FREE FARLAND CAPITAL RESOURCE
FREE OPTIONS TOOL
Covered Call Return Calculator
Free covered-call calculator for premium yield, simplified break-even and maximum expiration profit if shares are called away.
Premium received: $200.00
Simplified expiration break-even: $98.00
Maximum expiration profit if called away: $700.00
Premium yield on stock cost: 2.00%
Simple annualized premium yield: 24.33%
Annualization is arithmetic only. It does not assume the trade can be repeated and ignores stock losses, assignment, taxes, commissions, slippage and changing volatility.
How to use it
Use the calculator to make the stock obligation, capped upside and option premium visible. The result is educational arithmetic only and should not be treated as a recommendation or forecast.