NVDQ Dividend Type Payments
Although NVDQ has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on T-Rex 2X Inverse NVIDIA Daily Target ETF to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Tue 4:16 PM ET):
| T-Rex 2X Inverse NVIDIA Daily Target ETF (NVDQ) | ||||||
|---|---|---|---|---|---|---|
| Bid | Ask | Last | Change | Volume | P/E | Market Cap |
| 4.67 | 4.72 | 4.66 | +0.14 | 5.1M | - | 0.0B |
NVDQ Dividend-Like Income Using Covered Calls
With NVDQ at 4.66, 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% | 0.14 | 0.0 |
| 5% | 0.23 | 0.1 |
| 10% | 0.47 | 0.1 |
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 NVDQ Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| May 17 | 5.00 | 0.05 | 18 | 0.3 | 0.28 (6.0%) | |
| Sep 20 | 5.00 | 0.65 | 144 | 0.5 | 0.28 (6.0%) | |
| 5% Yield On NVDQ Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| May 17 | 5.00 | 0.05 | 18 | 0.3 | 0.28 (6.0%) | |
| Sep 20 | 5.00 | 0.65 | 144 | 0.5 | 0.28 (6.0%) | |
| 10% Yield On NVDQ Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| May 17 | 5.00 | 0.05 | 18 | 0.3 | 0.28 (6.0%) | |
| Sep 20 | 5.00 | 0.65 | 144 | 0.5 | 0.28 (6.0%) | |
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| Top 10 Open Interest For May 17 Expiration | Top 5 High Yield | |||||
|---|---|---|---|---|---|---|
| 1. | IWM dividend | 6. | EEM dividend | 1. | WOLF dividend | |
| 2. | QQQ dividend | 7. | KWEB dividend | 2. | FSLY dividend | |
| 3. | HYG dividend | 8. | SLV dividend | 3. | ENVX dividend | |
| 4. | SPY dividend | 9. | TSLA dividend | 4. | COIN dividend | |
| 5. | FXI dividend | 10. | EWZ dividend | 5. | SBUX dividend | |
Want more examples? NVDA Dividend | NVEE Dividend
