Strategy To YieldBoost Darden Restaurants To 12.3% Using Options
February 12, 2025 at 12:19 PM EST
Shareholders of Darden Restaurants, Inc. (DRI) looking to boost their income beyond the stock's 2.9% annualized dividend yield can sell the January 2026 covered call at the $200 strike and collect the premium based on the $17.00 bid, which annualizes to an additional 9.4% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 12.3% annualized rate in the scenario where the stock is not called away..
