WEN Dividend Type Payments

Wendy's Co dividend

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

Wendy's Co (WEN)
Bid Ask Last Change Volume P/E Market Cap
16.81 17.79 17.16 +0.05 3.9M - 0.0B

WEN Dividend-Like Income Using Covered Calls

With WEN at 17.16, 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% 0.51 0.1
5% 0.86 0.2
10% 1.72 0.5

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 WEN Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Dec 21 18.00 0.05 12 0.4 0.21 (1.2%)
Jan 18 18.00 0.25 40 0.6 0.21 (1.2%)
5% Yield On WEN Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Dec 21 18.00 0.05 12 0.4 0.21 (1.2%)
Jan 18 18.00 0.25 40 0.6 0.21 (1.2%)
10% Yield On WEN Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Jan 18 18.00 0.25 40 0.6 0.21 (1.2%)
Feb 15 18.00 0.45 68 0.7 0.21 (1.2%)

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Top 10 Open Interest For Dec 21 Expiration     Top 5 High Yield
1.DXPE dividend 6.NXTM dividend   1. dividend
2.NVT dividend 7.MTOR dividend   2. dividend
3.MSEX dividend 8.WLTW dividend   3. dividend
4.WGP dividend 9.EDZ dividend   4. dividend
5.ECH dividend 10.ODFL dividend   5. dividend

Want more examples? WELL Dividend | WERN Dividend