Shareholders of Axiall Corp (NYSE: AXLL) looking to boost their income beyond the stock's 0.8% annualized dividend yield can sell the November covered call at the $50 strike and collect the premium based on the $2.95 bid, which annualizes to an additional 15.4% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 16.1% annualized rate in the scenario where the stock is not called away. Any upside above $50 would be lost if the stoc...
Shareholders of Axiall Corp (NYSE: AXLL) looking to boost their income beyond the stock's 0.8% annualized dividend yield can sell the November covered call at the $50 strike and collect the premium based on the $2.95 bid, which annualizes to an additional 15.4% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 16.1% annualized rate in the scenario where the stock is not called away. Any upside above $50 would be lost if the stoc...
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