KNX Dividend

Although KNX has a dividend of 0.18 with an ex-dividend date of Sep 5, you can sell covered calls on Knight-Swift Transportation Holdings Inc. 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):

Knight-Swift Transportation Holdings Inc. (KNX)
Bid	Ask	Last	Change	Volume	P/E	Market Cap
42.00	43.49	42.09	-1.35	1.3M	43	7.0B

KNX Dividend-Like Income Using Covered Calls

With KNX at 42.09, 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%	1.26	0.3
5%	2.10	0.6
10%	4.21	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 KNX Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Oct 17	45.00	1.00	59	1.7	1.51 (3.6%)
Sep 19	45.00	0.45	31	1.5	1.51 (3.6%)

5% Yield On KNX Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Oct 17	45.00	1.00	59	1.7	1.51 (3.6%)
Sep 19	45.00	0.45	31	1.5	1.51 (3.6%)

10% Yield On KNX Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Oct 17	45.00	1.00	59	1.7	1.51 (3.6%)
Sep 19	45.00	0.45	31	1.5	1.51 (3.6%)

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Top 10 Open Interest For Sep 19 Expiration				Top 5 High Yield
1.	NVDA dividend	6.	SLV dividend	1.	ATYR dividend
2.	PCG dividend	7.	FXI dividend	2.	IREN dividend
3.	IWM dividend	8.	QQQ dividend	3.	BHVN dividend
4.	SPY dividend	9.	IBIT dividend	4.	SBET dividend
5.	EEM dividend	10.	INTC dividend	5.	DNTH dividend

Want more examples? KNSL Dividend | KO Dividend