JELD Dividend Type Payments
Although JELD has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on JELD-WEN Holding, Inc. to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Mon 10:05 AM ET):
| JELD-WEN Holding, Inc. (JELD) |
|---|
| Bid |
Ask |
Last |
Change |
Volume |
P/E |
Market Cap |
| 10.23 |
10.26 |
10.22 |
+0.04 |
63K |
- |
0.9B |
JELD Dividend-Like Income Using Covered Calls
With JELD at 10.22, 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% |
0.31 |
0.1 |
| 5% |
0.51 |
0.1 |
| 10% |
1.02 |
0.3 |
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 JELD Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| Apr 17 |
15.00 |
0.20 |
151 |
0.1 |
4.74 (46.4%) |
| Jul 18 |
12.50 |
0.30 |
243 |
0.1 |
2.24 (21.9%) |
| 5% Yield On JELD Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| Dec 19 |
12.50 |
0.90 |
397 |
0.2 |
2.24 (21.9%) |
| Mar 21 |
12.50 |
0.40 |
124 |
0.3 |
2.24 (21.9%) |
| 10% Yield On JELD Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| Mar 21 |
12.50 |
0.40 |
124 |
0.3 |
2.24 (21.9%) |
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