WOOD Dividend Type Payments
Although WOOD has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on iShares Global Timber & Forestry ETF to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Mon 11:30 AM ET):
| iShares Global Timber & Forestry ETF (WOOD) | ||||||
|---|---|---|---|---|---|---|
| Bid | Ask | Last | Change | Volume | P/E | Market Cap |
| 75.04 | 75.28 | 75.15 | -0.77 | 3K | - | 0.2B |
WOOD Dividend-Like Income Using Covered Calls
With WOOD at 75.15, 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% | 2.25 | 0.6 |
| 5% | 3.76 | 1.0 |
| 10% | 7.52 | 2.1 |
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 WOOD Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| May 16 | 75.00 | 0.70 | 47 | 0.9 | 0.00 (0.0%) | |
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| Top 10 Open Interest For Apr 17 Expiration | Top 5 High Yield | |||||
|---|---|---|---|---|---|---|
| 1. | NVDA dividend | 6. | TLT dividend | 1. | RCAT dividend | |
| 2. | SPY dividend | 7. | NIO dividend | 2. | EWTX dividend | |
| 3. | ASHR dividend | 8. | EEM dividend | 3. | SOUN dividend | |
| 4. | SLV dividend | 9. | IWM dividend | 4. | HUT dividend | |
| 5. | QQQ dividend | 10. | TSLA dividend | 5. | CORZ dividend | |
Want more examples? WOMN Dividend | WOOF Dividend
