- How To YieldBoost BAH To 6% Using Options
Sep 19, 2025
Shareholders of Booz Allen Hamilton Holding Corp. (Symbol: BAH) looking to boost their income beyond the stock's 2.2% annualized dividend yield can sell the January 2028 covered call at the $145 strike and collect the premium based on the $9.10 bid, which annualizes to an additional 3.9% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 6% annualized rate in the scenario where the stock is not called away. Any upside above $145 would be lost if the stock rises there and is called away, but BAH shares would have to climb 43.9% from current levels for that to occur, meaning that in the scenario where the stock is called, the shareholder has earned a 53% return from this trading level, in addition to any dividends collected before the stock was called.
In general, dividend amounts are not always predictable and tend to follow the ups and downs of profitability at each company. In the case of Booz Allen Hamilton Holding Corp., looking at the dividend history chart for BAH below can help in judging whether the most recent dividend is likely to continue, and in turn whether it is a reasonable expectation to expect a 2.2% annualized dividend yield.
Below is a chart showing BAH's trailing twelve month trading history, with the $145 strike highlighted in red:
The chart above, and the stock's historical volatility, can be a helpful guide in combination with fundamental analysis to judge whether selling the January 2028 covered call at the $145 strike gives good reward for the risk of having given away the upside beyond $145. (Do most options expire worthless? This and six other common options myths debunked). We calculate the trailing twelve month volatility for Booz Allen Hamilton Holding Corp. (considering the last 250 trading day closing values as well as today's price of $100.81) to be 39%. For other call options contract ideas at the various different available expirations, visit the BAH Stock Options page of StockOptionsChannel.com.
In mid-afternoon trading on Friday, the put volume among S&P 500 components was 1.40M contracts, with call volume at 2.79M, for a put:call ratio of 0.50 so far for the day. Compared to the long-term median put:call ratio of .65, that represents very high call volume relative to puts; in other words, buyers are preferring calls in options trading so far today. Find out which 15 call and put options traders are talking about today.
Top YieldBoost Calls of the S&P 500 »
Also see: KMPH Videos
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
- Emerson Electric stock hits all-time high at 147.01 USD
Jul 24, 2025
Emerson (NYSE:EMR) Electric stock reached a significant milestone, hitting an all-time high of 147.01 USD, with the company now commanding a substantial market capitalization of $82.4 billion. According to InvestingPro analysis, the stock appears to be trading above its Fair Value, suggesting investors should carefully consider entry points. This achievement underscores the company’s robust performance and investor confidence over the past year. Emerson Electric has delivered an impressive 31.06% return over the past year, supported by strong fundamentals including a 52.77% gross profit margin and $2.76 billion in levered free cash flow. As the company continues to innovate and expand its market presence, this new peak serves as a testament to its growing influence in the industry. InvestingPro subscribers have access to 18 additional key insights about Emerson Electric’s financial health and growth prospects through the comprehensive Pro Research Report.
In other recent news, Emerson has integrated its Nigel AI Advisor into its flagship test software products, enhancing productivity for engineers using LabVIEW and TestStand programs. This AI tool is built on large language models and is specifically trained on NI software to analyze code and provide improvement recommendations. Additionally, Emerson’s Aspen Technology (NASDAQ:AZPN) business has partnered with TotalEnergies (EPA:TTEF) to implement large-scale industrial data collection solutions across TotalEnergies’ sites worldwide, utilizing AspenTech Inmation technology for real-time data centralization. Emerson also introduced its Ovation AI-enabled Virtual Advisor, which is integrated into an automation system for power and water industries, offering features like maintenance forecasting and process optimization.
In analyst news, TD Cowen maintained a Buy rating on Emerson, with a price target set at $150.00, as analyst Joe Giordano assumed coverage. Meanwhile, KeyBanc raised its price target for Emerson to $155.00, maintaining an Overweight rating and highlighting Emerson’s strong margins and growth potential. These developments underscore Emerson’s ongoing transformation into a focused industrial automation company.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.
- Emerson Extends Tender Offer to Accommodate S&P MidCap 400 Index Change
Mar 10, 2025
Tender Offer to Now Expire at 5:00 p.m. Eastern Time on March 11, 2025
ST. LOUIS, March 10, 2025 /PRNewswire/ -- Emerson (NYSE: EMR) today announced that it has extended the expiration of its tender offer to acquire all outstanding shares of common stock of Aspen Technology, Inc. (NASDAQ: AZPN) ("AspenTech") not already owned by Emerson to 5:00 p.m. Eastern Time on March 11, 2025. This one business day extension is to accommodate the settlement and tendering of shares of AspenTech common stock that may be sold due to the S&P MidCap 400 index change. S&P Global previously announced that AspenTech will be replaced in the index effective prior to the opening of trading on March 11, 2025.Emerson (PRNewsfoto/Emerson)
The tender offer remains subject to the satisfaction of the conditions specified in the offer to purchase. Holders that have previously tendered their shares do not need to re-tender their shares or take any other action.
