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ArcBest Corp (Symbol: ARCB) shareholders can enhance their income by selling a March 2026 covered call at a $95 strike for a premium of $7.10, equating to an annualized return of 13.2%. This, combined with the stock’s current 0.6% dividend yield, brings the total potential annualized return to 13.8%. If the stock reaches the $95 mark, shareholders would experience a total return of 22%, factoring in any dividends collected before the call is exercised.
As of the latest data, ArcBest’s share price is $83.33, having seen a 13.6% rise to reach the $95 strike. The company’s historical volatility is reported at 54%, providing context for the risks associated with this options strategy. On Tuesday afternoon, the overall put volume among S&P 500 components was 888,067 contracts, and call volume was at 1.86 million, resulting in a put:call ratio of 0.48, indicating a high preference for calls in options trading on that day.
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