How To YieldBoost Omnicom Group To 10.7% Using Options
February 12, 2025 at 12:19 PM EST
Shareholders of Omnicom Group, Inc. (OMC) looking to boost their income beyond the stock's 3.5% annualized dividend yield can sell the July covered call at the $87.50 strike and collect the premium based on the $2.50 bid, which annualizes to an additional 7.2% 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..
