KFY Dividend

Although KFY has a dividend of 0.10 with an ex-dividend date of Dec 19, you can sell covered calls on Korn/Ferry Intl to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Tue 4:16 PM ET):

Korn/Ferry Intl (KFY)
Bid	Ask	Last	Change	Volume	P/E	Market Cap
38.10	49.65	43.09	+1.05	432K	-	0.0B

KFY Dividend-Like Income Using Covered Calls

With KFY at 43.09, 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%	1.29	0.4
5%	2.15	0.6
10%	4.31	1.2

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 KFY Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Mar 15	50.00	0.85	88	1.0	0.35 (0.8%)
Jun 21	55.00	0.95	186	0.5	5.35 (12.4%)

5% Yield On KFY Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Mar 15	50.00	0.85	88	1.0	0.35 (0.8%)
Jun 21	50.00	1.95	186	1.0	0.35 (0.8%)

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Top 10 Open Interest For Dec 21 Expiration				Top 5 High Yield
1.	SPY dividend	6.	EWZ dividend	1.	dividend
2.	EEM dividend	7.	FXI dividend	2.	dividend
3.	SPX dividend	8.	GE dividend	3.	dividend
4.	QQQ dividend	9.	BAC dividend	4.	dividend
5.	IWM dividend	10.	VXX dividend	5.	dividend

Want more examples? KFRC Dividend | KFYP Dividend