XMMO Dividend Type Payments
Although XMMO has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Invesco S&P MidCap Momentum ETF 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):
Invesco S&P MidCap Momentum ETF (XMMO) | ||||||
---|---|---|---|---|---|---|
Bid | Ask | Last | Change | Volume | P/E | Market Cap |
125.83 | 130.62 | 128.51 | +0.91 | 231K | - | 0.3B |
XMMO Dividend-Like Income Using Covered Calls
With XMMO at 128.51, 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% | 3.86 | 1.1 |
5% | 6.43 | 1.8 |
10% | 12.85 | 3.5 |
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 XMMO Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Aug 15 | 130.00 | 1.40 | 50 | 1.6 | 0.00 (0.0%) | |
Sep 19 | 130.00 | 3.50 | 85 | 3.4 | 0.00 (0.0%) |
5% Yield On XMMO Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Sep 19 | 130.00 | 3.50 | 85 | 3.4 | 0.00 (0.0%) | |
Dec 19 | 130.00 | 4.80 | 176 | 2.4 | 0.00 (0.0%) |
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Top 10 Open Interest For Jul 18 Expiration | Top 5 High Yield | |||||
---|---|---|---|---|---|---|
1. | NVDA dividend | 6. | IWM dividend | 1. | COGT dividend | |
2. | SLV dividend | 7. | TSLA dividend | 2. | ENPH dividend | |
3. | SPY dividend | 8. | AAPL dividend | 3. | SERV dividend | |
4. | GLD dividend | 9. | FXI dividend | 4. | CRWV dividend | |
5. | TLT dividend | 10. | CLSK dividend | 5. | RCAT dividend |
Want more examples? XMLV Dividend | XMVM Dividend