NSIT Dividend Type Payments
Although NSIT has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Insight Enterprises, Inc to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Wed 10:25 AM ET):
| Insight Enterprises, Inc (NSIT) | ||||||
|---|---|---|---|---|---|---|
| Bid | Ask | Last | Change | Volume | P/E | Market Cap |
| 41.71 | 41.81 | 41.75 | +0.51 | 89K | - | 0.0B |
NSIT Dividend-Like Income Using Covered Calls
With NSIT at 41.75, 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% | 1.25 | 0.3 |
| 5% | 2.09 | 0.6 |
| 10% | 4.18 | 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 NSIT Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Jan 18 | 45.00 | 0.30 | 31 | 1.0 | 3.19 (7.6%) | |
| Feb 15 | 50.00 | 0.25 | 59 | 0.4 | 8.19 (19.6%) | |
| 5% Yield On NSIT Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Jan 18 | 45.00 | 0.30 | 31 | 1.0 | 3.19 (7.6%) | |
| Feb 15 | 45.00 | 1.35 | 59 | 2.3 | 3.19 (7.6%) | |
| 10% Yield On NSIT Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Feb 15 | 45.00 | 1.35 | 59 | 2.3 | 3.19 (7.6%) | |
| May 17 | 45.00 | 2.90 | 150 | 1.9 | 3.19 (7.6%) | |
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| Top 10 Open Interest For Dec 21 Expiration | Top 5 High Yield | |||||
|---|---|---|---|---|---|---|
| 1. | SPY dividend | 6. | FXI dividend | 1. | dividend | |
| 2. | EEM dividend | 7. | EWZ dividend | 2. | dividend | |
| 3. | SPX dividend | 8. | BAC dividend | 3. | dividend | |
| 4. | QQQ dividend | 9. | GE dividend | 4. | dividend | |
| 5. | IWM dividend | 10. | HYG dividend | 5. | dividend | |
Want more examples? NSC Dividend | NSP Dividend
