FOXA Dividend Type Payments
Although FOXA has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Fox Corporation - 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):
| Fox Corporation - Class A (FOXA) | ||||||
|---|---|---|---|---|---|---|
| Bid | Ask | Last | Change | Volume | P/E | Market Cap |
| 64.35 | 66.88 | 65.69 | +0.55 | 3.0M | 15 | 29B |
FOXA Dividend-Like Income Using Covered Calls
With FOXA at 65.69, 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% | 1.97 | 0.5 |
| 5% | 3.28 | 0.9 |
| 10% | 6.57 | 1.8 |
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 FOXA Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Dec 19 | 70.00 | 0.70 | 29 | 2.4 | 3.12 (4.7%) | |
| Nov 28 | 68.00 | 0.15 | 8 | 1.9 | 1.12 (1.7%) | |
| 5% Yield On FOXA Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Dec 19 | 70.00 | 0.70 | 29 | 2.4 | 3.12 (4.7%) | |
| Nov 28 | 68.00 | 0.15 | 8 | 1.9 | 1.12 (1.7%) | |
| 10% Yield On FOXA Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Dec 19 | 70.00 | 0.70 | 29 | 2.4 | 3.12 (4.7%) | |
| Nov 28 | 68.00 | 0.15 | 8 | 1.9 | 1.12 (1.7%) | |
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| Top 10 Open Interest For Dec 19 Expiration | Top 5 High Yield | |||||
|---|---|---|---|---|---|---|
| 1. | NVDA dividend | 6. | EEM dividend | 1. | RZLT dividend | |
| 2. | IWM dividend | 7. | SLV dividend | 2. | IMNM dividend | |
| 3. | SPY dividend | 8. | TLT dividend | 3. | VTYX dividend | |
| 4. | IBIT dividend | 9. | GLD dividend | 4. | JANX dividend | |
| 5. | QQQ dividend | 10. | NFLX dividend | 5. | CIFR dividend | |
Want more examples? FOX Dividend | FOXF Dividend
