TRMB Dividend Type Payments

Trimble Inc. dividend

Although TRMB has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Trimble Inc. 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):

Trimble Inc. (TRMB)
Bid Ask Last Change Volume P/E Market Cap
65.88 72.80 72.64 +11.02 4.2M 49 15B

TRMB Dividend-Like Income Using Covered Calls

With TRMB at 72.64, 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% 2.18 0.6
5% 3.63 1.0
10% 7.26 2.0

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 TRMB Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Nov 15 75.00 0.15 10 1.5 2.20 (3.0%)
Dec 20 75.00 1.40 45 3.1 2.20 (3.0%)
5% Yield On TRMB Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Nov 15 75.00 0.15 10 1.5 2.20 (3.0%)
Dec 20 75.00 1.40 45 3.1 2.20 (3.0%)
10% Yield On TRMB Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Dec 20 75.00 1.40 45 3.1 2.20 (3.0%)
May 16 75.00 4.50 192 2.3 2.20 (3.0%)

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

 
 
Top 10 Open Interest For Nov 15 Expiration     Top 5 High Yield
1.FXI dividend 6.EEM dividend   1.CLOV dividend
2.NVDA dividend 7.TLT dividend   2.WOLF dividend
3.SLV dividend 8.TSLA dividend   3.MTCH dividend
4.SPY dividend 9.EWZ dividend   4.UPST dividend
5.IWM dividend 10.QQQ dividend   5.RIVN dividend

Want more examples? TRIP Dividend | TRMK Dividend