SATS Dividend Type Payments
Although SATS has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on EchoStar Corporation - Common stock 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):
EchoStar Corporation - Common stock (SATS) | ||||||
---|---|---|---|---|---|---|
Bid | Ask | Last | Change | Volume | P/E | Market Cap |
22.14 | 23.14 | 22.75 | +0.14 | 3.6M | - | 6.1B |
SATS Dividend-Like Income Using Covered Calls
With SATS at 22.75, 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% | 0.68 | 0.2 |
5% | 1.14 | 0.3 |
10% | 2.28 | 0.6 |
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 SATS Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Jan 17 | 24.00 | 0.86 | 29 | 3.0 | 0.86 (3.8%) | |
Apr 17 | 24.00 | 2.73 | 119 | 2.3 | 0.86 (3.8%) |
5% Yield On SATS Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Jan 17 | 24.00 | 0.86 | 29 | 3.0 | 0.86 (3.8%) | |
Apr 17 | 24.00 | 2.73 | 119 | 2.3 | 0.86 (3.8%) |
10% Yield On SATS Using Covered Calls | ||||||
---|---|---|---|---|---|---|
Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
Jan 17 | 24.00 | 0.86 | 29 | 3.0 | 0.86 (3.8%) | |
Apr 17 | 24.00 | 2.73 | 119 | 2.3 | 0.86 (3.8%) |
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Top 10 Open Interest For Jan 17 Expiration | Top 5 High Yield | |||||
---|---|---|---|---|---|---|
1. | NVDA dividend | 6. | INTC dividend | 1. | RGTI dividend | |
2. | SLV dividend | 7. | SPY dividend | 2. | NMRA dividend | |
3. | AAPL dividend | 8. | TSLA dividend | 3. | HUMA dividend | |
4. | EEM dividend | 9. | IWM dividend | 4. | DLO dividend | |
5. | XLF dividend | 10. | TLT dividend | 5. | MARA dividend |
Want more examples? SASR Dividend | SAVA Dividend