YieldBoost AAON To 15.9% Using Options
September 23, 2024 at 11:39 AM EDT
Shareholders of AAON, Inc. (AAON) looking to boost their income beyond the stock's 0.3% annualized dividend yield can sell the January 2025 covered call at the $115 strike and collect the premium based on the $5.20 bid, which annualizes to an additional 15.6% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 15.9% annualized rate in the scenario where the stock is not called away..