Equiniti Trust Company, LLC, the depository and paying agent for the tender offer, has advised Emerson that, as of March 7, 2025, the last business day prior to the announcement of the extension of the tender offer, approximately 6,715,211 shares had been validly tendered and not validly withdrawn.
As detailed in a statement on February 10, 2025, the $265 per share price for all the outstanding shares of common stock not already owned by Emerson represents its best and final price.
Innisfree M&A Incorporated is acting as information agent for the tender offer. Requests for documents and questions regarding the tender offer may be directed to Innisfree M&A Incorporated by telephone, toll-free at +1 (877) 456-3524 (from the U.S. and Canada) or +1 (412) 232-3651 (from other locations).
About Emerson
Emerson (NYSE: EMR) is a global industrial technology leader that provides advanced automation. With an unmatched portfolio of intelligent devices, control systems, and industrial software, Emerson delivers solutions that automate and optimize business performance. Headquartered in Saint Louis, Missouri, Emerson combines innovative technology with proven operational excellence to power the future of automation. For more information, visit Emerson.com.
Forward-Looking and Cautionary Statements
Statements in this press release that are not strictly historical may be "forward-looking" statements, which involve risks and uncertainties, and Emerson undertakes no obligation to update any such statements to reflect later developments. These risks and uncertainties include the scope, duration and ultimate impacts of the Russia-Ukraine and other global conflicts, as well as economic and currency conditions, market demand, pricing, protection of intellectual property, cybersecurity, tariffs, competitive and technological factors, inflation, among others, as set forth in the Company's most recent Annual Report on Form 10-K and subsequent reports filed with the SEC. The outlook contained herein represents the Company's expectation for its consolidated results, other than as noted herein.
Story Continues
Emerson uses our Investor Relations website, www.Emerson.com/investors, as a means of disclosing information which may be of interest or material to our investors and for complying with disclosure obligations under Regulation FD. Accordingly, investors should monitor our Investor Relations website, in addition to following our press releases, SEC filings, public conference calls, webcasts and social media. The information contained on, or that may be accessed through, our website is not incorporated by reference into, and is not a part of, this document.
ADDITIONAL INFORMATION AND WHERE TO FIND IT
This communication is for informational purposes only and is neither an offer to purchase nor a solicitation of an offer to sell shares of AspenTech, nor is it a substitute for any tender offer materials that Emerson, Emersub CXV, Inc. ("Purchaser") or AspenTech have filed with the SEC. Emerson and Purchaser have filed a Tender Offer Statement on Schedule TO with the SEC containing an offer to purchase all of the outstanding shares of common stock of AspenTech not already owned by Emerson for $265 per share and a Schedule 13E-3, and AspenTech has filed a Solicitation/Recommendation Statement on Schedule 14D-9 with the SEC with respect to the tender offer and a Schedule 13E-3. The tender offer is being made solely by means of the Offer to Purchase, and the exhibits filed with respect thereto (including the Letter of Transmittal), which contain the full terms and conditions of the tender offer. ASPENTECH'S STOCKHOLDERS AND OTHER INVESTORS ARE URGED TO READ THE TENDER OFFER MATERIALS (INCLUDING THE OFFER TO PURCHASE, THE RELATED LETTER OF TRANSMITTAL AND OTHER TENDER OFFER DOCUMENTS), THE SCHEDULE 13E-3 AND THE SOLICITATION/RECOMMENDATION STATEMENT (AS EACH MAY BE AMENDED OR SUPPLEMENTED FROM TIME TO TIME) BECAUSE THEY CONTAIN IMPORTANT INFORMATION WHICH SHOULD BE READ CAREFULLY BEFORE ANY DECISION IS MADE WITH RESPECT TO THE TENDER OFFER. The Offer to Purchase, the related Letter of Transmittal and other tender offer documents, the Schedule 13E-3, as well as the Solicitation/Recommendation Statement, have been sent to all stockholders of AspenTech at no expense to them. The Tender Offer Statement and the Solicitation/Recommendation Statement are available for free at the SEC's website at www.sec.gov. Additional copies may be obtained for free by contacting Emerson or AspenTech. Free copies of these materials and certain other offering documents are available for request by mail to Emerson Electric Co., 8027 Forsyth Boulevard, St. Louis, Missouri 63105 attention: Colleen Mettler, by phone at (314) 553-2197, or by directing requests for such materials to the information agent for the offer, Innisfree M&A Incorporated. Copies of the documents filed with the SEC by AspenTech are available free of charge under the "Investor Relations" section of AspenTech's internet website at http://ir.aspentech.com/.
In addition to the Offer to Purchase, the related Letter of Transmittal and certain other tender offer documents, the Schedule 13E-3 as well as the Solicitation/Recommendation Statement, Emerson and AspenTech file annual, quarterly and current reports, proxy statements and other information with the SEC. Emerson's and AspenTech's filings with the SEC are also available for free to the public from commercial document-retrieval services and at the website maintained by the SEC at www.sec.gov.
Contacts
Investors
Colleen Mettler
314-553-2197
Media
Joseph Sala / Greg Klassen / Connor Murphy
Joele Frank, Wilkinson Brimmer Katcher
212-355-4449Cision
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- Emerson Extends Tender Offer to Accommodate S&P MidCap 400 Index Change
Mar 10, 2025 · prnewswire.com
Tender Offer to Now Expire at 5:00 p.m. Eastern Time on March 11, 2025 ST.
- EMERSON EXTENDS TENDER OFFER TO ACCOMMODATE S&P MIDCAP 400 INDEX CHANGE
Mar 10, 2025
TENDER OFFER TO NOW EXPIRE AT 5:00 P.M. EASTERN TIME ON MARCH 11, 2025 ST.
- Aspen Technology (AZPN) Down 0.1% Since Last Earnings Report: Can It Rebound?
Mar 6, 2025
A month has gone by since the last earnings report for Aspen Technology (AZPN). Shares have lost about 0.1% in that time frame, outperforming the S&P 500.
Will the recent negative trend continue leading up to its next earnings release, or is Aspen Technology due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important catalysts.
Aspen's Q2 Earnings & Revenues Beat Estimates
Aspen reported second-quarter fiscal 2025 non-GAAP earnings per share (EPS) of $2.06, which surpassed the Zacks Consensus Estimate of $1.85 by 11.4%. The figure jumped 50.4% from the year-ago non-GAAP earnings of $1.37.
The company reported revenues of $303.6 million, which beat the Zacks Consensus Estimate of $294.5 by 3.1% and jumped 18% from $257.2 million in the year-ago quarter.
Aspen’s Quarter in Detail
License’s revenues (62% of revenues) were up 23.5% year over year to $188.2 million. Maintenance’s revenues (29.8% of revenues) rose 6.5% to $90.6 million. Revenues from Services and other (8.2% of revenues) surged 25.9% to $24.7 million.
As of Dec. 31, 2024, annual contract value or ACV ( which Aspen Technology defines as the estimate of the annual value of our portfolio of term license and software maintenance and support, or SMS, contracts, the annual value of SMS agreements purchased with perpetual licenses and the annual value of standalone SMS agreements purchased with certain legacy term license agreements, which have become an immaterial part of its business) amounted to $964.9 million, up 9.2% year over year and 2.5% quarter over quarter.
Margins
Gross profit increased 29% to $209.3 million from the year-ago quarter figure of $162.2 million. As a percentage of total revenues, the figure reached 68.9% from 63.1% reported in the prior-year quarter.
Total operating expenses amounted to $200.3 million compared with the year-ago quarter figure of $211.5 million.
Non-GAAP operating income totaled $149 million compared with $88.7 million reported in the prior-year quarter.
Balance Sheet & Cash Flow
As of Dec. 31, 2024, cash and cash equivalents were $181.8 million compared with $237 million as of June 30, 2024. The decrease was due to the effects of share repurchases under the company’s fiscal 2025 buyback program in the first quarter of fiscal 2025, along with a net cash outflow of $36.5 million in the second quarter for acquiring Open Grid Systems Limited.
Story Continues
In October 2024, Aspen announced its agreement to acquire Open Grid Systems, which will enhance its DGM suite with advanced network model management and data infrastructure. As of Dec. 31, 2024, Aspen had no outstanding borrowings under its revolving credit facility, with $194.5 million available.
The company generated $38.1 million in cash from operations compared with $29.8 million reported in the year-ago quarter. Non-GAAP free cash flow was $36.4 million in the fiscal second quarter compared with free cash flow of $29.2 million in the prior-year quarter.
