ODFL Dividend

Although ODFL has a dividend of 0.29 with an ex-dividend date of Mar 4, you can sell covered calls on Old Dominion Freight Line, Inc. 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):

Old Dominion Freight Line, Inc. (ODFL)
Bid	Ask	Last	Change	Volume	P/E	Market Cap
195.14	211.48	202.47	+0.33	2.9M	41	42B

ODFL Dividend-Like Income Using Covered Calls

With ODFL at 202.47, 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%	6.07	1.7
5%	10.12	2.8
10%	20.25	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 ODFL Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Feb 20	220.00	0.75	15	5.0	8.52 (4.2%)
Mar 20	220.00	3.00	43	7.0	8.52 (4.2%)

5% Yield On ODFL Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Feb 20	220.00	0.75	15	5.0	8.52 (4.2%)
Mar 20	220.00	3.00	43	7.0	8.52 (4.2%)

10% Yield On ODFL Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Mar 20	220.00	3.00	43	7.0	8.52 (4.2%)
Aug 21	220.00	11.20	197	5.7	8.52 (4.2%)

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

Top 10 Open Interest For Feb 20 Expiration				Top 5 High Yield
1.	SLV dividend	6.	QQQ dividend	1.	OCUL dividend
2.	KWEB dividend	7.	SPY dividend	2.	APLD dividend
3.	NVDA dividend	8.	EWZ dividend	3.	AXTI dividend
4.	IBIT dividend	9.	TLT dividend	4.	U dividend
5.	GLD dividend	10.	INTC dividend	5.	QS dividend

Want more examples? OCUL Dividend | OEC Dividend