NMZ: 8% Yield On Muni Assets

Double Dividend Stocks Investing Group Leader Follow Summary Nuveen Municipal High Income Opportunity Fund targets high, tax-exempt income, offering an 8.2% yield and a 9.82% five-year dividend growth rate. NMZ recently merged with three other Nuveen funds, expanding assets but facing weak distribution coverage (0.55x) and NAV erosion. Despite outperformance versus peers over 1, 3, and 10 years, NMZ's current 0.73% NAV discount is less attractive than historical averages. We rate NMZ a Hold given its modest NAV discount and concerns over distribution coverage and NAV decline. Looking for a helping hand in the market? Members of Hidden Dividend Stocks Plus get exclusive ideas and guidance to navigate any climate. Learn More » Mohamad Faizal Bin Ramli/iStock via Getty Images Looking for high-yield income with a tax break? There are several closed-end funds, or CEFs, which provide that, including the Nuveen Municipal High Income Opportunity Fund ( NMZ ). Fund Profile: "The Fund's primary This article was written by Double Dividend Stocks 40.29K Followers Follow Robert Hauver, MBA, aka “Double Dividend Stocks” was VP of Finance for an industry-leading corporation for 18 years and has been investing for more than 30 years. He focuses on undercovered and undervalued income vehicles and he leads the investing group Hidden Dividend Stocks Plus.With Hidden Dividend Stocks Plus he scours the world's markets to find solid income opportunities with dividend yields ranging from 5% to 10% or more, backed by strong earnings. Features include: a portfolio with up to 40 holdings at a time including links to associated articles, a dividend calendar, weekly research articles, exclusive ideas, and trade alerts. Learn More. Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Disclaimer: This article was written for informational purposes only, and is not intended as personal investment advice. Please practice due diligence before investing in any investment vehicle mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.