PL Dividend Type Payments
Although PL has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Planet Labs PBC Class A 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):
Planet Labs PBC Class A (PL) | ||||||
---|---|---|---|---|---|---|
Bid | Ask | Last | Change | Volume | P/E | Market Cap |
1.80 | 1.89 | 1.81 | -0.01 | 985K | - | 0.5B |
PL Dividend-Like Income Using Covered Calls
With PL at 1.81, 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% | 0.05 | 0.0 |
5% | 0.09 | 0.0 |
10% | 0.18 | 0.0 |
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 PL Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Oct 18 | 2.00 | 0.20 | 169 | 0.1 | 0.11 (6.1%) | |
Jul 19 | 2.00 | 0.10 | 78 | 0.1 | 0.11 (6.1%) |
5% Yield On PL Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Oct 18 | 2.00 | 0.20 | 169 | 0.1 | 0.11 (6.1%) | |
Jul 19 | 2.00 | 0.10 | 78 | 0.1 | 0.11 (6.1%) |
10% Yield On PL Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Oct 18 | 2.00 | 0.20 | 169 | 0.1 | 0.11 (6.1%) | |
Jul 19 | 2.00 | 0.10 | 78 | 0.1 | 0.11 (6.1%) |
Want to increase dividends with covered calls? Sign Up For A Free Trial
Top 10 Open Interest For May 17 Expiration | Top 5 High Yield | |||||
---|---|---|---|---|---|---|
1. | IWM dividend | 6. | EEM dividend | 1. | BYND dividend | |
2. | QQQ dividend | 7. | TSLA dividend | 2. | HIMS dividend | |
3. | HYG dividend | 8. | SLV dividend | 3. | BYON dividend | |
4. | SPY dividend | 9. | TLT dividend | 4. | UPST dividend | |
5. | FXI dividend | 10. | AMZN dividend | 5. | RIVN dividend |
Want more examples? PKX Dividend | PLAB Dividend