14 October, 2021 seen 163One of my preferred investing strategies is investing in stocks from The Dogs of The Dow List. Currently (2021), these…
On April 7, 2021, we bought 10 shares of The Coca-Cola Company (KO) at $53.24 per share. With its quarterly dividend of 0.42 cents per share, this latest buy has a dividend yield of 3.15% and will pay us an additional $4.20 every quarter (before tax). Awesome!
Ko is paying a dividend in the following months: April, July, October, and December, we will enjoy some small boost in these months
We now hold 50 shares of KO, In total, they contribute about $71 (after tax) yearly to our dividend income portfolio.
Using dollar-cost averaging our average cost per one KO share is $50.44
By now KO takes 7.96% from our total stock portfolio.
I'm looking to increase the total share count to 100, and then start selling covered calls on KO stock.
Just for the illustration:
We could sell a covered call on KO today (April 8, 2021) with expiry on May 7, 2021 (monthly options), with a strike price of $54, and get for that about $0.79 premium. T
Looking to have 100 shares with KO by August 7, 2021
50 shares to go!