NANO Dividend Type Payments

NANOMETRICS dividend

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

NANOMETRICS (NANO)
Bid Ask Last Change Volume P/E Market Cap
40.20 40.65 40.40 -0.88 526K 20 1.0B

NANO Dividend-Like Income Using Covered Calls

With NANO at 40.40, 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% 1.21 0.3
5% 2.02 0.6
10% 4.04 1.1

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 NANO Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Sep 21 50.00 0.15 36 0.4 9.35 (23.1%)
Dec 21 50.00 1.20 127 0.9 9.35 (23.1%)
5% Yield On NANO Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Sep 21 46.00 0.30 36 0.8 5.35 (13.2%)
Dec 21 50.00 1.20 127 0.9 9.35 (23.1%)
10% Yield On NANO Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Sep 21 43.00 0.80 36 2.2 2.35 (5.8%)
Dec 21 47.00 1.90 127 1.5 6.35 (15.7%)

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Want more examples? NAK Dividend | NANR Dividend