STE Dividend Type Payments

Although STE has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on STERIS plc (Ireland) Ordinary Shares to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Thu 4:16 PM ET):

STERIS plc (Ireland) Ordinary Shares (STE)
Bid	Ask	Last	Change	Volume	P/E	Market Cap
198.68	205.52	201.54	-1.26	412K	36	20B

STE Dividend-Like Income Using Covered Calls

With STE at 201.54, 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%	6.05	1.7
5%	10.08	2.8
10%	20.15	5.5

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 STE Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
May 17	210.00	3.30	23	14.3	4.48 (2.2%)
Jun 21	210.00	5.40	58	9.3	4.48 (2.2%)

5% Yield On STE Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
May 17	210.00	3.30	23	14.3	4.48 (2.2%)
Jun 21	210.00	5.40	58	9.3	4.48 (2.2%)

10% Yield On STE Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
May 17	210.00	3.30	23	14.3	4.48 (2.2%)
Jun 21	210.00	5.40	58	9.3	4.48 (2.2%)

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Top 10 Open Interest For May 17 Expiration				Top 5 High Yield
1.	QQQ dividend	6.	EEM dividend	1.	WOLF dividend
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4.	SPY dividend	9.	TSLA dividend	4.	GRPN dividend
5.	FXI dividend	10.	NVDA dividend	5.	MPW dividend

Want more examples? STC Dividend | STEP Dividend