WSC Dividend Type Payments
Although WSC has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on WillScot Holdings Corporation - Class A to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Tue 11:40 AM ET):
| WillScot Holdings Corporation - Class A (WSC) |
|---|
| Bid |
Ask |
Last |
Change |
Volume |
P/E |
Market Cap |
| 28.68 |
28.71 |
28.71 |
+0.46 |
536K |
353 |
5.6B |
WSC Dividend-Like Income Using Covered Calls
With WSC at 28.71, 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% |
0.86 |
0.2 |
| 5% |
1.44 |
0.4 |
| 10% |
2.87 |
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 WSC Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| Aug 15 |
30.00 |
1.30 |
39 |
3.3 |
1.29 (4.5%) |
| Oct 17 |
30.00 |
2.15 |
102 |
2.1 |
1.29 (4.5%) |
| 5% Yield On WSC Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| Aug 15 |
30.00 |
1.30 |
39 |
3.3 |
1.29 (4.5%) |
| Oct 17 |
30.00 |
2.15 |
102 |
2.1 |
1.29 (4.5%) |
| 10% Yield On WSC Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| Aug 15 |
30.00 |
1.30 |
39 |
3.3 |
1.29 (4.5%) |
| Oct 17 |
30.00 |
2.15 |
102 |
2.1 |
1.29 (4.5%) |
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