VC Dividend Type Payments

VISTEON CORP COMMON dividend

Although VC has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on VISTEON CORP COMMON to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Tue 3:00 PM ET):

VISTEON CORP COMMON (VC)
Bid Ask Last Change Volume P/E Market Cap
116.90 117.12 117.00 +2.54 227K 21 3.4B

VC Dividend-Like Income Using Covered Calls

With VC at 117.00, 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% 3.51 1.0
5% 5.85 1.6
10% 11.70 3.2

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 VC Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Aug 17 120.00 0.20 4 5.0 2.88 (2.5%)
Sep 21 130.00 0.40 39 1.0 12.88 (11.0%)
5% Yield On VC Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Aug 17 120.00 0.20 4 5.0 2.88 (2.5%)
Sep 21 125.00 1.15 39 2.9 7.88 (6.7%)
10% Yield On VC Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Aug 17 120.00 0.20 4 5.0 2.88 (2.5%)
Sep 21 120.00 2.60 39 6.7 2.88 (2.5%)

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Top 10 Open Interest For Aug 17 Expiration     Top 5 High Yield
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Want more examples? VBR Dividend | VCEL Dividend