TW Dividend Type Payments
Although TW has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Tradeweb Markets 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):
Tradeweb Markets Inc. - Class A (TW) | ||||||
---|---|---|---|---|---|---|
Bid | Ask | Last | Change | Volume | P/E | Market Cap |
125.15 | 129.96 | 126.79 | +1.94 | 828K | 62 | 30B |
TW Dividend-Like Income Using Covered Calls
With TW at 126.79, 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% | 3.80 | 1.0 |
5% | 6.34 | 1.7 |
10% | 12.68 | 3.5 |
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 TW Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Nov 15 | 130.00 | 3.30 | 45 | 7.3 | 0.04 (0.0%) | |
Oct 18 | 130.00 | 0.95 | 17 | 5.6 | 0.04 (0.0%) |
5% Yield On TW Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Nov 15 | 130.00 | 3.30 | 45 | 7.3 | 0.04 (0.0%) | |
Oct 18 | 130.00 | 0.95 | 17 | 5.6 | 0.04 (0.0%) |
10% Yield On TW Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Nov 15 | 130.00 | 3.30 | 45 | 7.3 | 0.04 (0.0%) | |
Oct 18 | 130.00 | 0.95 | 17 | 5.6 | 0.04 (0.0%) |
Want to increase dividends with covered calls? Sign Up For A Free Trial
Top 10 Open Interest For Oct 18 Expiration | Top 5 High Yield | |||||
---|---|---|---|---|---|---|
1. | NVDA dividend | 6. | QQQ dividend | 1. | JOBY dividend | |
2. | IWM dividend | 7. | SLV dividend | 2. | ASTS dividend | |
3. | SPY dividend | 8. | SMCI dividend | 3. | UPST dividend | |
4. | FXI dividend | 9. | KWEB dividend | 4. | ENVX dividend | |
5. | EEM dividend | 10. | TSLA dividend | 5. | FUTU dividend |
Want more examples? TV Dividend | TWI Dividend