IMO Dividend

Although IMO has a dividend of 0.43 with an ex-dividend date of Dec 3, you can sell covered calls on Imperial Oil Limited to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Tue 4:16 PM ET):

Imperial Oil Limited (IMO)
Bid	Ask	Last	Change	Volume	P/E	Market Cap
74.23	77.95	75.89	+0.52	211K	11	82B

IMO Dividend-Like Income Using Covered Calls

With IMO at 75.89, 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%	2.28	0.6
5%	3.79	1.0
10%	7.59	2.1

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 IMO Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Dec 20	80.00	0.70	32	2.2	2.05 (2.7%)
May 16	80.00	2.55	179	1.4	2.05 (2.7%)

5% Yield On IMO Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Dec 20	80.00	0.70	32	2.2	2.05 (2.7%)
May 16	80.00	2.55	179	1.4	2.05 (2.7%)

10% Yield On IMO Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Dec 20	80.00	0.70	32	2.2	2.05 (2.7%)
Jan 17	80.00	1.35	60	2.3	2.05 (2.7%)

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Top 10 Open Interest For Dec 20 Expiration				Top 5 High Yield
1.	NVDA dividend	6.	QQQ dividend	1.	SAVA dividend
2.	SPY dividend	7.	XLF dividend	2.	HUT dividend
3.	EEM dividend	8.	KWEB dividend	3.	CRVS dividend
4.	FXI dividend	9.	TLT dividend	4.	ANAB dividend
5.	IWM dividend	10.	AAPL dividend	5.	CLSK dividend

Want more examples? IMMR Dividend | IMOS Dividend