NVCR Dividend Type Payments
Although NVCR has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on NovoCure Limited - Ordinary Shares 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):
| NovoCure Limited - Ordinary Shares (NVCR) | ||||||
|---|---|---|---|---|---|---|
| Bid | Ask | Last | Change | Volume | P/E | Market Cap |
| 29.81 | 30.39 | 30.19 | +0.20 | 994K | - | 3.2B |
NVCR Dividend-Like Income Using Covered Calls
With NVCR at 30.19, 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% | 0.91 | 0.2 |
| 5% | 1.51 | 0.4 |
| 10% | 3.02 | 0.8 |
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 NVCR Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Jan 17 | 31.00 | 0.75 | 15 | 5.0 | 0.61 (2.0%) | |
| Dec 19 | 32.00 | 7.30 | 351 | 2.1 | 1.61 (5.3%) | |
| 5% Yield On NVCR Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Jan 17 | 31.00 | 0.75 | 15 | 5.0 | 0.61 (2.0%) | |
| Dec 19 | 32.00 | 7.30 | 351 | 2.1 | 1.61 (5.3%) | |
| 10% Yield On NVCR Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Jan 17 | 31.00 | 0.75 | 15 | 5.0 | 0.61 (2.0%) | |
| Dec 19 | 32.00 | 7.30 | 351 | 2.1 | 1.61 (5.3%) | |
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| Top 10 Open Interest For Jan 17 Expiration | Top 5 High Yield | |||||
|---|---|---|---|---|---|---|
| 1. | NVDA dividend | 6. | SPY dividend | 1. | QSI dividend | |
| 2. | SLV dividend | 7. | XLF dividend | 2. | RIVN dividend | |
| 3. | AAPL dividend | 8. | IWM dividend | 3. | QUBT dividend | |
| 4. | EEM dividend | 9. | TSLA dividend | 4. | QBTS dividend | |
| 5. | INTC dividend | 10. | TLT dividend | 5. | IONQ dividend | |
Want more examples? NVAX Dividend | NVDA Dividend
