Shareholders of Astec Industries, Inc. (ASTE) can enhance their income through a September covered call at the $55 strike, offering a premium of $3.00, which equates to an annualized return of 9.9%. This strategy could yield a total of 11% if the stock remains below $55, while any gains above that amount would not be realized if the stock is called away. Currently, ASTE shares are priced at $47.90, requiring a 14.7% increase for that to occur.
Astec’s trailing twelve-month volatility is calculated at 39%, based on the last 251 trading days and the present stock price. The annualized dividend yield stands at 1.1%, with trends in dividend amounts reflecting the company’s profitability.
