CGNX Dividend

Although CGNX has a dividend of 0.08 with an ex-dividend date of Nov 14, you can sell covered calls on Cognex Corporation 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):

Cognex Corporation (CGNX)
Bid	Ask	Last	Change	Volume	P/E	Market Cap
42.97	43.57	42.91	-0.14	1.3M	84	7.4B

CGNX Dividend-Like Income Using Covered Calls

With CGNX at 42.91, 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%	1.29	0.4
5%	2.15	0.6
10%	4.29	1.2

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 CGNX Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Nov 15	45.00	0.05	8	0.6	1.43 (3.3%)
Dec 20	45.00	0.80	43	1.9	1.43 (3.3%)

5% Yield On CGNX Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Nov 15	45.00	0.05	8	0.6	1.43 (3.3%)
Dec 20	45.00	0.80	43	1.9	1.43 (3.3%)

10% Yield On CGNX Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Dec 20	45.00	0.80	43	1.9	1.43 (3.3%)
May 16	45.00	3.30	190	1.7	1.43 (3.3%)

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Top 10 Open Interest For Nov 15 Expiration				Top 5 High Yield
1.	FXI dividend	6.	EEM dividend	1.	IONQ dividend
2.	NVDA dividend	7.	TLT dividend	2.	GRPN dividend
3.	SLV dividend	8.	TSLA dividend	3.	ZI dividend
4.	SPY dividend	9.	XLF dividend	4.	LUNR dividend
5.	IWM dividend	10.	EWZ dividend	5.	BHVN dividend

Want more examples? CGNT Dividend | CGRO Dividend