NVMI Dividend Type Payments
Although NVMI has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Nova Ltd. - 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):
| Nova Ltd. - Ordinary Shares (NVMI) | ||||||
|---|---|---|---|---|---|---|
| Bid | Ask | Last | Change | Volume | P/E | Market Cap |
| 232.04 | 254.10 | 244.91 | +2.58 | 108K | 45 | 6.9B |
NVMI Dividend-Like Income Using Covered Calls
With NVMI at 244.91, 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% | 7.35 | 2.0 |
| 5% | 12.25 | 3.4 |
| 10% | 24.49 | 6.7 |
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 NVMI Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Aug 15 | 260.00 | 29.00 | 211 | 13.7 | 5.90 (2.4%) | |
| May 16 | 260.00 | 19.50 | 120 | 16.3 | 5.90 (2.4%) | |
| 5% Yield On NVMI Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Aug 15 | 260.00 | 29.00 | 211 | 13.7 | 5.90 (2.4%) | |
| May 16 | 260.00 | 19.50 | 120 | 16.3 | 5.90 (2.4%) | |
| 10% Yield On NVMI Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Aug 15 | 260.00 | 29.00 | 211 | 13.7 | 5.90 (2.4%) | |
| May 16 | 260.00 | 19.50 | 120 | 16.3 | 5.90 (2.4%) | |
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| Top 10 Open Interest For Feb 21 Expiration | Top 5 High Yield | |||||
|---|---|---|---|---|---|---|
| 1. | NVDA dividend | 6. | FXI dividend | 1. | RGTI dividend | |
| 2. | TLT dividend | 7. | TSLA dividend | 2. | QUBT dividend | |
| 3. | IWM dividend | 8. | AMZN dividend | 3. | DJT dividend | |
| 4. | SPY dividend | 9. | ASHR dividend | 4. | MSTR dividend | |
| 5. | SLV dividend | 10. | AAPL dividend | 5. | SOUN dividend | |
Want more examples? NVGS Dividend | NVO Dividend
