WATT Dividend Type Payments

Although WATT has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on ENERGOUS CORP COMMON to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Wed 10:50 AM ET):

ENERGOUS CORP COMMON (WATT)
Bid Ask Last Change Volume P/E Market Cap
9.47 9.49 9.48 -0.25 45K - 0.2B

WATT Dividend-Like Income Using Covered Calls

With WATT at 9.48, 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% 0.28 0.1
5% 0.47 0.1
10% 0.95 0.3

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 WATT Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Nov 16 15.00 0.10 31 0.3 5.51 (58.1%)
Jan 18 35.00 0.10 94 0.1 25.51 (269.1%)
5% Yield On WATT Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Nov 16 15.00 0.10 31 0.3 5.51 (58.1%)
Jan 18 20.00 0.20 94 0.2 10.51 (110.9%)
10% Yield On WATT Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Nov 16 15.00 0.10 31 0.3 5.51 (58.1%)
Jan 18 15.00 0.30 94 0.3 5.51 (58.1%)

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

 
Top 10 Open Interest For Oct 19 Expiration     Top 5 High Yield
1.SPY dividend 6.PBR dividend   1.GBT dividend
2.SPX dividend 7.MU dividend   2.CLVS dividend
3.QQQ dividend 8.FXI dividend   3.UVXY dividend
4.EEM dividend 9.IWM dividend   4.LLNW dividend
5.BAC dividend 10.AMD dividend   5.PYX dividend

Want more examples? WAT Dividend | WB Dividend