EWW Dividend Type Payments
Although EWW has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on iShares Inc iShares MSCI Mexico ETF to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Mon 3:25 PM ET):
iShares Inc iShares MSCI Mexico ETF (EWW) | ||||||
---|---|---|---|---|---|---|
Bid | Ask | Last | Change | Volume | P/E | Market Cap |
58.14 | 58.15 | 58.15 | +0.20 | 2.4M | - | 1.0B |
EWW Dividend-Like Income Using Covered Calls
With EWW at 58.15, 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% | 1.74 | 0.5 |
5% | 2.91 | 0.8 |
10% | 5.82 | 1.6 |
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 EWW Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
May 2 | 58.00 | 0.75 | 5 | 12.0 | 0.00 (0.0%) | |
Jun 6 | 58.00 | 2.15 | 40 | 5.0 | 0.00 (0.0%) |
5% Yield On EWW Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
May 2 | 58.00 | 0.75 | 5 | 12.0 | 0.00 (0.0%) | |
Jun 6 | 58.00 | 2.15 | 40 | 5.0 | 0.00 (0.0%) |
10% Yield On EWW Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
May 2 | 58.00 | 0.75 | 5 | 12.0 | 0.00 (0.0%) | |
Jun 6 | 58.00 | 2.15 | 40 | 5.0 | 0.00 (0.0%) |
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Want more examples? EWV Dividend | EWX Dividend