YieldBoost GIFI From 1.8% To 11.1% Using Options

Shareholders of Gulf Island Fabrication, Inc. (GIFI) looking to boost their income beyond the stock's 1.8% annualized dividend yield can sell the July 2015 covered call at the $25 strike and collect the premium based on the $1.30 bid, which annualizes to an additional 9.2% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 11.1% annualized rate in the scenario where the stock is not called away..