KL Dividend Type Payments

Although KL has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on KIRKLAND LAKE GOLD LTD to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Wed 10:40 AM ET):

KIRKLAND LAKE GOLD LTD (KL)
Bid Ask Last Change Volume P/E Market Cap
21.82 21.83 21.79 +0.20 192K 23 4.6B

KL Dividend-Like Income Using Covered Calls

With KL at 21.79, 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% 0.65 0.2
5% 1.09 0.3
10% 2.18 0.6

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 KL Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Oct 19 22.50 0.10 3 3.3 0.67 (3.1%)
Nov 16 25.00 0.25 31 0.8 3.17 (14.5%)
5% Yield On KL Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Oct 19 22.50 0.10 3 3.3 0.67 (3.1%)
Nov 16 25.00 0.25 31 0.8 3.17 (14.5%)
10% Yield On KL Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Oct 19 22.50 0.10 3 3.3 0.67 (3.1%)
Nov 16 25.00 0.25 31 0.8 3.17 (14.5%)

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Top 10 Open Interest For Oct 19 Expiration     Top 5 High Yield
1.SPY dividend 6.PBR dividend   1.GBT dividend
2.SPX dividend 7.MU dividend   2.LLNW dividend
3.QQQ dividend 8.FXI dividend   3.UVXY dividend
4.EEM dividend 9.IWM dividend   4.PYX dividend
5.BAC dividend 10.AMD dividend   5.CLVS dividend

Want more examples? KKR Dividend | KLAC Dividend