Blackrock Floating Rate Income Strategies Fund Inc Common Stock (FRA)

FairStock Score: 58/100 — STEADY

Key Financials

AI Analysis

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

I start by asking what I own. This is not an operating company with a moat; it is a closed-end fund managed by BlackRock, holding floating-rate, below-investment-grade loans and bonds. The fund's economics depend on credit selection, leverage, and the spread between what it earns and what it pays to finance itself. The given numbers show a mixed picture. At the 2026-10-13 close of $10.21, FairStock's price-to-book is 0.90, so the market price sits below stated book value. The dividend yield is 13.93%, and beta is 0.41, suggesting a high-income, lower-market-sensitivity vehicle. But the earnings side is thin: FairStock shows a P/E of 24.90, ROE of 3.41%, and ROCE of 3.86%. The Graham Number is $10.25, leaving only a 0.39% margin of safety—essentially no cushion. Financial-health scores are weak: Piotroski F-score 2/9 and Altman Z-score 1.65. The Lynch category is none because only 0 years of filed results are available; I would want three years to judge consistency. Leverage, shown by D/E of 0.23, is not extreme, but credit risk in below-investment-grade loans matters. The 52-week range is $10.16-$12.75, and at $10.21 the price is near the low. That can mean opportunity if distributions are covered and credit holds, or it can signal concern about future distributions. Growth data are unavailable, so I cannot judge revenue or profit trajectory. As a Graham-style bargain, the discount to book is modest, the margin of safety is negligible, and the quality scores are poor. I would need evidence that the high distribution is sustainable before calling this a true value opportunity.

In plain English: This is a closed-end fund managed by BlackRock that invests mainly in floating-rate, below-investment-grade loans and bonds. Based on the given numbers, its earnings power looks weak and its financial-health scores are low, but the shares trade at a small discount to book value and offer a very high dividend yield. The price looks close to its accounting value, not obviously cheap or expensive.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 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