YieldBoost Total System Services From 0.5% To 9.6% Using Options
April 23, 2019 at 11:51 AM EDT
Shareholders of Total System Services, Inc. (TSS) looking to boost their income beyond the stock's 0.5% annualized dividend yield can sell the November covered call at the $105 strike and collect the premium based on the $5.20 bid, which annualizes to an additional 9.1% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 9.6% annualized rate in the scenario where the stock is not called away..