LII Dividend Type Payments

Lennox Intl, Inc dividend

Although LII has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Lennox Intl, 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):

Lennox Intl, Inc (LII)
Bid Ask Last Change Volume P/E Market Cap
248.49 248.54 248.54 +1.86 270K 31 10B

LII Dividend-Like Income Using Covered Calls

With LII at 248.54, 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% 7.46 2.0
5% 12.43 3.4
10% 24.85 6.8

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 LII Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Mar 15 260.00 1.45 24 6.0 11.46 (4.6%)
Apr 18 270.00 1.75 58 3.0 21.46 (8.6%)
5% Yield On LII Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Mar 15 260.00 1.45 24 6.0 11.46 (4.6%)
Apr 18 260.00 4.20 58 7.2 11.46 (4.6%)
10% Yield On LII Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Mar 15 250.00 5.00 24 20.8 1.46 (0.6%)
Apr 18 260.00 4.20 58 7.2 11.46 (4.6%)

Want to increase dividends with covered calls?  Sign Up For A Free Trial

 
Top 10 Open Interest For Mar 15 Expiration     Top 5 High Yield
1.SPX dividend 6.EWZ dividend   1.VIPS dividend
2.EEM dividend 7.GE dividend   2.ROKU dividend
3.SPY dividend 8.BAC dividend   3.FSLR dividend
4.QQQ dividend 9.XOP dividend   4.IQ dividend
5.FXI dividend 10.LLY dividend   5.TTD dividend

Want more examples? LIFE Dividend | LILA Dividend