Shareholders of Patterson Companies Inc (PDCO) looking to boost their income beyond the stock's 4.9% annualized dividend yield can sell the April 2025 covered call at the $23 strike and collect the premium based on the $1.20 bid, which annualizes to an additional 11.8% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 16.7% annualized rate in the scenario where the stock is not called away. Any upside above $23 would be lost if the stock rises there and is called away, but PDCO shares would have to advance 8.9% from current levels for that to occur, meaning that in the scenario where the stock is called, the shareholder has earned a 14.6% return from this trading level, in addition to any dividends collected before the stock was called.