JOYY Dividend
Although JOYY has a dividend of 0.97 with an ex-dividend date of Jan 2, you can sell covered calls on JOYY Inc. - American Depositary Shares to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Mon 11:00 AM ET):
| JOYY Inc. - American Depositary Shares (JOYY) |
|---|
| Bid |
Ask |
Last |
Change |
Volume |
P/E |
Market Cap |
| 65.51 |
65.76 |
65.75 |
+0.57 |
62K |
38 |
0.0B |
JOYY Dividend-Like Income Using Covered Calls
With JOYY at 65.75, 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% |
3.29 |
0.9 |
| 10% |
6.58 |
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 JOYY Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| May 15 |
70.00 |
3.10 |
145 |
2.1 |
4.24 (6.4%) |
| Jan 16 |
70.00 |
0.25 |
26 |
1.0 |
4.24 (6.4%) |
| 5% Yield On JOYY Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| May 15 |
70.00 |
3.10 |
145 |
2.1 |
4.24 (6.4%) |
| Jan 16 |
70.00 |
0.25 |
26 |
1.0 |
4.24 (6.4%) |
| 10% Yield On JOYY Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| May 15 |
70.00 |
3.10 |
145 |
2.1 |
4.24 (6.4%) |
| Feb 20 |
70.00 |
1.15 |
61 |
1.9 |
4.24 (6.4%) |
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