SAM Dividend Type Payments

BOSTON BEER CO dividend

Although SAM has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on BOSTON BEER CO 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):

BOSTON BEER CO (SAM)
Bid Ask Last Change Volume P/E Market Cap
277.95 292.50 291.10 +5.05 61K 35 3.4B

SAM Dividend-Like Income Using Covered Calls

With SAM at 291.10, 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% 8.73 2.4
5% 14.56 4.0
10% 29.11 8.0

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 SAM Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Sep 21 330.00 1.15 36 3.2 37.50 (12.9%)
Dec 21 370.00 3.90 127 3.1 77.50 (26.6%)
5% Yield On SAM Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Sep 21 320.00 2.20 36 6.1 27.50 (9.4%)
Dec 21 350.00 6.10 127 4.8 57.50 (19.8%)
10% Yield On SAM Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Sep 21 310.00 4.10 36 11.4 17.50 (6.0%)
Dec 21 330.00 10.30 127 8.1 37.50 (12.9%)

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Top 10 Open Interest For Sep 21 Expiration     Top 5 High Yield
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Want more examples? SALT Dividend | SAN Dividend