KO Dividend

Although KO has a dividend of 0.51 with an ex-dividend date of Dec 1, you can sell covered calls on Coca-Cola Company (The) to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Fri 4:16 PM ET):

Coca-Cola Company (The) (KO)
Bid	Ask	Last	Change	Volume	P/E	Market Cap
68.34	68.45	68.44	+0.85	15.3M	24	291B

KO Dividend-Like Income Using Covered Calls

With KO at 68.44, 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%	2.05	0.6
5%	3.42	0.9
10%	6.84	1.9

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 KO Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Nov 7	69.00	1.17	22	5.3	0.55 (0.8%)
Nov 14	69.00	1.34	29	4.6	0.55 (0.8%)

5% Yield On KO Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Nov 7	69.00	1.17	22	5.3	0.55 (0.8%)
Nov 14	69.00	1.34	29	4.6	0.55 (0.8%)

10% Yield On KO Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Nov 7	69.00	1.17	22	5.3	0.55 (0.8%)
Nov 14	69.00	1.34	29	4.6	0.55 (0.8%)

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Top 10 Open Interest For Nov 21 Expiration				Top 5 High Yield
1.	IBIT dividend	6.	GLD dividend	1.	CIFR dividend
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5.	HYG dividend	10.	QQQ dividend	5.	IREN dividend

Want more examples? KNX Dividend | KOD Dividend