DOX Dividend Type Payments
Although DOX has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Amdocs Limited - 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 3:35 PM ET):
| Amdocs Limited - Ordinary Shares (DOX) | ||||||
|---|---|---|---|---|---|---|
| Bid | Ask | Last | Change | Volume | P/E | Market Cap |
| 88.15 | 88.20 | 88.15 | -0.58 | 655K | 19 | 11B |
DOX Dividend-Like Income Using Covered Calls
With DOX at 88.15, 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% | 2.64 | 0.7 |
| 5% | 4.41 | 1.2 |
| 10% | 8.82 | 2.4 |
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 DOX Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Aug 15 | 90.00 | 0.65 | 32 | 2.0 | 1.80 (2.0%) | |
| Oct 17 | 90.00 | 3.00 | 95 | 3.2 | 1.80 (2.0%) | |
| 5% Yield On DOX Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Aug 15 | 90.00 | 0.65 | 32 | 2.0 | 1.80 (2.0%) | |
| Oct 17 | 90.00 | 3.00 | 95 | 3.2 | 1.80 (2.0%) | |
| 10% Yield On DOX Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Oct 17 | 90.00 | 3.00 | 95 | 3.2 | 1.80 (2.0%) | |
| Jan 16 | 90.00 | 4.60 | 186 | 2.5 | 1.80 (2.0%) | |
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| 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. | PRCT dividend | |
| 4. | TSLA dividend | 9. | QQQ dividend | 4. | APLD dividend | |
| 5. | AAPL dividend | 10. | AMZN dividend | 5. | PRAX dividend | |
Want more examples? DOW Dividend | DPST Dividend
