YieldBoost Spartan Motors From 2.2% To 10.5% Using Options

Shareholders of Spartan Motors, Inc. (SPAR) looking to boost their income beyond the stock's 2.2% annualized dividend yield can sell the March 2015 covered call at the $5 strike and collect the premium based on the 25 cents bid, which annualizes to an additional 8.4% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 10.5% annualized rate in the scenario where the stock is not called away..