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How To YieldBoost ADTN To 9.9% Using Options

Shareholders of Adtran, Inc. (ADTN) looking to boost their income beyond the stock's 2.1% annualized dividend yield can sell the May 2019 covered call at the $20 strike and collect the premium based on the 85 cents bid, which annualizes to an additional 7.8% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 9.9% annualized rate in the scenario where the stock is not called away..
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