SLGN Dividend
Although SLGN has a dividend of 0.19 with an ex-dividend date of Dec 2, you can sell covered calls on Silgan Holdings Inc. to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Wed 10:10 AM ET):
| Silgan Holdings Inc. (SLGN) | ||||||
|---|---|---|---|---|---|---|
| Bid | Ask | Last | Change | Volume | P/E | Market Cap |
| 54.02 | 54.15 | 54.06 | +0.97 | 64K | 19 | 5.7B |
SLGN Dividend-Like Income Using Covered Calls
With SLGN at 54.06, 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% | 1.62 | 0.4 |
| 5% | 2.70 | 0.7 |
| 10% | 5.41 | 1.5 |
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 SLGN Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| May 16 | 55.00 | 1.20 | 192 | 0.6 | 0.85 (1.6%) | |
| Feb 21 | 55.00 | 0.50 | 108 | 0.5 | 0.85 (1.6%) | |
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| Top 10 Open Interest For Nov 15 Expiration | Top 5 High Yield | |||||
|---|---|---|---|---|---|---|
| 1. | FXI dividend | 6. | EEM dividend | 1. | UPST dividend | |
| 2. | NVDA dividend | 7. | TLT dividend | 2. | PINS dividend | |
| 3. | SLV dividend | 8. | TSLA dividend | 3. | RIVN dividend | |
| 4. | SPY dividend | 9. | EWZ dividend | 4. | IOVA dividend | |
| 5. | IWM dividend | 10. | QQQ dividend | 5. | FSLY dividend | |
Want more examples? SLG Dividend | SLM Dividend
