On April 30, 2021, I bought additional 6 shares of Apple stock (NASDAQ: AAPL) paying $133.33 per share.
With its quarterly dividend of 0.22 cents per share, this latest buy has a dividend yield of 0.66% and will pay us an additional $1.32 every quarter (before tax). Not the biggest income, but when buying Apple stock I'm are not looking at a dividend alone. instead, I'm looking at a potential value growth and options income from selling covered calls.
At the start of January, I got an inheritance of EUR 6,061 - I decided to put this money at work in the stock market - here is a quick recap for April.
Invested an additional EUR 762.87 in INTC (Intel) and LI (LI auto) stocks, while the rest is used as a cushion for option trades. It's planned to invest all funds in INTC and LI by the end of the year aka dollar-cost averaging and start selling covered calls on these stocks once 100 reached.
Closed April with +$689.20 income from selling options premium / about 7.25% yield. From the income bought additional 6 AAPL shares.
We now hold in total 20 shares of AAPL, In total, they contribute about $14.96 (after tax) yearly to our dividend income portfolio.
Using dollar-cost averaging our average cost per one AAPL share is $126.54
By now AAPL stock takes 4.76% from our total portfolio.
If we had 100 shares of Apple today, we could sell June 4 2021, covered call (monthly options) with a strike price of $135, to get a $2.38 premium.
It's planned to buy more AAPL shares once a month until we will reach 100 shares. It looks like we might get there by the end of 2022
80 shares to go!