YieldBoost CLC To 5.5%

Shareholders of Clarcor Inc. (NYSE: CLC) looking to boost their income beyond the stock's 1% annualized dividend yield can sell the March 2014 covered call at the $60 strike and collect the premium based on the $1.55 bid, which annualizes to an additional 4.5% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 5.5% annualized rate in the scenario where the stock is not called away. Any upside above $60 would be lost if the stock ...