NFLX Dividend Type Payments

Netflix, Inc dividend

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

Netflix, Inc (NFLX)
Bid Ask Last Change Volume P/E Market Cap
356.65 356.85 356.87 -2.20 9.1M 134 157B

NFLX Dividend-Like Income Using Covered Calls

With NFLX at 356.87, 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% 10.71 2.9
5% 17.84 4.9
10% 35.69 9.8

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 NFLX Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Feb 22 382.50 0.28 8 3.5 25.65 (7.2%)
Mar 1 395.00 0.59 15 3.9 38.15 (10.7%)
5% Yield On NFLX Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Feb 22 380.00 0.41 8 5.1 23.15 (6.5%)
Mar 1 390.00 0.84 15 5.6 33.15 (9.3%)
10% Yield On NFLX Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Feb 22 372.50 1.06 8 13.3 15.65 (4.4%)
Mar 1 382.50 1.54 15 10.3 25.65 (7.2%)

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Top 10 Open Interest For Mar 15 Expiration     Top 5 High Yield
1.SPX dividend 6.EWZ dividend   1.ICPT dividend
2.EEM dividend 7.GE dividend   2.ROKU dividend
3.SPY dividend 8.XOP dividend   3.KPTI dividend
4.FXI dividend 9.BAC dividend   4.BHC dividend
5.QQQ dividend 10.JD dividend   5.VKTX dividend

Want more examples? NFLT Dividend | NFO Dividend