SEE Dividend

SEALED AIR dividend

Although SEE has a dividend of 0.16 with an ex-dividend date of Sep 6, you can sell covered calls on SEALED AIR to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Tue 11:10 AM ET):

SEALED AIR (SEE)
Bid Ask Last Change Volume P/E Market Cap
38.87 38.88 38.87 +0.04 339K 11 6.2B

SEE Dividend-Like Income Using Covered Calls

With SEE at 38.87, 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% 1.17 0.3
5% 1.94 0.5
10% 3.89 1.1

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 SEE Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Sep 21 41.00 0.15 32 0.5 2.12 (5.5%)
Oct 19 42.00 0.20 60 0.3 3.12 (8.0%)
5% Yield On SEE Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Sep 21 40.00 0.35 32 1.1 1.12 (2.9%)
Oct 19 41.00 0.40 60 0.7 2.12 (5.5%)
10% Yield On SEE Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Sep 21 40.00 0.35 32 1.1 1.12 (2.9%)
Oct 19 40.00 0.70 60 1.2 1.12 (2.9%)

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Want more examples? SEDG Dividend | SEED Dividend