AFL Dividend

Although AFL has a dividend of 0.61 with an ex-dividend date of Feb 18, you can sell covered calls on AFLAC Incorporated 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):

AFLAC Incorporated (AFL)
Bid	Ask	Last	Change	Volume	P/E	Market Cap
107.97	110.14	109.51	-0.10	6.1M	14	57B

AFL Dividend-Like Income Using Covered Calls

With AFL at 109.51, 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%	3.29	0.9
5%	5.48	1.5
10%	10.95	3.0

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 AFL Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Feb 6	110.00	2.15	22	9.1	0.00 (0.0%)
Feb 13	110.00	2.10	29	6.8	0.00 (0.0%)

5% Yield On AFL Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Feb 6	110.00	2.15	22	9.1	0.00 (0.0%)
Feb 13	110.00	2.10	29	6.8	0.00 (0.0%)

10% Yield On AFL Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Feb 6	110.00	2.15	22	9.1	0.00 (0.0%)
Feb 13	110.00	2.10	29	6.8	0.00 (0.0%)

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Top 10 Open Interest For Feb 20 Expiration				Top 5 High Yield
1.	KWEB dividend	6.	HYG dividend	1.	OCUL dividend
2.	SLV dividend	7.	AAPL dividend	2.	CRML dividend
3.	NVDA dividend	8.	INTC dividend	3.	ONDS dividend
4.	IBIT dividend	9.	TLT dividend	4.	CIFR dividend
5.	CORZ dividend	10.	QQQ dividend	5.	EOSE dividend

Want more examples? AFK Dividend | AFLG Dividend