LBTYK Dividend Type Payments

LIBERTY GLOBAL PLC CL C ORD dividend

Although LBTYK has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on LIBERTY GLOBAL PLC CL C ORD to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Wed 4:00 PM ET):

LIBERTY GLOBAL PLC CL C ORD (LBTYK)
Bid Ask Last Change Volume P/E Market Cap
25.97 25.98 25.97 -0.74 3.6M - 21B

LBTYK Dividend-Like Income Using Covered Calls

With LBTYK at 25.97, 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% 0.78 0.2
5% 1.30 0.4
10% 2.60 0.7

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 LBTYK Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Oct 19 30.00 0.20 66 0.3 4.02 (15.5%)
Jan 18 30.00 0.70 157 0.4 4.02 (15.5%)
5% Yield On LBTYK Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Jan 18 30.00 0.70 157 0.4 4.02 (15.5%)

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Want more examples? LBTYA Dividend | LBY Dividend