“`html
Nordson Corp. (Symbol: NDSN) shareholders can enhance their income by selling covered calls at the $250 strike, with a premium of $6.10, resulting in an annualized return of 5.5%. Combined with the stock’s current 1.5% annualized dividend yield, this could lead to a total annualized rate of 7% if the stock is not called away. The stock would need to rise 11.3% to trigger the call, resulting in a 14% return, including dividends, if exercised.
The trailing twelve months’ volatility for Nordson Corp. is calculated at 29%, and mid-afternoon trading showed a put:call ratio of 0.48 among S&P 500 components, indicating a preference for calls with total volumes of 1.03M puts and 2.17M calls.
“`
