RMAX Dividend Type Payments

RE/MAX Holdings, Inc. Class A dividend

Although RMAX has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on RE/MAX Holdings, 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 4:16 PM ET):

RE/MAX Holdings, Inc. Class A (RMAX)
Bid Ask Last Change Volume P/E Market Cap
7.50 8.06 7.87 +0.13 129K 13 0.2B

RMAX Dividend-Like Income Using Covered Calls

With RMAX at 7.87, 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% 0.24 0.1
5% 0.39 0.1
10% 0.79 0.2

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:

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

 
 
Top 10 Open Interest For Jan 16 Expiration     Top 5 High Yield
1.NVDA dividend 6.SLV dividend   1.CRVS dividend
2.IBIT dividend 7.SPY dividend   2.WYFI dividend
3.TLT dividend 8.NFLX dividend   3.OCUL dividend
4.INTC dividend 9.QQQ dividend   4.TLRY dividend
5.AAPL dividend 10.GLD dividend   5.METC dividend

Want more examples? RM Dividend | RMBS Dividend