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HPS vs NMAI

HPS
John Hancock Preferred Income Fund III
NEUTRAL
Price
$14.55
Market Cap
$468.1M
Sector
Financial Services
AI Confidence
85%
NMAI
Nuveen Multi-Asset Income Fund
NEUTRAL
Price
$13.88
Market Cap
$463.9M
Sector
Financial Services
AI Confidence
75%

Valuation

P/E Ratio
HPS
12.44
NMAI
5.71
Forward P/E
HPS
--
NMAI
--
P/B Ratio
HPS
1.01
NMAI
--
P/S Ratio
HPS
9.13
NMAI
--
EV/EBITDA
HPS
--
NMAI
--

Profitability

Gross Margin
HPS
100.0%
NMAI
0.0%
Operating Margin
HPS
88.5%
NMAI
0.0%
Profit Margin
HPS
73.63%
NMAI
0.0%
ROE
HPS
8.14%
NMAI
--
ROA
HPS
3.82%
NMAI
--

Growth

Revenue Growth
HPS
1.1%
NMAI
--
Earnings Growth
HPS
-5.1%
NMAI
--

Financial Health

Debt/Equity
HPS
0.59
NMAI
--
Current Ratio
HPS
2.82
NMAI
--
Quick Ratio
HPS
1.48
NMAI
--

Dividends

Dividend Yield
HPS
9.07%
NMAI
10.03%
Payout Ratio
HPS
112.82%
NMAI
57.84%

AI Verdict

HPS NEUTRAL

HPS presents as a stable but stagnant income vehicle, characterized by a Piotroski F-Score of 6/9 indicating stable financial health. While the Graham Number of $19.45 suggests a defensive undervaluation, this is countered by a low growth-based intrinsic value of $8.19 and a bearish technical trend. The primary concern is a dividend payout ratio of 112.82%, which indicates the current 9.07% yield is unsustainable and being funded by capital rather than earnings. Overall, the fund is a classic yield trap with strong margins but declining earnings growth.

Strengths
Strong profit margins (73.63%) and operating margins (88.50%)
Trading near book value (P/B 1.01)
Low Debt/Equity ratio (0.59) compared to sector average (1.38)
Risks
Unsustainable dividend payout ratio (112.82%)
Negative earnings growth (-5.10% YoY and -4.80% Q/Q)
Stagnant revenue growth (1.10% YoY)
NMAI NEUTRAL

NMAI presents a stark contradiction between its deterministic health markers and its value profile. The Piotroski F-Score of 1/9 indicates severe fundamental weakness by corporate standards, which heavily weighs down the health assessment. However, the fund is trading at a significant discount to its intrinsic value of $17.01 and offers a robust 10.03% dividend yield with a sustainable payout ratio. While long-term price performance is strong, the current technical trend is sharply bearish (10/100), suggesting a period of consolidation or decline despite the valuation gap.

Strengths
High dividend yield of 10.03%
Trading significantly below intrinsic value ($13.88 vs $17.01)
Strong long-term price appreciation (69% over 3 years)
Risks
Critically low Piotroski F-Score (1/9) indicating poor financial health
Strongly bearish technical trend (10/100)
Zero reported operating and profit margins

Compare Another Pair

HPS vs NMAI: Head-to-Head Comparison

This page compares John Hancock Preferred Income Fund III (HPS) and Nuveen Multi-Asset Income Fund (NMAI) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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