WSM Dividend

Although WSM has a dividend of 0.66 with an ex-dividend date of Jul 18, you can sell covered calls on Williams-Sonoma, Inc. (DE) to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Thu 4:16 PM ET):

Williams-Sonoma, Inc. (DE) (WSM)
Bid	Ask	Last	Change	Volume	P/E	Market Cap
176.00	178.00	176.50	+2.77	1.2M	20	21B

WSM Dividend-Like Income Using Covered Calls

With WSM at 176.50, 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%	5.30	1.5
5%	8.83	2.4
10%	17.65	4.8

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 WSM Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Aug 15	180.00	6.00	37	16.2	2.00 (1.1%)
Oct 17	180.00	12.70	100	12.7	2.00 (1.1%)

5% Yield On WSM Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Aug 15	180.00	6.00	37	16.2	2.00 (1.1%)
Oct 17	180.00	12.70	100	12.7	2.00 (1.1%)

10% Yield On WSM Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Aug 15	180.00	6.00	37	16.2	2.00 (1.1%)
Oct 17	180.00	12.70	100	12.7	2.00 (1.1%)

Want to increase dividends with covered calls? Sign Up For A Free Trial

Top 10 Open Interest For Jul 18 Expiration				Top 5 High Yield
1.	NVDA dividend	6.	GLD dividend	1.	HTZ dividend
2.	SLV dividend	7.	AAPL dividend	2.	AEVA dividend
3.	SPY dividend	8.	IBIT dividend	3.	HUT dividend
4.	TSLA dividend	9.	TLT dividend	4.	IREN dividend
5.	IWM dividend	10.	QQQ dividend	5.	ENVX dividend

Want more examples? WSFS Dividend | WSO Dividend