MFA Dividend Type Payments

MFA Financial, Inc. dividend

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

MFA Financial, Inc. (MFA)
Bid Ask Last Change Volume P/E Market Cap
9.62 9.69 9.70 -0.02 792K - 1.0B

MFA Dividend-Like Income Using Covered Calls

With MFA at 9.70, 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% 0.29 0.1
5% 0.49 0.1
10% 0.97 0.3

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 MFA Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Oct 17 10.00 0.15 64 0.2 0.31 (3.2%)
Sep 19 10.00 0.10 36 0.3 0.31 (3.2%)
5% Yield On MFA Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Oct 17 10.00 0.15 64 0.2 0.31 (3.2%)
Sep 19 10.00 0.10 36 0.3 0.31 (3.2%)
10% Yield On MFA Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Sep 19 10.00 0.10 36 0.3 0.31 (3.2%)

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

 
 
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.KSS dividend
4.EEM dividend 9.IBIT dividend   4.VKTX dividend
5.SPY dividend 10.KWEB dividend   5.BBAI dividend

Want more examples? MEXX Dividend | MFC Dividend