KLIC Dividend

Although KLIC has a dividend of 0.12 with an ex-dividend date of Dec 26, you can sell covered calls on Kulicke & Soffa Industries, Inc to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Fri 4:16 PM ET):

Kulicke & Soffa Industries, Inc (KLIC)
Bid	Ask	Last	Change	Volume	P/E	Market Cap
14.01	24.87	19.59	-0.41	363K	-	0.0B

KLIC Dividend-Like Income Using Covered Calls

With KLIC at 19.59, 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%	0.59	0.2
5%	0.98	0.3
10%	1.96	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 KLIC Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Apr 18	25.00	0.40	126	0.3	0.13 (0.7%)
Jul 19	27.00	0.45	218	0.2	2.13 (10.9%)

5% Yield On KLIC Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Apr 18	25.00	0.40	126	0.3	0.13 (0.7%)
Jul 19	26.00	0.60	218	0.3	1.13 (5.8%)

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3.	SPX dividend	8.	GE dividend	3.	dividend
4.	QQQ dividend	9.	BAC dividend	4.	dividend
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Want more examples? KLDW Dividend | KMB Dividend