Strategy To YieldBoost Olympic Steel From 0.5% To 9.2% Using Options

Shareholders of Olympic Steel Inc. (ZEUS) looking to boost their income beyond the stock's 0.5% annualized dividend yield can sell the July covered call at the $20 strike and collect the premium based on the 70 cents bid, which annualizes to an additional 8.8% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 9.2% annualized rate in the scenario where the stock is not called away..