ARGX Dividend Type Payments
Although ARGX has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on argenx SE - American Depositary Shares to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Tue 12:05 PM ET):
| argenx SE - American Depositary Shares (ARGX) |
|---|
| Bid |
Ask |
Last |
Change |
Volume |
P/E |
Market Cap |
| 874.55 |
876.81 |
875.68 |
+42.52 |
369K |
51 |
0.0B |
ARGX Dividend-Like Income Using Covered Calls
With ARGX at 875.68, 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% |
26.27 |
7.2 |
| 5% |
43.78 |
12.0 |
| 10% |
87.57 |
24.0 |
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 ARGX Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| May 15 |
1000.00 |
27.50 |
109 |
25.2 |
123.19 (14.1%) |
| Apr 17 |
1000.00 |
17.20 |
81 |
21.2 |
123.19 (14.1%) |
| 5% Yield On ARGX Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| May 15 |
1000.00 |
27.50 |
109 |
25.2 |
123.19 (14.1%) |
| Apr 17 |
1000.00 |
17.20 |
81 |
21.2 |
123.19 (14.1%) |
| 10% Yield On ARGX Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| May 15 |
1000.00 |
27.50 |
109 |
25.2 |
123.19 (14.1%) |
| Apr 17 |
880.00 |
58.00 |
81 |
71.6 |
3.19 (0.4%) |
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