YieldBoost Hecla Mining From 0.3% To 7.6% Using Options

Shareholders of Hecla Mining (NYSE: HL) looking to boost their income beyond the stock's 0.3% annualized dividend yield can sell the January 2016 covered call at the $4.50 strike and collect the premium based on the 34 cents bid, which annualizes to an additional 7.2% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 7.6% annualized rate in the scenario where the stock is not called away. Any upside above $4.50 would be lost if ...