About
I'm a value investor with a penchant for investment income from dividends and writing covered calls. The Forbes Dividend Investor newsletter service is where you find undervalued stocks with safe and generous yields averaging more than 4.5%. On Tuesday and Thursday, as editor of
Written By
John Dobosz
Writing Calls On Petrobras With Big Dividend Coming Up Next Friday
On the buy write, if PBR closes above $15 at expiration on September 27, your shares will be automatically sold at $15, producing a profit—including the dividend—of $0.7364 per share on $14.65 per share at risk, or 5.03%. Over a 43-day holding period, the annualized return would be 42.7%.
Feasting On Cheesecake Factory Options Premium
On the buy write, if CAKE closes above $37.50 on September 20, you will earn $1.60 per share on $35.90 at risk for a total return of 4.47%. Over 36 days, that would be 54.2% on an annualized basis.
Walking Into 69% Annualized Return Potential With Wolverine World Wide Buy Write
If WWW closes above $12.50 at expiration on September 18, our shares will be sold at $12.50, producing a profit of $0.80 per share on $11.70 per share at risk for a total return of 6.84%. Over a 36-day holding period, the annualized return would be 69.3%.
Writing Calls On Enbridge And Grabbing Thursday’s Dividend
For the buy write, if we earn the dividend, and if ENB closes above $40 on October 18, you’ll be assigned and earn $1.9106 per share on $38.75 per share at risk for a total return of 4.93%. Over a period of 56 days, the annualized return would be 32.1%.
International Paper Buy Write Aims To Print 5% Return Next Six Weeks
If we earn a $0.4625 per share dividend, and if IP closes above $45 at expiration on September 20, our calls will be assigned and IP stock sold at $45, producing a total return of $2.1625 on $43.30 per share at risk, or 4.99%. Over a 43-day holding period, the annualized return would be 42.4%.
About
I'm a value investor with a penchant for investment income from dividends and writing covered calls. The Forbes Dividend Investor newsletter service is where you find undervalued stocks with safe and generous yields averaging more than 4.5%. On Tuesday and Thursday, as editor of