls

With FTSI at 10.90, 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% 0.33 0.1
5% 0.55 0.1
10% 1.09 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 FTSI Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Sep 21 12.50 0.10 37 0.3 1.58 (14.5%)
Nov 16 15.00 0.10 93 0.1 4.08 (37.4%)
5% Yield On FTSI Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Sep 21 12.50 0.10 37 0.3 1.58 (14.5%)
Nov 16 12.50 0.40 93 0.4 1.58 (14.5%)
10% Yield On FTSI Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Nov 16 12.50 0.40 93 0.4 1.58 (14.5%)
Feb 15 12.50 0.75 184 0.4 1.58 (14.5%)

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Top 10 Open Interest For Aug 17 Expiration     Top 5 High Yield
1.SPY dividend 6.XLF dividend   1.JWN dividend
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5.SPX dividend 10.AABA dividend   5.AMAT dividend

Want more examples? FTSD Dividend | FTV Dividend