LMP Capital and Income Fund Inc. Common Stock (SCD)

FairStock Score: 54/100 — MIXED

Key Financials

AI Analysis

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

I approach a closed-end balanced fund differently from an operating business. LMP Capital and Income invests globally in public equities and fixed income, so its 'moat' is mostly the manager's process and the fund's closed-end structure, not a durable competitive advantage. At the 2026-10-13 close of $14.96, FairStock's numbers show a P/E of 4.90, P/B of 0.87, dividend yield of 9.44%, and a Graham Number of $33.66. That implies a margin of safety of 55.56%, which is the sort of statistical cheapness Graham liked. Return on equity is 19.14%, but return on capital employed is only 1.15%, and debt-to-equity is 0.27. The wide gap between ROE and ROCE suggests leverage or portfolio accounting may be flattering the equity return. The Piotroski F-Score of 1/9 is a serious warning about fundamental momentum and accounting quality, while the Altman Z-Score of 2.89 sits in the grey zone. The FairStock Score is 54/100, and no Lynch category is assigned because there are not three years of filed results. Revenue and profit growth are listed as N/A, so I cannot judge growth trajectory. A 9.44% yield and 0.87 price-to-book may compensate for risk, but a closed-end fund can stay cheap for a long time. I would want proof that distributions are covered and that the portfolio's returns are real, not just a low price against stale book value. The margin of safety is attractive; the quality evidence is not.

In plain English: LMP Capital and Income is a fund that invests in stocks and bonds around the world. The business looks mixed: it pays a very high dividend and its price is low compared with its accounting value, but some financial health checks are weak and there is little filed history to judge. At $14.96, the price looks cheap on several measures, but that cheapness comes with real risk.

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