DLR Dividend Type Payments

Digital Realty Trust, Inc. dividend

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

Digital Realty Trust, Inc. (DLR)
Bid Ask Last Change Volume P/E Market Cap
144.86 154.00 151.85 +3.28 2.2M 92 50B

DLR Dividend-Like Income Using Covered Calls

With DLR at 151.85, 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% 4.56 1.2
5% 7.59 2.1
10% 15.19 4.2

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 DLR Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Apr 4 155.00 1.85 19 9.7 1.00 (0.7%)
Apr 11 155.00 3.50 26 13.5 1.00 (0.7%)
5% Yield On DLR Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Apr 4 155.00 1.85 19 9.7 1.00 (0.7%)
Apr 11 155.00 3.50 26 13.5 1.00 (0.7%)
10% Yield On DLR Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Apr 4 155.00 1.85 19 9.7 1.00 (0.7%)
Apr 11 155.00 3.50 26 13.5 1.00 (0.7%)

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

 
 
Top 10 Open Interest For Mar 21 Expiration     Top 5 High Yield
1.NVDA dividend 6.EEM dividend   1.ZIM dividend
2.SPY dividend 7.TSLA dividend   2.ASO dividend
3.IWM dividend 8.KWEB dividend   3.RGTI dividend
4.FXI dividend 9.INTC dividend   4.SOUN dividend
5.QQQ dividend 10.TLT dividend   5.WSM dividend

Want more examples? DLNG Dividend | DLS Dividend