SBRA Dividend

Although SBRA has a dividend of 0.45 with an ex-dividend date of Aug 16, you can sell covered calls on SABRA HEALTH CARE REIT to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Wed 4:16 PM ET):

Bid Ask Last Change Volume P/E Market Cap
22.75 23.40 23.11 +0.23 1.1M 10 4.1B

SBRA Dividend-Like Income Using Covered Calls

With SBRA at 23.11, 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% 0.69 0.2
5% 1.16 0.3
10% 2.31 0.6

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 SBRA Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Jan 18 25.00 0.30 157 0.2 1.60 (6.9%)

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Top 10 Open Interest For Aug 17 Expiration     Top 5 High Yield
1.SPY dividend 6.XLF dividend   1.NVDA dividend
2.EEM dividend 7.FB dividend   2.UVXY dividend
3.QQQ dividend 8.FXI dividend   3.JWN dividend
4.SPX dividend 9.GLD dividend   4.GDS dividend
5.BAC dividend 10.AABA dividend   5.AMAT dividend

Want more examples? SBNY Dividend | SBRDE Dividend