UWM Dividend Type Payments

Although UWM has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on ProShares Ultra Russell2000 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):

ProShares Ultra Russell2000 (UWM)
Bid	Ask	Last	Change	Volume	P/E	Market Cap
48.81	48.84	48.75	-0.47	334K	-	0.2B

UWM Dividend-Like Income Using Covered Calls

With UWM at 48.75, 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%	1.46	0.4
5%	2.44	0.7
10%	4.88	1.3

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 UWM Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Dec 19	49.00	0.05	4	1.3	0.16 (0.3%)
Jan 16	50.00	0.40	32	1.3	1.16 (2.4%)

5% Yield On UWM Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Dec 19	49.00	0.05	4	1.3	0.16 (0.3%)
Jan 16	50.00	0.40	32	1.3	1.16 (2.4%)

10% Yield On UWM Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Dec 19	50.00	0.25	4	6.3	1.16 (2.4%)
Apr 17	49.00	3.00	123	2.4	0.16 (0.3%)

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Top 10 Open Interest For Dec 19 Expiration				Top 5 High Yield
1.	NVDA dividend	6.	TSLA dividend	1.	ALT dividend
2.	SPY dividend	7.	SLV dividend	2.	EWTX dividend
3.	IBIT dividend	8.	NFLX dividend	3.	RGTI dividend
4.	QQQ dividend	9.	XLF dividend	4.	NNE dividend
5.	TLT dividend	10.	AMZN dividend	5.	ABAT dividend

Want more examples? UVXY Dividend | UXI Dividend