WPC Dividend Type Payments
Although WPC has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on W. P. Carey Inc. REIT to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Wed 2:55 PM ET):
| W. P. Carey Inc. REIT (WPC) | ||||||
|---|---|---|---|---|---|---|
| Bid | Ask | Last | Change | Volume | P/E | Market Cap |
| 66.47 | 66.50 | 66.48 | +0.04 | 349K | 40 | 15B |
WPC Dividend-Like Income Using Covered Calls
With WPC at 66.48, 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% | 1.99 | 0.5 |
| 5% | 3.32 | 0.9 |
| 10% | 6.65 | 1.8 |
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 WPC Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Jan 16 | 70.00 | 0.25 | 45 | 0.6 | 3.50 (5.3%) | |
| Apr 17 | 70.00 | 1.15 | 136 | 0.8 | 3.50 (5.3%) | |
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| Top 10 Open Interest For Dec 19 Expiration | Top 5 High Yield | |||||
|---|---|---|---|---|---|---|
| 1. | NVDA dividend | 6. | EEM dividend | 1. | IOT dividend | |
| 2. | SPY dividend | 7. | GLD dividend | 2. | RZLT dividend | |
| 3. | IWM dividend | 8. | TLT dividend | 3. | AI dividend | |
| 4. | QQQ dividend | 9. | SLV dividend | 4. | PATH dividend | |
| 5. | IBIT dividend | 10. | FXI dividend | 5. | HPE dividend | |
Want more examples? WOW Dividend | WPM Dividend
