CWK Dividend Type Payments
Although CWK has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Cushman & Wakefield plc Ordinary Shares 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):
| Cushman & Wakefield plc Ordinary Shares (CWK) |
|---|
| Bid |
Ask |
Last |
Change |
Volume |
P/E |
Market Cap |
| 16.07 |
17.50 |
16.77 |
+0.68 |
2.7M |
17 |
3.7B |
CWK Dividend-Like Income Using Covered Calls
With CWK at 16.77, 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% |
0.50 |
0.1 |
| 5% |
0.84 |
0.2 |
| 10% |
1.68 |
0.5 |
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 CWK Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| Dec 19 |
17.50 |
0.25 |
25 |
1.0 |
0.00 (0.0%) |
| May 15 |
17.50 |
0.40 |
172 |
0.2 |
0.00 (0.0%) |
| 5% Yield On CWK Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| Dec 19 |
17.50 |
0.25 |
25 |
1.0 |
0.00 (0.0%) |
| May 15 |
17.50 |
0.40 |
172 |
0.2 |
0.00 (0.0%) |
| 10% Yield On CWK Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| Dec 19 |
17.50 |
0.25 |
25 |
1.0 |
0.00 (0.0%) |
| Feb 20 |
17.50 |
0.50 |
88 |
0.6 |
0.00 (0.0%) |
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