GRFS Dividend Type Payments
Although GRFS has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Grifols, S.A. - American Depositary Shares to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Mon 3:05 PM ET):
| Grifols, S.A. - American Depositary Shares (GRFS) |
|---|
| Bid |
Ask |
Last |
Change |
Volume |
P/E |
Market Cap |
| 9.22 |
9.23 |
9.22 |
-0.24 |
1.4M |
- |
0.0B |
GRFS Dividend-Like Income Using Covered Calls
With GRFS at 9.22, 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% |
0.28 |
0.1 |
| 5% |
0.46 |
0.1 |
| 10% |
0.92 |
0.3 |
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:
| 3% Yield On GRFS Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| Dec 20 |
10.00 |
0.45 |
33 |
1.4 |
0.77 (8.4%) |
| Jan 17 |
10.00 |
0.15 |
61 |
0.2 |
0.77 (8.4%) |
| 5% Yield On GRFS Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| Dec 20 |
10.00 |
0.45 |
33 |
1.4 |
0.77 (8.4%) |
| Jan 17 |
10.00 |
0.15 |
61 |
0.2 |
0.77 (8.4%) |
| 10% Yield On GRFS Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| Dec 20 |
10.00 |
0.45 |
33 |
1.4 |
0.77 (8.4%) |
| Jan 17 |
11.00 |
0.30 |
61 |
0.5 |
1.77 (19.2%) |
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