PKW Dividend Type Payments
Although PKW has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Invesco BuyBack Achievers ETF to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Tue 4:16 PM ET):
| Invesco BuyBack Achievers ETF (PKW) | ||||||
|---|---|---|---|---|---|---|
| Bid | Ask | Last | Change | Volume | P/E | Market Cap |
| 131.97 | 133.17 | 132.96 | 0.00 | 24K | - | 3.2B |
PKW Dividend-Like Income Using Covered Calls
With PKW at 132.96, 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% | 3.99 | 1.1 |
| 5% | 6.65 | 1.8 |
| 10% | 13.30 | 3.6 |
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 PKW Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| May 15 | 133.00 | 3.50 | 158 | 2.1 | 0.00 (0.0%) | |
| Jan 16 | 133.00 | 1.00 | 39 | 2.1 | 0.00 (0.0%) | |
| 5% Yield On PKW Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| May 15 | 133.00 | 3.50 | 158 | 2.1 | 0.00 (0.0%) | |
| Jan 16 | 133.00 | 1.00 | 39 | 2.1 | 0.00 (0.0%) | |
Want to increase dividends with covered calls? Sign Up For A Free Trial
| Top 10 Open Interest For Dec 19 Expiration | Top 5 High Yield | |||||
|---|---|---|---|---|---|---|
| 1. | NVDA dividend | 6. | EEM dividend | 1. | PL dividend | |
| 2. | SPY dividend | 7. | TLT dividend | 2. | RZLT dividend | |
| 3. | QQQ dividend | 8. | SLV dividend | 3. | GME dividend | |
| 4. | IWM dividend | 9. | GLD dividend | 4. | LULU dividend | |
| 5. | IBIT dividend | 10. | FXI dividend | 5. | ALT dividend | |
Want more examples? PKOH Dividend | PKX Dividend
