TLRD Dividend

Although TLRD has a dividend of 0.18 with an ex-dividend date of Dec 17, you can sell covered calls on TAILORED BRANDS INC to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Mon 4:16 PM ET):

TAILORED BRANDS INC (TLRD)
Bid Ask Last Change Volume P/E Market Cap
22.35 23.62 22.78 +0.44 874K 11 1.1B

TLRD Dividend-Like Income Using Covered Calls

With TLRD at 22.78, 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% 0.68 0.2
5% 1.14 0.3
10% 2.28 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 TLRD Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Oct 19 24.00 0.10 5 2.0 0.38 (1.7%)
Nov 16 28.00 0.10 33 0.3 4.38 (19.2%)
5% Yield On TLRD Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Oct 19 24.00 0.10 5 2.0 0.38 (1.7%)
Nov 16 27.00 0.15 33 0.5 3.38 (14.8%)
10% Yield On TLRD Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Oct 19 24.00 0.10 5 2.0 0.38 (1.7%)
Nov 16 26.00 0.30 33 0.9 2.38 (10.4%)

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Top 10 Open Interest For Oct 19 Expiration     Top 5 High Yield
1.SPY dividend 6.MU dividend   1.CRON dividend
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3.EEM dividend 8.BAC dividend   3.NIO dividend
4.QQQ dividend 9.AMD dividend   4.NFLX dividend
5.PBR dividend 10.XLF dividend   5.AMRN dividend

Want more examples? TLP Dividend | TLT Dividend