ITRN Dividend Type Payments
Although ITRN has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Ituran Location and Control Ltd. - Ordinary Shares to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Wed 4:16 PM ET):
| Ituran Location and Control Ltd. - Ordinary Shares (ITRN) |
|---|
| Bid |
Ask |
Last |
Change |
Volume |
P/E |
Market Cap |
| 37.85 |
39.73 |
39.00 |
+0.80 |
25K |
14 |
0.9B |
ITRN Dividend-Like Income Using Covered Calls
With ITRN at 39.00, 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% |
1.17 |
0.3 |
| 5% |
1.95 |
0.5 |
| 10% |
3.90 |
1.1 |
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 ITRN Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| Nov 21 |
40.00 |
0.20 |
17 |
1.2 |
0.27 (0.7%) |
| May 15 |
40.00 |
2.45 |
192 |
1.3 |
0.27 (0.7%) |
| 5% Yield On ITRN Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| Nov 21 |
40.00 |
0.20 |
17 |
1.2 |
0.27 (0.7%) |
| May 15 |
40.00 |
2.45 |
192 |
1.3 |
0.27 (0.7%) |
| 10% Yield On ITRN Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| Nov 21 |
40.00 |
0.20 |
17 |
1.2 |
0.27 (0.7%) |
| May 15 |
40.00 |
2.45 |
192 |
1.3 |
0.27 (0.7%) |
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