CPA Dividend Type Payments
Although CPA has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Copa Holdings, S.A. Copa Holdings, S.A. 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):
Copa Holdings, S.A. Copa Holdings, S.A. Class A (CPA) | ||||||
---|---|---|---|---|---|---|
Bid | Ask | Last | Change | Volume | P/E | Market Cap |
86.93 | 94.35 | 91.53 | -0.21 | 181K | 7.2 | 3.9B |
CPA Dividend-Like Income Using Covered Calls
With CPA at 91.53, 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% | 2.75 | 0.8 |
5% | 4.58 | 1.3 |
10% | 9.15 | 2.5 |
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 CPA Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Nov 15 | 100.00 | 1.55 | 57 | 2.7 | 5.65 (6.2%) | |
Oct 18 | 95.00 | 1.25 | 29 | 4.3 | 0.65 (0.7%) |
5% Yield On CPA Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Nov 15 | 100.00 | 1.55 | 57 | 2.7 | 5.65 (6.2%) | |
Oct 18 | 95.00 | 1.25 | 29 | 4.3 | 0.65 (0.7%) |
10% Yield On CPA Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Nov 15 | 100.00 | 1.55 | 57 | 2.7 | 5.65 (6.2%) | |
Oct 18 | 95.00 | 1.25 | 29 | 4.3 | 0.65 (0.7%) |
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Top 10 Open Interest For Oct 18 Expiration | Top 5 High Yield | |||||
---|---|---|---|---|---|---|
1. | NVDA dividend | 6. | SLV dividend | 1. | RLAY dividend | |
2. | IWM dividend | 7. | GLD dividend | 2. | LUNR dividend | |
3. | SPY dividend | 8. | TLT dividend | 3. | MARA dividend | |
4. | QQQ dividend | 9. | EEM dividend | 4. | CPRI dividend | |
5. | HYG dividend | 10. | AAPL dividend | 5. | MBLY dividend |
Want more examples? CP Dividend | CPB Dividend