LZB Dividend

Although LZB has a dividend of 0.24 with an ex-dividend date of Dec 4, you can sell covered calls on La-Z-Boy Incorporated to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Mon 11:40 AM ET):

La-Z-Boy Incorporated (LZB)
Bid	Ask	Last	Change	Volume	P/E	Market Cap
40.09	40.12	40.09	+1.17	138K	18	1.6B

LZB Dividend-Like Income Using Covered Calls

With LZB at 40.09, 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%	1.20	0.3
5%	2.00	0.5
10%	4.01	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 LZB Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Dec 19	40.00	0.55	19	2.3	0.00 (0.0%)
Jan 16	40.00	0.70	47	1.2	0.00 (0.0%)

5% Yield On LZB Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Dec 19	40.00	0.55	19	2.3	0.00 (0.0%)
Jan 16	40.00	0.70	47	1.2	0.00 (0.0%)

10% Yield On LZB Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Dec 19	40.00	0.55	19	2.3	0.00 (0.0%)
Jan 16	40.00	0.70	47	1.2	0.00 (0.0%)

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

Top 10 Open Interest For Dec 19 Expiration				Top 5 High Yield
1.	NVDA dividend	6.	EEM dividend	1.	RZLT dividend
2.	SPY dividend	7.	GLD dividend	2.	IMNM dividend
3.	IWM dividend	8.	SLV dividend	3.	PATH dividend
4.	QQQ dividend	9.	TLT dividend	4.	BMNR dividend
5.	IBIT dividend	10.	FXI dividend	5.	TMC dividend

Want more examples? LZ Dividend | M Dividend