YieldBoost ONE Gas From 4.2% To 30.7% Using Options
May 22, 2024 at 11:42 AM EDT
Shareholders of ONE Gas, Inc. (OGS) looking to boost their income beyond the stock's 4.2% annualized dividend yield can sell the October covered call at the $90 strike and collect the premium based on the $6.90 bid, which annualizes to an additional 26.5% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 30.7% annualized rate in the scenario where the stock is not called away..