In the second quarter of fiscal 2025, Aspen repurchased $2.2 million worth of shares.
Fiscal 2025 Outlook
Aspen will not hold an earnings conference call for its second-quarter fiscal 2025 results or provide guidance due to its agreement and plan of merger with Emerson Electric Co. (EMR) and Emersub CXV, Inc., which was signed on Jan. 26, 2025.
Per the deal, EMR will acquire all remaining outstanding shares of Aspen’s common stock that it does not already own. The agreement, structured as an all-cash tender offer, values the minority stake at $7.2 billion, with a per-share price of $265.00.
This transaction places Aspen’s total market capitalization at $17 billion on a fully diluted basis, with an enterprise value of $16.8 billion. As previously stated, the tender offer requires a non-waivable condition that a majority of Aspen's common stock held by minority shareholders must be tendered and remain unwithdrawn. The transaction is anticipated to close in the first half of 2025, subject to customary closing conditions.
How Have Estimates Been Moving Since Then?
It turns out, estimates revision have trended downward during the past month.
VGM Scores
Currently, Aspen Technology has an average Growth Score of C, a grade with the same score on the momentum front. However, the stock was allocated a grade of F on the value side, putting it in the fifth quintile for this investment strategy.
Overall, the stock has an aggregate VGM Score of F. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been broadly trending downward for the stock, and the magnitude of this revision indicates a downward shift. Notably, Aspen Technology has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
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Aspen Technology, Inc. (AZPN) : Free Stock Analysis Report
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- Are Options Traders Betting on a Big Move in Aspen (AZPN) Stock?
Mar 6, 2025
Investors in Aspen Technology, Inc. AZPN need to pay close attention to the stock based on moves in the options market lately. That is because the Apr 17, 2025 $140.00 Put had some of the highest implied volatility of all equity options today.
What is Implied Volatility?
Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon that may cause a big rally or a huge sell-off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.
What do the Analysts Think?
Clearly, options traders are pricing in a big move for Aspen shares, but what is the fundamental picture for the company? Currently, Aspen is a Zacks Rank #3 (Hold) in the Internet - Software industry that ranks in the Bottom 45% of our Zacks Industry Rank. Over the last 60 days, no analysts have increased their earnings estimates for the current quarter, while one analyst has revised the estimate downward. The net effect has taken our Zacks Consensus Estimate for the current quarter from earnings of $1.65 per share to $1.60 in that period.
Given the way analysts feel about Aspen right now, this huge implied volatility could mean there’s a trade developing. Oftentimes, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected.
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Aspen Technology, Inc. (AZPN) : Free Stock Analysis Report
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- Albertsons Companies Set to Join S&P MidCap 400
Mar 4, 2025
NEW YORK, March 4, 2025 /PRNewswire/ -- Albertsons Companies Inc. (NYSE: ACI) will replace Aspen Technology Inc. (NASD: AZPN) in the S&P MidCap 400 effective prior to the opening of trading on Tuesday, March 11. S&P 500 constituent Emerson Electric Co. (NYSE: EMR) is acquiring Aspen Technology in a deal expected to be completed soon, pending final closing conditions.
Following is a summary of the changes that will take place prior to the open of trading on the effective date:
Effective Date Index Name Action Company Name Ticker GICS Sector March 11, 2025 S&P MidCap 400 Addition Albertsons Companies ACI Consumer Staples March 11, 2025 S&P MidCap 400 Deletion Aspen Technology AZPN Information Technology
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- Activist Elliott takes a stake in Aspen Technology and pushes back on an offer from Emerson
Mar 1, 2025 · cnbc.com
Elliott Investment Management has a $1.5 billion stake in Aspen Technology, and the activist disagrees with a tender offer from Emerson Electric.
- SHAREHOLDER ALERT: Levi & Korsinsky, LLP Notifies Investors of an Investigation into Aspen Technology Inc.
Feb 28, 2025 · accessnewswire.com
NEW YORK, NY / ACCESS Newswire / February 28, 2025 / The following statement is being issued by Levi & Korsinsky, LLP: To: All Persons or Entities who own Aspen Technology Inc. ("AZPN" or the "Company") (NASDAQ:AZPN) stock purchased prior to January 27, 2025. You are hereby notified that Levi & Korsinsky, LLP has commenced an investigation into the fairness of the merger of Aspen Technology Inc. and Emerson Electric (EMR), whether the Board of AZPN have harmed stockholders by agreeing to enter into this transaction, and whether all material facts have been properly disclosed to stockholders.
