Shareholders of John Wiley & Sons Inc. (WLY) have the opportunity to enhance their income by selling June covered calls at a $35 strike price. By doing so, they can collect a premium of $1.20, potentially increasing their annualized return to 13.8%, based on the current stock price of $29.78. If the stock is called away after rising to $35, shareholders could still realize a total return of 22%, factoring in previous dividends.
As of Monday’s mid-afternoon trading, the put volume among S&P 500 components reached 839,905 contracts, while call volume was notably higher at 1.78 million, resulting in a put-to-call ratio of 0.47. This indicates a strong preference for call options among traders compared to the long-term median ratio of 0.65.
