StockOptionsChannel.com

Stock Options Channel is a stock options research website, aimed at financial advisors and retail investors trying to maximize the opportunities in stock options and using puts and calls to gain yield on their investments. The site includes a number of ground-breaking features that allow investors to dig deeper into interesting stock options opportunities, including the site's proprietary YieldBoost ranking system. Each week we put out a free newsletter sharing the results of our YieldBoost rankings, and throughout each day we share even more detailed reports to subscribers to our premium service. On the CALLS side of the options chain, the YieldBoost formula looks for the highest premiums a call seller can receive (expressed in terms of the extra yield against the current share price - the boost - delivered by the option premium), with strikes that are out-of-the-money with low odds of the stock being called away. On the PUTS side of the options chain, the YieldBoost formula considers that the option seller makes a commitment to put up a certain amount of cash to buy the stock at a given strike, and looks for the highest premiums a put seller can receive (expressed in terms of the extra yield against the cash commitment - the boost - delivered by the option premium), with strikes that are out-of-the-money with low odds of the stock being put to the option seller.

Recent Articles By The Author

YieldBoost BSET From 1.2% To 18.8% Using Options

Shareholders of Bassett Furniture Industries, Inc looking to boost their income beyond the stock's 1.2% annualized dividend yield can sell the October covered call at the $40 strike and collect the premium based on the $1.70 bid, which annualizes to an additional 17.7% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 18.8% annualized rate in the scenario where the stock is not called away. Any upside above $40 would be lost if the stock rises there and is called away, but BSET shares would have to advance 4.8% from current levels for that to happen, meaning that in the scenario where the stock is called, the shareholder has earned a 9.3% return from this trading level, in addition to any dividends collected before the stock was called.

YieldBoost Essendant From 4% To 34% Using Options

Shareholders of Essendant Inc looking to boost their income beyond the stock's 4% annualized dividend yield can sell the August covered call at the $15 strike and collect the premium based on the 35 cents bid, which annualizes to an additional 30% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 34% annualized rate in the scenario where the stock is not called away. Any upside above $15 would be lost if the stock rises there and is called away, but ESND shares would have to advance 5.8% from current levels for that to happen, meaning that in the scenario where the stock is called, the shareholder has earned a 8.2% return from this trading level, in addition to any dividends collected before the stock was called.

YieldBoost RCI Hospitality Holdings To 10.4% Using Options

Shareholders of RCI Hospitality Holdings Inc looking to boost their income beyond the stock's 0.5% annualized dividend yield can sell the February 2018 covered call at the $25 strike and collect the premium based on the $1.35 bid, which annualizes to an additional 9.9% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 10.4% annualized rate in the scenario where the stock is not called away. Any upside above $25 would be lost if the stock rises there and is called away, but RICK shares would have to climb 7% from current levels for that to happen, meaning that in the scenario where the stock is called, the shareholder has earned a 12.8% return from this trading level, in addition to any dividends collected before the stock was called.

Strategy To YieldBoost SCVL To 10.7% Using Options

Shareholders of Shoe Carnival, Inc. looking to boost their income beyond the stock's 1.6% annualized dividend yield can sell the December covered call at the $22.50 strike and collect the premium based on the 70 cents 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 10.7% annualized rate in the scenario where the stock is not called away.

How To YieldBoost Superior Uniform Group To 10.6% Using Options

Shareholders of Superior Uniform Group, Inc. looking to boost their income beyond the stock's 1.6% annualized dividend yield can sell the December covered call at the $25 strike and collect the premium based on the 85 cents bid, which annualizes to an additional 9% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 10.6% annualized rate in the scenario where the stock is not called away.