On May 29, 2020, we bought 25 shares of People's United Financial, Inc. (PBCT ) at $11.60 per share for our daughter's stock portfolio. With its quarterly dividend of 0.18 cents per share, this latest buy has a dividend yield of 6.2% and will pay us $4.5 every quarter (before tax). Awesome!
PBCT is paying a dividend in the following months: February, May, August and November
We decided to spend half of our options income in the month of May, to finance this purchase, we are looking to grow PBCT shares back to 100 and start selling covered calls, see: Covered Call Trade Idea with Monthly Options - Generate $50/mo from this Bank Dividend Stock
I'm saying - looking to grow back to 100 - In the past, we were holding 100 shares of PBCT, but unfortunately in March 2020, because of the downturn in the markets, we faced several margin calls and our PBCT shares were sold to keep us afloat
For the rest of the year, we are looking to take $7.65 (after tax) from this buy, which is about 0.21% from our $3,600 goal for 2020
We now hold 25 shares of PBCT, In total, they contribute about $15.3 (after tax) yearly to our dividend income portfolio.
75 shares to go once we will be able to start selling covered calls and generate extra income from this stock. We are looking it will take us the next 3 months before to collect 75 shares of PBCT. We should have 100 PBCT shares by the end of August