USNA Dividend Type Payments

USANA HEALTH SCIENCES dividend

Although USNA has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on USANA HEALTH SCIENCES to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Thu 3:15 PM ET):

USANA HEALTH SCIENCES (USNA)
Bid Ask Last Change Volume P/E Market Cap
128.75 128.85 128.80 -0.20 90K 39 3.1B

USNA Dividend-Like Income Using Covered Calls

With USNA at 128.80, 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% 3.86 1.1
5% 6.44 1.8
10% 12.88 3.5

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 USNA Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Sep 21 140.00 0.65 37 1.8 11.15 (8.7%)
Oct 19 140.00 1.60 65 2.5 11.15 (8.7%)
5% Yield On USNA Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Sep 21 135.00 1.60 37 4.3 6.15 (4.8%)
Oct 19 140.00 1.60 65 2.5 11.15 (8.7%)
10% Yield On USNA Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Sep 21 135.00 1.60 37 4.3 6.15 (4.8%)
Oct 19 135.00 2.90 65 4.5 6.15 (4.8%)

Want to increase dividends with covered calls?  Sign Up For A Free Trial

 
Top 10 Open Interest For Aug 17 Expiration     Top 5 High Yield
1.SPY dividend 6.XLF dividend   1.JWN dividend
2.EEM dividend 7.FB dividend   2.NVDA dividend
3.QQQ dividend 8.FXI dividend   3.UVXY dividend
4.BAC dividend 9.GLD dividend   4.AMAT dividend
5.SPX dividend 10.AABA dividend   5.AKRX dividend

Want more examples? USMV Dividend | USO Dividend