WTW Dividend
Although WTW has a dividend of 0.92 with an ex-dividend date of Mar 31, you can sell covered calls on Willis Towers Watson Public Limited Company - Ordinary Shares 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):
Willis Towers Watson Public Limited Company - Ordinary Shares (WTW) | ||||||
---|---|---|---|---|---|---|
Bid | Ask | Last | Change | Volume | P/E | Market Cap |
237.12 | 545.58 | 340.88 | +2.29 | 589K | - | 34B |
WTW Dividend-Like Income Using Covered Calls
With WTW at 340.88, 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% | 10.23 | 2.8 |
5% | 17.04 | 4.7 |
10% | 34.09 | 9.3 |
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:
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Top 10 Open Interest For Apr 17 Expiration | Top 5 High Yield | |||||
---|---|---|---|---|---|---|
1. | NVDA dividend | 6. | EEM dividend | 1. | EWTX dividend | |
2. | SPY dividend | 7. | TLT dividend | 2. | HIMS dividend | |
3. | ASHR dividend | 8. | NIO dividend | 3. | RCAT dividend | |
4. | SLV dividend | 9. | IWM dividend | 4. | RIOT dividend | |
5. | QQQ dividend | 10. | TSLA dividend | 5. | ACHR dividend |
Want more examples? WTTR Dividend | WU Dividend