Strategy To YieldBoost Erie Indemnity To 9.3% Using Options

Shareholders of Erie Indemnity Co. (ERIE) looking to boost their income beyond the stock's 1.3% annualized dividend yield can sell the June 2025 covered call at the $470 strike and collect the premium based on the $16.20 bid, which annualizes to an additional 8% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 9.3% annualized rate in the scenario where the stock is not called away..