Putnam Managed Municipal Income Trust Common Stock (PMM)

FairStock Score: 44/100 — MIXED

Key Financials

AI Analysis

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

I look for durable assets bought at a discount. This trust is not an operating company; it is a closed-end municipal bond fund managed by Putnam. It owns U.S. tax-exempt municipal securities, including high-yield issues rated below investment grade. That can produce income, but credit risk is real. The fund's competitive position is thin: it has a manager and a portfolio, not a wide moat. Financial health on the supplied data is mixed. Debt-to-equity is 0.05 and Altman Z-Score is 7.06, which look strong, though such measures are less meaningful for a fund. Profitability is modest: FairStock calculates ROE at 3.06% and ROCE at 2.63%. FairStock's Piotroski F-Score is 1/9, a weak signal, and FairStock Score is 44/100. At the close on 2026-10-13, the price was $5.76. FairStock calculates P/B at 0.86, so the shares trade below book value, and P/E at 10.47. Its Graham Number is $10.57, implying a 45.51% margin of safety, but that formula treats a fund like an industrial and may overstate the discount. The dividend yield is 6.89%, and beta is 0.72. Growth is a blank: revenue and profit growth are N/A, and there is no Lynch category because only 0 years of filed results exist and 3 are needed. So this is a discounted income vehicle, not a compounder. The discount may reflect high-yield municipal credit risk and weak reported returns; the margin of safety is only as good as the underlying bond portfolio.

In plain English: Putnam Managed Municipal Income Trust is a publicly traded fund that owns U.S. municipal bonds paying tax-free income, including some lower-rated bonds. The fund pays a high income, but its profits and returns on capital look weak, and a financial-strength check is poor. At $5.76 on 2026-10-13, the shares look cheap compared with the fund's book value and earnings-based value, though the weak numbers may help explain why.

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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