YieldBoost AXP From 1.1% To 3.4% Using Options

Shareholders of American Express Co. (AXP) looking to boost their income beyond the stock's 1.1% annualized dividend yield can sell the January 2016 covered call at the $110 strike and collect the premium based on the $3.15 bid, which annualizes to an additional 2.3% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 3.4% annualized rate in the scenario where the stock is not called away..
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