The company was founded in 1939 and is headquartered in Palo Alto, Calif.Yield: 2.46%
Dividend Amount: 13 cents
Ex-Dividend Date: June 11, 2012
Beta: 1.09 Strategy: Buy Hewlett-Packard stock and offer to sell the June $20.00 strike or lower call for 31 cents over the intrinsic value. I will attempt to close with a gain of near 9 cents, plus the dividend earned. I don't want the dividend capture trade unless the option sale will provide at least the minimum 31 cents over intrinsic value. If my shares are called away before trading ex-dividend (resulting from the option buyer wanting the dividend), I gain about 31 cents. The most I can make is 44 cents if I hold the covered call through option expiration day and the stock gets called away.
Check Out Our Best Services for Investors
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts