Update on Paychex, symbol PAYX. I added Paychex to my 2016 portfolio with confidence that I eventually would be able to sell a call to boost my income. To remind you, I require a call to generate 8% or more in capital gain should the stock be called away.
Two other metrics I require are: call premium should be at least 1% or greater
of my basis and the expiration date should be out far enough that I get the
dividend; provided the stock is not called away earlier than the ex-dividend
date.
See the effect on the 2016 Portfolio in the table below.
M*MoneyMadam
Disclosure: Long all holdings