MSTR Dividend Type Payments
Although MSTR has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Strategy 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):
| Strategy Inc - Class A (MSTR) | ||||||
|---|---|---|---|---|---|---|
| Bid | Ask | Last | Change | Volume | P/E | Market Cap |
| 200.06 | 200.20 | 199.75 | -8.79 | 22.8M | 10 | 59B |
MSTR Dividend-Like Income Using Covered Calls
With MSTR at 199.75, 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% | 5.99 | 1.6 |
| 5% | 9.99 | 2.7 |
| 10% | 19.98 | 5.5 |
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 MSTR Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Dec 5 | 200.00 | 13.90 | 22 | 62.3 | 0.00 (0.0%) | |
| Dec 12 | 200.00 | 16.85 | 29 | 57.4 | 0.00 (0.0%) | |
| 5% Yield On MSTR Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Dec 5 | 200.00 | 13.90 | 22 | 62.3 | 0.00 (0.0%) | |
| Dec 12 | 200.00 | 16.85 | 29 | 57.4 | 0.00 (0.0%) | |
| 10% Yield On MSTR Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Dec 5 | 200.00 | 13.90 | 22 | 62.3 | 0.00 (0.0%) | |
| Dec 12 | 200.00 | 16.85 | 29 | 57.4 | 0.00 (0.0%) | |
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| Top 10 Open Interest For Nov 21 Expiration | Top 5 High Yield | |||||
|---|---|---|---|---|---|---|
| 1. | IBIT dividend | 6. | SPY dividend | 1. | IMNM dividend | |
| 2. | NVDA dividend | 7. | TLT dividend | 2. | RZLT dividend | |
| 3. | KVUE dividend | 8. | GLD dividend | 3. | AGIO dividend | |
| 4. | SLV dividend | 9. | QQQ dividend | 4. | VTYX dividend | |
| 5. | TSLA dividend | 10. | ASST dividend | 5. | TMC dividend | |
Want more examples? MST Dividend | MSTX Dividend
