Neuberger Municipal Fund Inc. Common Stock (NBH)

FairStock Score: 38/100 — MIXED

Key Financials

AI Analysis

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

I look at a closed-end municipal bond fund through asset value, income, leverage, and credit quality rather than a conventional operating-company moat. At the 2026-10-13 close of $8.96, FairStock's P/B is 0.80, and its Graham Number is $13.30, a 32.63% margin of safety. That discount is the main draw. The fund also shows a 6.76% dividend yield and a beta of 0.66, suggesting a lower-volatility income vehicle. It invests in U.S. municipal bonds, primarily federally tax-exempt and with remaining maturities under 15 years, seeking securities rated in the four highest categories. But the quality case is not strong. FairStock's P/E is 12.80, ROE is 6.22%, and ROCE is 2.68%. Leverage, shown by a D/E of 0.69, magnifies both income and risk. The Piotroski F-Score is 1/9 and the Altman Z-Score is 0.63, both weak, though such accounting tests are imperfect for a fund. FairStock's score is 38/100. Growth data is unavailable—no revenue or profit growth figures are provided—and the Lynch category is none because only zero years of filed results are available versus three needed. As a Graham-style investor, I see an asset-value discount and high current income, but I would need evidence that distributions are covered, leverage is stable, and credit losses are not eroding net asset value. Otherwise, the cheapness may be deserved rather than a true margin of safety.

In plain English: Neuberger Municipal Fund is a closed-end fund that invests mostly in U.S. municipal bonds, aiming for federal tax-exempt income. Its business looks mixed: it earns modest returns, uses some borrowed money, and its financial-quality signals are weak, while growth figures are not available. At the 2026-10-13 close of $8.96, the shares look inexpensive against stated book value and a simple asset-based estimate, and they pay a high income distribution, but the weak quality signs mean it is not a clear bargain.

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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