John Hancock Premium Dividend Fund (PDT)

FairStock Score: 62/100 — STEADY

Key Financials

AI Analysis

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

As a value investor, I start by asking what I own. John Hancock Premium Dividend Fund is not an operating business with a durable moat; it is a closed-end fund holding dividend-paying preferred and common stocks, heavily weighted toward utilities. Its market cap is $642.6 million, and the shares closed at $11.88 on 2026-10-13, near the low end of the 52-week range of $11.56-$13.65. On FairStock's calculations, it trades at a P/B of 0.80 and a P/E of 4.66, with a Graham Number of $28.33 and a margin of safety of 58.07%, which sounds cheap. The 8.74% dividend yield and beta of 0.69 add appeal for income and defensiveness. But the quality signals are mixed. ROE is 18.06%, yet ROCE is only 2.88% and D/E is 0.51, so leverage is meaningful. The Piotroski F-Score is 2/9 and Altman Z-Score is 1.14, both weak, suggesting financial fragility or at least limited margin of safety in the underlying numbers. There is no revenue or profit growth data provided, and the Lynch category is none because there are only 0 years of filed results, not the three needed. That means I cannot judge growth or consistency. The cheapness may reflect distribution sustainability, rate sensitivity, or leverage risks rather than a bargain. I would want more filed history and clear NAV/discount information before trusting the high yield. Without that, it is a speculative income vehicle, not a classic Buffett-style compounding business.

In plain English: John Hancock Premium Dividend Fund is a closed-end fund that owns dividend-paying preferred and common stocks, with an emphasis on utilities. Its numbers show a high income yield and a price below its accounting book value, but other financial-health checks look weak. The price looks inexpensive on some measures, though the fund's income and stability depend on its holdings and leverage.

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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