MAR Dividend Type Payments

Marriott International - Class A dividend

Although MAR has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Marriott International - Class A to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Wed 10:00 AM ET):

Marriott International - Class A (MAR)
Bid Ask Last Change Volume P/E Market Cap
366.59 366.85 366.64 +7.29 289K 38 95B

MAR Dividend-Like Income Using Covered Calls

With MAR at 366.64, 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% 11.00 3.0
5% 18.33 5.0
10% 36.66 10.0

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 MAR Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Feb 13 370.00 2.40 3 80.0 3.15 (0.9%)
Feb 20 370.00 3.70 10 37.0 3.15 (0.9%)
5% Yield On MAR Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Feb 13 370.00 2.40 3 80.0 3.15 (0.9%)
Feb 20 370.00 3.70 10 37.0 3.15 (0.9%)
10% Yield On MAR Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Feb 13 370.00 2.40 3 80.0 3.15 (0.9%)
Feb 20 370.00 3.70 10 37.0 3.15 (0.9%)

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