MFS Investment Grade Municipal Trust Common Stock (CXH)

FairStock Score: 46/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

As a value investor, I start by asking what I own. CXH is not an operating company but a closed-end fund launched in 1989 that invests in U.S. tax-exempt municipal bonds and notes, managed by Massachusetts Financial Services. Its economic engine is the spread between municipal bond income and expenses, plus any leverage; the supplied D/E of 0.62 means borrowed money is part of the return equation. Competitive moat? For a fund, there is little moat beyond MFS's management and the tax-exempt mandate, because investors can choose many municipal bond funds. Financial health is weak: FairStock's Piotroski F-Score is 1/9, Altman Z-Score is 0.82, ROE is 0.16%, and ROCE is 2.48%. At the 2026-06-08 close of $8.48, FairStock's P/B is 0.98, so it trades slightly below book value, but P/E is 424 and Graham Number is $1.97. The Graham margin of safety is -330.46%, meaning the price is far above that earnings-based yardstick. The dividend yield is 5.32%, beta is 0.67, and the 52-week range is $7.49-$8.48, so it sits at the high end. FairStock Score is 46/100. Growth trajectory cannot be assessed: revenue and profit growth are N/A, and there is no Peter Lynch category because only 0 years of filed results are available. I see an income vehicle with a modest discount to book, but not a classic Graham bargain. I would want stronger earnings, lower leverage, and a clearer margin of safety before calling it compelling.

In plain English: MFS Investment Grade Municipal Trust is a closed-end fund that owns U.S. municipal bonds and notes, mostly tax-exempt, and is managed by MFS. The fund looks weak on profit measures: it earns very little relative to its price, though it pays a 5.32% distribution. At $8.48 it trades near its underlying asset value, but compared with its tiny earnings and weak financial-health scores, the price looks fair to expensive rather than clearly cheap.

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Data as of 2026-06-08 close · note generated 2026-10-15 · model deepseek-flash

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer