How To YieldBoost Superior Energy Services To 19.4% Using Options

Shareholders of Superior Energy Services, Inc. (SPN) looking to boost their income beyond the stock's 2% annualized dividend yield can sell the December covered call at the $17.50 strike and collect the premium based on the 95 cents bid, which annualizes to an additional 17.5% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 19.4% annualized rate in the scenario where the stock is not called away..