USNA Dividend Type Payments

USANA Health Sciences, Inc dividend

Although USNA has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on USANA Health Sciences, Inc to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Fri 4:16 PM ET):

USANA Health Sciences, Inc (USNA)
Bid Ask Last Change Volume P/E Market Cap
110.00 120.65 120.75 -2.18 88K - 0.0B

USNA Dividend-Like Income Using Covered Calls

With USNA at 120.75, 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% 3.62 1.0
5% 6.04 1.7
10% 12.08 3.3

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
Jan 18 125.00 1.30 36 3.6 4.35 (3.6%)
Apr 18 140.00 1.35 126 1.1 19.35 (16.0%)
5% Yield On USNA Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Jan 18 125.00 1.30 36 3.6 4.35 (3.6%)
Apr 18 135.00 2.95 126 2.3 14.35 (11.9%)
10% Yield On USNA Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Jan 18 125.00 1.30 36 3.6 4.35 (3.6%)
Apr 18 130.00 4.50 126 3.6 9.35 (7.7%)

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