SCCO Dividend

Although SCCO has a dividend of 0.90 with an ex-dividend date of Nov 12, you can sell covered calls on Southern Copper Corporation to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Tue 10:35 AM ET):

Southern Copper Corporation (SCCO)
Bid	Ask	Last	Change	Volume	P/E	Market Cap
133.36	133.67	133.50	-4.79	455K	30	111B

SCCO Dividend-Like Income Using Covered Calls

With SCCO at 133.50, 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%	4.01	1.1
5%	6.68	1.8
10%	13.35	3.7

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 SCCO Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Dec 19	135.00	6.10	46	13.3	1.33 (1.0%)
Nov 21	135.00	2.70	18	15.0	1.33 (1.0%)

5% Yield On SCCO Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Dec 19	135.00	6.10	46	13.3	1.33 (1.0%)
Nov 21	135.00	2.70	18	15.0	1.33 (1.0%)

10% Yield On SCCO Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Dec 19	135.00	6.10	46	13.3	1.33 (1.0%)
Nov 21	135.00	2.70	18	15.0	1.33 (1.0%)

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Top 10 Open Interest For Nov 21 Expiration				Top 5 High Yield
1.	IBIT dividend	6.	INTC dividend	1.	UPST dividend
2.	KVUE dividend	7.	TLT dividend	2.	ENVX dividend
3.	NVDA dividend	8.	ASST dividend	3.	PINS dividend
4.	SLV dividend	9.	HYG dividend	4.	TTD dividend
5.	GLD dividend	10.	EEM dividend	5.	LYFT dividend

Want more examples? SCAP Dividend | SCHA Dividend