PHX Dividend

Although PHX has a dividend of 0.04 with an ex-dividend date of Feb 15, you can sell covered calls on Panhandle Oil & Gas, 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):

Panhandle Oil & Gas, Inc (PHX)
Bid	Ask	Last	Change	Volume	P/E	Market Cap
15.55	15.56	15.50	-0.44	27K	-	0.0B

PHX Dividend-Like Income Using Covered Calls

With PHX at 15.50, 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%	0.47	0.1
5%	0.78	0.2
10%	1.55	0.4

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 PHX Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Jan 18	17.50	0.10	36	0.3	1.94 (12.5%)
Feb 15	17.50	0.30	64	0.5	1.94 (12.5%)

5% Yield On PHX Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Jan 18	17.50	0.10	36	0.3	1.94 (12.5%)
Feb 15	17.50	0.30	64	0.5	1.94 (12.5%)

10% Yield On PHX Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Feb 15	17.50	0.30	64	0.5	1.94 (12.5%)
May 17	17.50	0.70	155	0.5	1.94 (12.5%)

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Top 10 Open Interest For Dec 21 Expiration				Top 5 High Yield
1.	SPY dividend	6.	EWZ dividend	1.	dividend
2.	EEM dividend	7.	FXI dividend	2.	dividend
3.	SPX dividend	8.	GE dividend	3.	dividend
4.	QQQ dividend	9.	BAC dividend	4.	dividend
5.	IWM dividend	10.	VXX dividend	5.	dividend

Want more examples? PHO Dividend | PHYS Dividend