WSC Dividend Type Payments
Although WSC has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on WillScot Holdings Corporation - Class A to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Fri 4:16 PM ET):
WillScot Holdings Corporation - Class A (WSC) |
Bid |
Ask |
Last |
Change |
Volume |
P/E |
Market Cap |
36.50 |
38.70 |
37.59 |
-0.12 |
1.0M |
40 |
7.5B |
WSC Dividend-Like Income Using Covered Calls
With WSC at 37.59, 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% |
1.13 |
0.3 |
5% |
1.88 |
0.5 |
10% |
3.76 |
1.0 |
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 WSC Using Covered Calls |
Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
Nov 15 |
40.00 |
0.90 |
43 |
2.1 |
1.30 (3.5%) |
Oct 18 |
40.00 |
0.20 |
15 |
1.3 |
1.30 (3.5%) |
5% Yield On WSC Using Covered Calls |
Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
Nov 15 |
40.00 |
0.90 |
43 |
2.1 |
1.30 (3.5%) |
Oct 18 |
40.00 |
0.20 |
15 |
1.3 |
1.30 (3.5%) |
10% Yield On WSC Using Covered Calls |
Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
Nov 15 |
40.00 |
0.90 |
43 |
2.1 |
1.30 (3.5%) |
Oct 18 |
40.00 |
0.20 |
15 |
1.3 |
1.30 (3.5%) |
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