NOV Dividend Type Payments

National Oilwell Varco, Inc dividend

Although NOV has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on National Oilwell Varco, Inc to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Tue 2:50 PM ET):

National Oilwell Varco, Inc (NOV)
Bid Ask Last Change Volume P/E Market Cap
28.31 28.32 28.31 -0.85 2.6M - 0.0B

NOV Dividend-Like Income Using Covered Calls

With NOV at 28.31, 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% 0.85 0.2
5% 1.42 0.4
10% 2.83 0.8

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 NOV Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Dec 14 30.50 0.01 4 0.3 2.18 (7.7%)
Dec 21 33.00 0.03 11 0.3 4.68 (16.5%)
5% Yield On NOV Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Dec 14 30.00 0.05 4 1.3 1.68 (5.9%)
Dec 21 31.50 0.06 11 0.5 3.18 (11.2%)
10% Yield On NOV Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Dec 14 30.00 0.05 4 1.3 1.68 (5.9%)
Dec 21 31.00 0.10 11 0.9 2.68 (9.5%)

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Top 10 Open Interest For Dec 21 Expiration     Top 5 High Yield
1.DUST dividend 6.NSSC dividend   1. dividend
2.NOVT dividend 7.MOD dividend   2. dividend
3.MMS dividend 8.VV dividend   3. dividend
4.VSI dividend 9.EC dividend   4. dividend
5.DXJS dividend 10.NTWK dividend   5. dividend

Want more examples? NORW Dividend | NOVT Dividend