FRPT Dividend Type Payments

Freshpet, Inc. dividend

Although FRPT has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Freshpet, 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):

Freshpet, Inc. (FRPT)
Bid Ask Last Change Volume P/E Market Cap
148.05 154.00 151.59 +1.02 851K 295 7.3B

FRPT Dividend-Like Income Using Covered Calls

With FRPT at 151.59, 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% 4.55 1.2
5% 7.58 2.1
10% 15.16 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 FRPT Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Nov 15 155.00 1.20 11 10.9 1.00 (0.7%)
Dec 20 155.00 5.60 46 12.2 1.00 (0.7%)
5% Yield On FRPT Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Nov 15 155.00 1.20 11 10.9 1.00 (0.7%)
Dec 20 155.00 5.60 46 12.2 1.00 (0.7%)
10% Yield On FRPT Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Nov 15 155.00 1.20 11 10.9 1.00 (0.7%)
Dec 20 155.00 5.60 46 12.2 1.00 (0.7%)

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

 
 
Top 10 Open Interest For Nov 15 Expiration     Top 5 High Yield
1.FXI dividend 6.TLT dividend   1.SMCI dividend
2.NVDA dividend 7.IWM dividend   2.UPST dividend
3.SLV dividend 8.EWZ dividend   3.AFRM dividend
4.SPY dividend 9.TSLA dividend   4.FSLY dividend
5.EEM dividend 10.QQQ dividend   5.PINS dividend

Want more examples? FROG Dividend | FRSH Dividend