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HIO

Western Asset High Income Opportunity FundNYSE:HIO Stock Report

Last Price

US$4.96

Market Cap

US$471.7m

7D

-1.8%

1Y

1.0%

Updated

16 Jan, 2022

Data

Company Financials
HIO fundamental analysis
Snowflake Score
Valuation3/6
Future Growth0/6
Past Performance3/6
Financial Health6/6
Dividends3/6

HIO Stock Overview

Western Asset High Income Opportunity Fund Inc.

Price History & Performance

Summary of all time highs, changes and price drops for Western Asset High Income Opportunity Fund
Historical stock prices
Current Share PriceUS$4.96
52 Week HighUS$5.43
52 Week LowUS$4.88
Beta0.55
1 Month Change-2.17%
3 Month Change-4.98%
1 Year Change1.02%
3 Year Change6.44%
5 Year Change-1.20%
Change since IPO-59.92%

Recent News & Updates

Nov 17

Western Asset High Income Opportunity Fund declares $0.0325 dividend

Western Asset High Income Opportunity Fund (HIO) declares $0.0325/share monthly dividend, in line with previous.Forward yield 7.78%Payable Dec. 31; for shareholders of record Dec. 23; ex-div Dec. 22.Payable Feb. 1; for shareholders of record Jan. 22; ex-div Jan. 21.Payable Mar. 1; for shareholders of record Feb. 19; ex-div Feb. 18.See HIO Dividend Scorecard, Yield Chart, & Dividend Growth.

Shareholder Returns

HIOUS Capital MarketsUS Market
7D-1.8%-1.6%-0.5%
1Y1.0%30.2%13.7%

Return vs Industry: HIO underperformed the US Capital Markets industry which returned 30.2% over the past year.

Return vs Market: HIO underperformed the US Market which returned 13.7% over the past year.

Price Volatility

Is HIO's price volatile compared to industry and market?
HIO volatility
HIO Average Weekly Movement1.7%
Capital Markets Industry Average Movement0.7%
Market Average Movement6.6%
10% most volatile stocks in US Market15.9%
10% least volatile stocks in US Market2.4%

Stable Share Price: HIO is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 2% a week.

Volatility Over Time: HIO's weekly volatility (2%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1993n/aKen Fullerhttps://institutional.myleggmason.com/portal/server.pt?open=512&objID=1377&cached=true&mode=2&userID=225408&mktcd=HIO

Western Asset High Income Opportunity Fund Inc. is a closed ended fixed-income mutual fund launched and managed by Legg Mason Partners Fund Advisor, LLC. It is co-managed by Western Asset Management Company and Western Asset Management Company Limited. The fund invests in the fixed income markets of the United States.

Western Asset High Income Opportunity Fund Fundamentals Summary

How do Western Asset High Income Opportunity Fund's earnings and revenue compare to its market cap?
HIO fundamental statistics
Market CapUS$471.69m
Earnings (TTM)US$56.43m
Revenue (TTM)US$36.30m

8.4x

P/E Ratio

13.0x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
HIO income statement (TTM)
RevenueUS$36.30m
Cost of RevenueUS$0
Gross ProfitUS$36.30m
Expenses-US$20.12m
EarningsUS$56.43m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.59
Gross Margin100.00%
Net Profit Margin155.43%
Debt/Equity Ratio0.0%

How did HIO perform over the long term?

See historical performance and comparison

Dividends

5.4%

Current Dividend Yield

63%

Payout Ratio

Does HIO pay a reliable dividends?

See HIO dividend history and benchmarks
When do you need to buy HIO by to receive an upcoming dividend?
Western Asset High Income Opportunity Fund dividend dates
Ex Dividend DateJan 21 2022
Dividend Pay DateFeb 01 2022
Days until Ex dividend3 days
Days until Dividend pay date14 days

Does HIO pay a reliable dividends?

See HIO dividend history and benchmarks

Valuation

Is Western Asset High Income Opportunity Fund undervalued compared to its fair value and its price relative to the market?

8.36x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: HIO ($4.96) is trading above our estimate of fair value ($3.37)

Significantly Below Fair Value: HIO is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: HIO is good value based on its PE Ratio (8.4x) compared to the US Capital Markets industry average (15.9x).

PE vs Market: HIO is good value based on its PE Ratio (8.4x) compared to the US market (17.4x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate HIO's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: HIO is good value based on its PB Ratio (0.9x) compared to the US Capital Markets industry average (42.4x).

Future Growth

How is Western Asset High Income Opportunity Fund forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

3.7%

Forecasted Diversified Financials industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Western Asset High Income Opportunity Fund has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.

Past Performance

How has Western Asset High Income Opportunity Fund performed over the past 5 years?

-1.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HIO has a large one-off gain of $25.0M impacting its September 30 2021 financial results.

Growing Profit Margin: HIO's current net profit margins are higher than last year (36.8%).


Past Earnings Growth Analysis

Earnings Trend: HIO's earnings have declined by 1.3% per year over the past 5 years.

Accelerating Growth: HIO's earnings growth over the past year (210.8%) exceeds its 5-year average (-1.3% per year).

Earnings vs Industry: HIO earnings growth over the past year (210.8%) exceeded the Capital Markets industry 86.4%.


Return on Equity

High ROE: HIO's Return on Equity (10.9%) is considered low.

Financial Health

How is Western Asset High Income Opportunity Fund's financial position?


Financial Position Analysis

Short Term Liabilities: HIO's short term assets ($14.5M) exceed its short term liabilities ($8.6M).

Long Term Liabilities: HIO has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: HIO is debt free.

Reducing Debt: HIO has not had any debt for past 5 years.

Debt Coverage: HIO has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: HIO has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Dividend

What is Western Asset High Income Opportunity Fund current dividend yield, its reliability and sustainability?

5.44%

Current Dividend Yield


Upcoming Dividend Payment

TodayJan 17 2022Ex Dividend DateJan 21 2022Dividend Pay DateFeb 01 202211 days from Ex DividendBuy in the next 3 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: HIO's dividend (5.44%) is higher than the bottom 25% of dividend payers in the US market (1.32%).

High Dividend: HIO's dividend (5.44%) is in the top 25% of dividend payers in the US market (3.44%)


Stability and Growth of Payments

Stable Dividend: HIO's dividend payments have been volatile in the past 10 years.

Growing Dividend: HIO's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (62.8%), HIO's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.

Management

How experienced are the management team and are they aligned to shareholders interests?

14.9yrs

Average board tenure


CEO

Ken Fuller (63 yo)

8.58yrs

Tenure

Mr. Kenneth Donald Fuller, also known as Ken, has been Chief Executive Officer and President of Western Asset High Income Opportunity Fund Inc. and LMP Corporate Loan Fund Inc. since June 1, 2013. He serve...


Board Members

Experienced Board: HIO's board of directors are seasoned and experienced ( 14.9 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Western Asset High Income Opportunity Fund Inc.'s employee growth, exchange listings and data sources


Key Information


Location

  • Western Asset High Income Opportunity Fund Inc.
  • 620 Eighth Avenue
  • 49th Floor
  • New York
  • New York
  • 10018
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/16 23:13
End of Day Share Price2022/01/14 00:00
Earnings2021/09/30
Annual Earnings2021/09/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.