MDLZ Dividend
Although MDLZ has a dividend of 0.47 with an ex-dividend date of Sep 30, you can sell covered calls on Mondelez International, Inc. - Class A to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Fri 4:16 PM ET):
Mondelez International, Inc. - Class A (MDLZ) | ||||||
---|---|---|---|---|---|---|
Bid | Ask | Last | Change | Volume | P/E | Market Cap |
73.55 | 74.28 | 74.28 | -0.50 | 8.9M | 26 | 100B |
MDLZ Dividend-Like Income Using Covered Calls
With MDLZ at 74.28, 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% | 2.23 | 0.6 |
5% | 3.71 | 1.0 |
10% | 7.43 | 2.0 |
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 MDLZ Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Oct 4 | 76.00 | 0.10 | 15 | 0.7 | 1.72 (2.3%) | |
Oct 11 | 74.00 | 1.00 | 22 | 3.3 | 0.00 (0.0%) |
5% Yield On MDLZ Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Oct 11 | 74.00 | 1.00 | 22 | 3.3 | 0.00 (0.0%) | |
Nov 15 | 75.00 | 1.65 | 57 | 2.9 | 0.72 (1.0%) |
10% Yield On MDLZ Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Oct 11 | 74.00 | 1.00 | 22 | 3.3 | 0.00 (0.0%) | |
Nov 15 | 75.00 | 1.65 | 57 | 2.9 | 0.72 (1.0%) |
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Top 10 Open Interest For Oct 18 Expiration | Top 5 High Yield | |||||
---|---|---|---|---|---|---|
1. | NVDA dividend | 6. | SLV dividend | 1. | RLAY dividend | |
2. | IWM dividend | 7. | GLD dividend | 2. | LUNR dividend | |
3. | SPY dividend | 8. | TLT dividend | 3. | MARA dividend | |
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5. | HYG dividend | 10. | AAPL dividend | 5. | MBLY dividend |
Want more examples? MDIV Dividend | MDT Dividend