How To YieldBoost Genie Energy From 3.6% To 17.9% Using Options

Shareholders of Genie Energy Ltd. (GNE) looking to boost their income beyond the stock's 3.6% annualized dividend yield can sell the December covered call at the $12.50 strike and collect the premium based on the 45 cents bid, which annualizes to an additional 14.3% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 17.9% annualized rate in the scenario where the stock is not called away..