Kraft Heinz Buy Write Pours On Premium And Dividend For 42% Annualized Return Potential

If we earn the $0.40 dividend next week, and if KHC closes above $35 at expiration on June 28, we will be assigned and earn a per-share profit of $1.15. With $34.25 per share at risk, the total return would be 3.36%. For a holding period of 29 days, the annualized return would be 42.3%.