YieldBoost Alliant Techsystems To 14.4% Using Options

Shareholders of Alliant Techsystems Inc. (NYSE: ATK) looking to boost their income beyond the stock's 1.1% annualized dividend yield can sell the May 2015 covered call at the $115 strike and collect the premium based on the $8.00 bid, which annualizes to an additional 13.2% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 14.4% annualized rate in the scenario where the stock is not called away. Any upside above $115 would be lo...