From Nasdaq, Inc.:

One of the more popular stocks people enter into their stock options watchlist is Apple Inc (Symbol: AAPL). This week, we highlight one interesting put contract, and one interesting call contract from the June 2026 expiration for AAPL. The put contract our YieldBoost algorithm identified has a bid at the time of this writing of $1.68, representing a 0.7% annualized rate of return.

Selling the put gives an investor access to Apple’s upside potential only if the contract is exercised. The only upside to the seller is from collecting the premium for the 0.7% annualized rate of return unless the shares fall 48.2% and the contract is exercised, resulting in a cost basis of $93.32 per share before broker commissions.

The annualized 0.7% figure exceeds the 0.5% annualized dividend paid by Apple Inc, based on the current share price of $183.29. If an investor was to buy the stock to collect the dividend, greater downside exists because the stock would have to fall 48.17% to reach the $95 strike price.

In general, dividend amounts are not always predictable and tend to follow the ups and downs of profitability at each company. The most recent dividend will continue based on the dividend history.

For shareholders of Apple Inc (Symbol: AAPL) looking to boost their income beyond the stock’s 0.5% annualized dividend yield, selling the covered call at the $220 strike and collecting the premium based on the $19.20 bid, annualizes to an additional 4.3% rate of return against the current stock price. The stock would have to climb 20% for the stock to be called away.

The trailing twelve month trading history for Apple Inc shows the $95 strike in green relative to that history, and the $220 strike in red.

We calculate the trailing twelve month volatility for Apple Inc to be 20%.

If we look at the number of call buyers and use the long-term median to project the number of put buyers we’d expect, there are more put buyers than expected in options trading so far today.

Find out which call options traders are talking about today.

Check out the Top YieldBoost AAPL Calls.



Read more: One Put, One Call Option To Know About for Apple (AAPL)