YieldBoost Big Lots From 1.7% To 14.8% Using Options

Shareholders of Big Lots, Inc. (BIG) looking to boost their income beyond the stock's 1.7% annualized dividend yield can sell the July 2016 covered call at the $47.50 strike and collect the premium based on the $3.80 bid, which annualizes to an additional 13.1% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 14.8% annualized rate in the scenario where the stock is not called away..