Enhancing Yield on Ardagh Metal Packaging from 10.5% to 19.4% Through Options Strategies

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Ardagh Metal Packaging SA (AMBP) shareholders can enhance their income through a January 2026 covered call at the $5 strike, collecting a 15-cent premium that annualizes to an additional 8.9% return. This could boost their total annualized return to 19.4%, assuming the stock isn’t called away. If the stock rises above $5, the shareholder stands to gain a total of 35.2% return, factoring in potential dividends, provided AMBP shares increase by 31.2% from the current price of $3.81.

The twelve-month volatility for AMBP is calculated at 48%. On Friday, during mid-afternoon trading, S&P 500 put volume reached 1.28 million contracts while call volume hit 2.39 million, resulting in a put:call ratio of 0.54, indicating higher call preference among traders compared to the long-term median ratio of 0.65.

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