Boosting OSW's Yield with Options: A 35.2% Return

Investors can boost their income from OneSpaWorld Holdings Ltd (OSW) by selling March covered calls at $22.50, collecting an 85 cents premium that annualizes to a 34.2% return. This would increase the annualized yield to 35.2%. The stock would need to rise 6.7% to $22.50 for the call to be exercised, resulting in a 10.7% return for the shareholder.