IDCC Dividend Type Payments

Although IDCC has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on InterDigital, Inc. 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):

InterDigital, Inc. (IDCC)
Bid	Ask	Last	Change	Volume	P/E	Market Cap
360.00	366.00	361.96	-34.41	815K	28	10B

IDCC Dividend-Like Income Using Covered Calls

With IDCC at 361.96, 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%	10.86	3.0
5%	18.10	5.0
10%	36.20	9.9

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 IDCC Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Dec 19	370.00	21.50	50	43.0	4.00 (1.1%)
Nov 21	370.00	12.00	22	54.5	4.00 (1.1%)

5% Yield On IDCC Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Dec 19	370.00	21.50	50	43.0	4.00 (1.1%)
Nov 21	370.00	12.00	22	54.5	4.00 (1.1%)

10% Yield On IDCC Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Dec 19	370.00	21.50	50	43.0	4.00 (1.1%)
Nov 21	370.00	12.00	22	54.5	4.00 (1.1%)

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

Top 10 Open Interest For Nov 21 Expiration				Top 5 High Yield
1.	IBIT dividend	6.	INTC dividend	1.	GHRS dividend
2.	KVUE dividend	7.	TLT dividend	2.	IREN dividend
3.	NVDA dividend	8.	ASST dividend	3.	SRPT dividend
4.	SLV dividend	9.	EEM dividend	4.	UPST dividend
5.	GLD dividend	10.	HYG dividend	5.	HUT dividend

Want more examples? IDA Dividend | IDEV Dividend