Huntsman Corp (NYSE: HUN) offers shareholders a potential income boost through a January 2027 covered call at a $13 strike price, with a premium bid of $1.55, translating to an additional annualized return of 14.4%. This would raise the total potential annualized yield to 17.9%, assuming the stock is not called away. However, for the stock to be called, HUN shares must increase by 30.5% from their current price of $9.99, providing a total return of 46.1% if that occurs, including dividends.
In mid-afternoon trading on Wednesday, the overall put volume among S&P 500 stocks was 859,788 contracts, while call volume stood at 1.65 million, resulting in a put-to-call ratio of 0.52. This is significantly below the long-term median ratio of 0.65, indicating strong buyer preference for calls in the options market for the day.
