CTRN Dividend Type Payments

Citi Trends, Inc. dividend

Although CTRN has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Citi Trends, Inc. to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Tue 4:16 PM ET):

Citi Trends, Inc. (CTRN)
Bid Ask Last Change Volume P/E Market Cap
28.62 31.50 29.83 -0.43 59K - 0.2B

CTRN Dividend-Like Income Using Covered Calls

With CTRN at 29.83, 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% 0.89 0.2
5% 1.49 0.4
10% 2.98 0.8

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 CTRN Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Nov 21 35.00 1.30 130 1.0 3.50 (11.7%)
Feb 20 35.00 2.70 221 1.2 3.50 (11.7%)
5% Yield On CTRN Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Nov 21 35.00 1.30 130 1.0 3.50 (11.7%)
Feb 20 35.00 2.70 221 1.2 3.50 (11.7%)
10% Yield On CTRN Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Nov 21 35.00 1.30 130 1.0 3.50 (11.7%)
Feb 20 35.00 2.70 221 1.2 3.50 (11.7%)

Want to increase dividends with covered calls?  Sign Up For A Free Trial

 
 
Top 10 Open Interest For Jul 18 Expiration     Top 5 High Yield
1.NVDA dividend 6.IWM dividend   1.LNTH dividend
2.SLV dividend 7.GLD dividend   2.CELC dividend
3.SPY dividend 8.TLT dividend   3.AAOI dividend
4.TSLA dividend 9.QQQ dividend   4.APLD dividend
5.AAPL dividend 10.AMZN dividend   5.QS dividend

Want more examples? CTRE Dividend | CTS Dividend