NMRK Dividend Type Payments
Although NMRK has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Newmark Group, Inc. - Class A to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Wed 3:40 PM ET):
| Newmark Group, Inc. - Class A (NMRK) |
|---|
| Bid |
Ask |
Last |
Change |
Volume |
P/E |
Market Cap |
| 17.16 |
17.18 |
17.17 |
+0.08 |
849K |
31 |
3.1B |
NMRK Dividend-Like Income Using Covered Calls
With NMRK at 17.17, 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% |
0.52 |
0.1 |
| 5% |
0.86 |
0.2 |
| 10% |
1.72 |
0.5 |
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 NMRK Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| Dec 19 |
17.50 |
0.25 |
10 |
2.5 |
0.32 (1.9%) |
| Jan 16 |
17.50 |
0.15 |
38 |
0.4 |
0.32 (1.9%) |
| 5% Yield On NMRK Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| Dec 19 |
17.50 |
0.25 |
10 |
2.5 |
0.32 (1.9%) |
| Jan 16 |
17.50 |
0.15 |
38 |
0.4 |
0.32 (1.9%) |
| 10% Yield On NMRK Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| Dec 19 |
17.50 |
0.25 |
10 |
2.5 |
0.32 (1.9%) |
| Mar 20 |
17.50 |
1.20 |
101 |
1.2 |
0.32 (1.9%) |
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