LIT Dividend Type Payments

Although LIT has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Global X Lithium & Battery Tech ETF to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Mon 4:16 PM ET):

Global X Lithium & Battery Tech ETF (LIT)
Bid	Ask	Last	Change	Volume	P/E	Market Cap
41.52	41.71	41.60	+0.76	180K	-	1.0B

LIT Dividend-Like Income Using Covered Calls

With LIT at 41.60, 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%	1.25	0.3
5%	2.08	0.6
10%	4.16	1.1

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 LIT Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Apr 17	43.00	0.60	32	1.9	1.29 (3.1%)
Oct 17	42.00	3.10	215	1.4	0.29 (0.7%)

5% Yield On LIT Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Apr 17	43.00	0.60	32	1.9	1.29 (3.1%)
Oct 17	42.00	3.10	215	1.4	0.29 (0.7%)

10% Yield On LIT Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Apr 17	43.00	0.60	32	1.9	1.29 (3.1%)
Oct 17	42.00	3.10	215	1.4	0.29 (0.7%)

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Want more examples? LINE Dividend | LITE Dividend