Strategy To YieldBoost Albemarle To 8.1% Using Options
January 29, 2025 at 11:43 AM EST
Shareholders of Albemarle Corp. (ALB) looking to boost their income beyond the stock's 1.9% annualized dividend yield can sell the March 2026 covered call at the $130 strike and collect the premium based on the $6.10 bid, which annualizes to an additional 6.2% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 8.1% annualized rate in the scenario where the stock is not called away..