HR Dividend
Although HR has a dividend of 0.24 with an ex-dividend date of Aug 14, you can sell covered calls on Healthcare Realty Trust Incorporated to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Mon 9:55 AM ET):
Healthcare Realty Trust Incorporated (HR) | ||||||
---|---|---|---|---|---|---|
Bid | Ask | Last | Change | Volume | P/E | Market Cap |
16.58 | 16.59 | 16.59 | +0.04 | 303K | - | 5.8B |
HR Dividend-Like Income Using Covered Calls
With HR at 16.59, 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% | 0.50 | 0.1 |
5% | 0.83 | 0.2 |
10% | 1.66 | 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 HR Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Sep 19 | 17.50 | 0.15 | 47 | 0.3 | 0.91 (5.5%) | |
Nov 21 | 17.50 | 0.30 | 110 | 0.3 | 0.91 (5.5%) |
5% Yield On HR Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Sep 19 | 17.50 | 0.15 | 47 | 0.3 | 0.91 (5.5%) | |
Nov 21 | 17.50 | 0.30 | 110 | 0.3 | 0.91 (5.5%) |
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Top 10 Open Interest For Aug 15 Expiration | Top 5 High Yield | |||||
---|---|---|---|---|---|---|
1. | SLV dividend | 6. | GLD dividend | 1. | UPST dividend | |
2. | NVDA dividend | 7. | TSLA dividend | 2. | MBX dividend | |
3. | IWM dividend | 8. | AMZN dividend | 3. | GRPN dividend | |
4. | SPY dividend | 9. | QQQ dividend | 4. | AAOI dividend | |
5. | IBIT dividend | 10. | INTC dividend | 5. | LYFT dividend |
Want more examples? HQY Dividend | HRB Dividend