TTD Dividend Type Payments
Although TTD has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on The Trade Desk, Inc. - Class A to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Tue 4:16 PM ET):
The Trade Desk, Inc. - Class A (TTD) |
Bid |
Ask |
Last |
Change |
Volume |
P/E |
Market Cap |
81.00 |
81.40 |
81.07 |
+3.23 |
3.2M |
216 |
38B |
TTD Dividend-Like Income Using Covered Calls
With TTD at 81.07, 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% |
2.43 |
0.7 |
5% |
4.05 |
1.1 |
10% |
8.11 |
2.2 |
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 TTD Using Covered Calls |
Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
Apr 26 |
81.00 |
1.77 |
4 |
34.3 |
0.00 (0.0%) |
May 3 |
81.00 |
2.49 |
11 |
19.0 |
0.00 (0.0%) |
5% Yield On TTD Using Covered Calls |
Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
Apr 26 |
81.00 |
1.77 |
4 |
34.3 |
0.00 (0.0%) |
May 3 |
81.00 |
2.49 |
11 |
19.0 |
0.00 (0.0%) |
10% Yield On TTD Using Covered Calls |
Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
Apr 26 |
81.00 |
1.77 |
4 |
34.3 |
0.00 (0.0%) |
May 3 |
81.00 |
2.49 |
11 |
19.0 |
0.00 (0.0%) |
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