KTOS Dividend Type Payments
Although KTOS has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Kratos Defense & Security Solutions, 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):
| Kratos Defense & Security Solutions, Inc. (KTOS) | ||||||
|---|---|---|---|---|---|---|
| Bid | Ask | Last | Change | Volume | P/E | Market Cap |
| 112.65 | 112.75 | 112.67 | -5.39 | 3.6M | 908 | 20B |
KTOS Dividend-Like Income Using Covered Calls
With KTOS at 112.67, 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% | 3.38 | 0.9 |
| 5% | 5.63 | 1.5 |
| 10% | 11.27 | 3.1 |
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 KTOS Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Feb 6 | 113.00 | 4.60 | 10 | 46.0 | 0.25 (0.2%) | |
| Mar 6 | 113.00 | 9.70 | 38 | 25.5 | 0.25 (0.2%) | |
| 5% Yield On KTOS Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Feb 6 | 113.00 | 4.60 | 10 | 46.0 | 0.25 (0.2%) | |
| Mar 6 | 113.00 | 9.70 | 38 | 25.5 | 0.25 (0.2%) | |
| 10% Yield On KTOS Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Feb 6 | 113.00 | 4.60 | 10 | 46.0 | 0.25 (0.2%) | |
| Mar 6 | 113.00 | 9.70 | 38 | 25.5 | 0.25 (0.2%) | |
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| Top 10 Open Interest For Feb 20 Expiration | Top 5 High Yield | |||||
|---|---|---|---|---|---|---|
| 1. | SLV dividend | 6. | QQQ dividend | 1. | APLD dividend | |
| 2. | KWEB dividend | 7. | CORZ dividend | 2. | OCUL dividend | |
| 3. | NVDA dividend | 8. | INTC dividend | 3. | ONDS dividend | |
| 4. | GLD dividend | 9. | SPY dividend | 4. | CIFR dividend | |
| 5. | IBIT dividend | 10. | HYG dividend | 5. | ENPH dividend | |
Want more examples? KTCC Dividend | KURA Dividend
