WBD Dividend Type Payments
Although WBD has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Warner Bros. Discovery, Inc. - Series A to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Mon 2:05 PM ET):
Warner Bros. Discovery, Inc. - Series A (WBD) | ||||||
---|---|---|---|---|---|---|
Bid | Ask | Last | Change | Volume | P/E | Market Cap |
7.69 | 7.70 | 7.70 | -0.08 | 9.4M | - | 19B |
WBD Dividend-Like Income Using Covered Calls
With WBD at 7.70, 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% | 0.23 | 0.1 |
5% | 0.39 | 0.1 |
10% | 0.77 | 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:
3% Yield On WBD Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Nov 1 | 8.00 | 0.26 | 26 | 1.0 | 0.30 (3.9%) | |
Nov 8 | 10.00 | 0.06 | 33 | 0.2 | 2.30 (29.9%) |
5% Yield On WBD Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Nov 1 | 8.00 | 0.26 | 26 | 1.0 | 0.30 (3.9%) | |
Nov 8 | 10.00 | 0.06 | 33 | 0.2 | 2.30 (29.9%) |
10% Yield On WBD Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Nov 1 | 8.00 | 0.26 | 26 | 1.0 | 0.30 (3.9%) | |
Nov 8 | 8.00 | 0.44 | 33 | 1.3 | 0.30 (3.9%) |
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Top 10 Open Interest For Oct 18 Expiration | Top 5 High Yield | |||||
---|---|---|---|---|---|---|
1. | NVDA dividend | 6. | EEM dividend | 1. | ASTS dividend | |
2. | IWM dividend | 7. | SLV dividend | 2. | AEHR dividend | |
3. | SPY dividend | 8. | SMCI dividend | 3. | GRPN dividend | |
4. | FXI dividend | 9. | KWEB dividend | 4. | TVTX dividend | |
5. | QQQ dividend | 10. | HYG dividend | 5. | CIFR dividend |
Want more examples? WBA Dividend | WBIF Dividend