EWBC Dividend Type Payments

East West Bancorp, Inc. dividend

Although EWBC has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on East West Bancorp, Inc. to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Fri 1:45 PM ET):

East West Bancorp, Inc. (EWBC)
Bid Ask Last Change Volume P/E Market Cap
87.20 87.31 87.25 +2.22 283K 11 12B

EWBC Dividend-Like Income Using Covered Calls

With EWBC at 87.25, 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% 2.62 0.7
5% 4.36 1.2
10% 8.73 2.4

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 EWBC Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Apr 17 90.00 2.35 35 6.7 2.69 (3.1%)
Oct 17 100.00 2.50 218 1.1 12.69 (14.5%)
5% Yield On EWBC Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Apr 17 90.00 2.35 35 6.7 2.69 (3.1%)
Oct 17 90.00 7.50 218 3.4 2.69 (3.1%)
10% Yield On EWBC Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Apr 17 90.00 2.35 35 6.7 2.69 (3.1%)
Oct 17 90.00 7.50 218 3.4 2.69 (3.1%)

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

 
 
Top 10 Open Interest For Mar 21 Expiration     Top 5 High Yield
1.NVDA dividend 6.EEM dividend   1.ALT dividend
2.SPY dividend 7.KWEB dividend   2.RCAT dividend
3.IWM dividend 8.TSLA dividend   3.EWTX dividend
4.FXI dividend 9.INTC dividend   4.SERV dividend
5.QQQ dividend 10.TLT dividend   5.IMVT dividend

Want more examples? EWA Dividend | EWC Dividend