Nuveen Select Tax Free Income Portfolio Common Stock (NXP)

FairStock Score: 37/100 — MIXED

Key Financials

Strengths

• Altman Z-Score of 13.9 confirms minimal bankruptcy risk and strong solvency
• Attractive 4.5% dividend yield providing steady income returns

Concerns

• Trades significantly above Graham Number ($7) with negative 105% margin of safety—limited downside protection
• Weak Piotroski F-Score of 0/9 suggests deteriorating financial quality across multiple dimensions

AI Analysis

Nuveen Select Tax Free Income Portfolio Common Stock is a micro-cap financial services company valued at $740 million. Revenue stands at $34 million. From a quality standpoint, Nuveen shows weak Piotroski F-Score of 0/9 signaling deteriorating fundamentals and Altman Z-Score of 13.9 confirms fortress-level solvency. On valuation, the stock is commanding a steep 94.9x multiple, with trades far above its Graham Number ($7) with no margin of safety. The 4.5% dividend yield adds an income component for patient holders. Our composite FairStock Score of 37/100 reflects below-average fundamentals overall. Investors should weigh the business quality against the current price and their own margin of safety requirements.

Bull Case

Improving fundamentals and sector tailwinds could drive meaningful earnings growth, compressing the effective multiple for patient investors. Operational leverage in the business model means incremental revenue growth could disproportionately boost bottom-line profitability.

Bear Case

At 95x earnings, any growth disappointment triggers rapid multiple compression—a 20% earnings miss plus multiple contraction to 20x implies 40%+ downside. Regulatory changes, input cost inflation, or demand normalization represent underappreciated risks that could materially impact forward estimates.

Data from SEC filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer