ZTS Dividend Type Payments
Although ZTS has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Zoetis Inc. Class A 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):
Zoetis Inc. Class A (ZTS) | ||||||
---|---|---|---|---|---|---|
Bid | Ask | Last | Change | Volume | P/E | Market Cap |
145.00 | 151.00 | 146.50 | -6.61 | 6.2M | 30 | 70B |
ZTS Dividend-Like Income Using Covered Calls
With ZTS at 146.50, 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% | 4.40 | 1.2 |
5% | 7.33 | 2.0 |
10% | 14.65 | 4.0 |
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 ZTS Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
May 17 | 155.00 | 1.90 | 29 | 6.6 | 4.00 (2.7%) | |
Jun 21 | 155.00 | 3.70 | 64 | 5.8 | 4.00 (2.7%) |
5% Yield On ZTS Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
May 17 | 155.00 | 1.90 | 29 | 6.6 | 4.00 (2.7%) | |
Jun 21 | 155.00 | 3.70 | 64 | 5.8 | 4.00 (2.7%) |
10% Yield On ZTS Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
May 17 | 155.00 | 1.90 | 29 | 6.6 | 4.00 (2.7%) | |
Jun 21 | 155.00 | 3.70 | 64 | 5.8 | 4.00 (2.7%) |
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Top 10 Open Interest For May 17 Expiration | Top 5 High Yield | |||||
---|---|---|---|---|---|---|
1. | HYG dividend | 6. | KWEB dividend | 1. | CVNA dividend | |
2. | IWM dividend | 7. | EEM dividend | 2. | FSLY dividend | |
3. | FXI dividend | 8. | SLV dividend | 3. | CLSK dividend | |
4. | QQQ dividend | 9. | TSLA dividend | 4. | MARA dividend | |
5. | SPY dividend | 10. | EWZ dividend | 5. | EYPT dividend |
Want more examples? ZTO Dividend | ZUMZ Dividend