PATH Dividend Type Payments
Although PATH has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on UiPath, 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 Wed 1:40 PM ET):
UiPath, Inc. Class A (PATH) | ||||||
---|---|---|---|---|---|---|
Bid | Ask | Last | Change | Volume | P/E | Market Cap |
13.24 | 13.25 | 13.24 | +0.02 | 2.4M | - | 7.1B |
PATH Dividend-Like Income Using Covered Calls
With PATH at 13.24, 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% | 0.40 | 0.1 |
5% | 0.66 | 0.2 |
10% | 1.32 | 0.4 |
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 PATH Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Aug 1 | 13.50 | 0.37 | 24 | 1.5 | 0.25 (1.9%) | |
Aug 8 | 13.50 | 0.43 | 31 | 1.4 | 0.25 (1.9%) |
5% Yield On PATH Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Aug 1 | 13.50 | 0.37 | 24 | 1.5 | 0.25 (1.9%) | |
Aug 8 | 13.50 | 0.43 | 31 | 1.4 | 0.25 (1.9%) |
10% Yield On PATH Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Aug 1 | 13.50 | 0.37 | 24 | 1.5 | 0.25 (1.9%) | |
Aug 8 | 13.50 | 0.43 | 31 | 1.4 | 0.25 (1.9%) |
Want to increase dividends with covered calls? Sign Up For A Free Trial
Top 10 Open Interest For Jul 18 Expiration | Top 5 High Yield | |||||
---|---|---|---|---|---|---|
1. | NVDA dividend | 6. | GLD dividend | 1. | TMC dividend | |
2. | SLV dividend | 7. | AAPL dividend | 2. | CELC dividend | |
3. | SPY dividend | 8. | TLT dividend | 3. | AAOI dividend | |
4. | TSLA dividend | 9. | IBIT dividend | 4. | REPL dividend | |
5. | IWM dividend | 10. | QQQ dividend | 5. | ENPH dividend |
Want more examples? PASG Dividend | PATK Dividend