JD Dividend Type Payments
Although JD has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on JD.com, Inc. - American Depositary 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):
| JD.com, Inc. - American Depositary Shares (JD) | ||||||
|---|---|---|---|---|---|---|
| Bid | Ask | Last | Change | Volume | P/E | Market Cap |
| 35.71 | 35.77 | 35.73 | -1.52 | 16.7M | 20 | 54B |
JD Dividend-Like Income Using Covered Calls
With JD at 35.73, 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% | 1.07 | 0.3 |
| 5% | 1.79 | 0.5 |
| 10% | 3.57 | 1.0 |
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 JD Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Jun 6 | 36.00 | 1.50 | 24 | 6.3 | 0.23 (0.6%) | |
| Jun 13 | 36.00 | 1.57 | 31 | 5.1 | 0.23 (0.6%) | |
| 5% Yield On JD Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Jun 6 | 36.00 | 1.50 | 24 | 6.3 | 0.23 (0.6%) | |
| Jun 13 | 36.00 | 1.57 | 31 | 5.1 | 0.23 (0.6%) | |
| 10% Yield On JD Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Jun 6 | 36.00 | 1.50 | 24 | 6.3 | 0.23 (0.6%) | |
| Jun 13 | 36.00 | 1.57 | 31 | 5.1 | 0.23 (0.6%) | |
Want to increase dividends with covered calls? Sign Up For A Free Trial
| Top 10 Open Interest For May 16 Expiration | Top 5 High Yield | |||||
|---|---|---|---|---|---|---|
| 1. | NVDA dividend | 6. | IWM dividend | 1. | RCAT dividend | |
| 2. | SPY dividend | 7. | SLV dividend | 2. | DOCS dividend | |
| 3. | TLT dividend | 8. | FXI dividend | 3. | CAVA dividend | |
| 4. | TSLA dividend | 9. | GLD dividend | 4. | QUBT dividend | |
| 5. | QQQ dividend | 10. | INTC dividend | 5. | SERV dividend | |
Want more examples? JCTR Dividend | JDIV Dividend
