CDW Corp (Symbol: CDW) shareholders can enhance their income through a covered call strategy by selling the March 2026 call option at a $165 strike price, with a premium of $13.40, yielding an additional 16.8% return, totaling an annualized rate of 18.3% if the stock is not called away. The current stock price is $162.92, meaning a 1.2% increase would trigger the call, providing a 9.4% return on investment in addition to collected dividends.
On Monday, the trading volume for put options among S&P 500 components was 1.03 million contracts, while call options reached 2.17 million contracts, resulting in a put:call ratio of 0.48. This represents a significant preference for call options compared to the long-term median ratio of 0.65.
