Top cover calls to buy

Screening Filters & Rationale

1. Dividend Yield (TTM) ≥ 4%:

   • Purpose: Focus on stocks or ETFs with strong income potential.
   • Rationale: Higher dividend yields provide consistent cash flow, which complements covered call strategies.

2. Market Cap Category: Large:

   • Purpose: Target large-cap companies for stability and liquidity.
   • Rationale: Large-cap stocks are less volatile and more reliable for covered call strategies.

3. Beta: LowRisk:

   • Purpose: Minimize exposure to high volatility.
   • Rationale: Low-beta stocks reduce risk, aligning with conservative covered call strategies.

4. Weekly Average Turnover ≥ 10,000,000:

   • Purpose: Ensure high liquidity for ease of trading.
   • Rationale: High turnover ensures tighter bid-ask spreads and better execution for options trading.

5. P/E Ratio (TTM) ≤ 15:

   • Purpose: Focus on undervalued or fairly valued stocks.
   • Rationale: Lower P/E ratios indicate potential for stable returns and reduced downside risk.

6. Is Optionable: True:

   • Purpose: Ensure the stock or ETF supports options trading.
   • Rationale: Covered call strategies require the underlying asset to have an active options market.