How To YieldBoost JACK From 1.6% To 13.2% Using Options

Shareholders of Jack in the Box, Inc. (JACK) looking to boost their income beyond the stock's 1.6% annualized dividend yield can sell the March 2018 covered call at the $105 strike and collect the premium based on the $4.80 bid, which annualizes to an additional 11.6% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 13.2% annualized rate in the scenario where the stock is not called away..
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