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HIX

Western Asset High Income Fund IINYSE:HIX Stock Report

Last Price

US$6.73

Market Cap

US$395.7m

7D

-2.6%

1Y

-0.9%

Updated

16 Jan, 2022

Data

Company Financials
HIX fundamental analysis
Snowflake Score
Valuation4/6
Future Growth0/6
Past Performance3/6
Financial Health3/6
Dividends3/6

HIX Stock Overview

Western Asset High Income Fund II Inc. is a closed-ended fixed income mutual fund launched and managed by Legg Mason Partners Fund Advisor, LLC.

Price History & Performance

Summary of all time highs, changes and price drops for Western Asset High Income Fund II
Historical stock prices
Current Share PriceUS$6.73
52 Week HighUS$7.75
52 Week LowUS$6.64
Beta0.81
1 Month Change-0.30%
3 Month Change-7.81%
1 Year Change-0.88%
3 Year Change9.08%
5 Year Change-5.74%
Change since IPO-55.13%

Recent News & Updates

May 28

HIX: Is It Resilient Enough To Face A Period Of Higher Inflation?

HIX is heavily invested in various fixed-income securities, which could come under pressure in a period of higher inflation or rising interest rates. HIX has been able to weather the challenges of the COVID-19 pandemic exceptionally well over the last year. The fund offers a monthly distribution of $0.049, which makes up an 8.10% yield, as of 05/26/2021.

Nov 17

Western Asset High Income Fund II declares $0.049 dividend

Western Asset High Income Fund II (HIX) declares $0.049/share monthly dividend, in line with previous.Forward yield 8.53%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 HIX Dividend Scorecard, Yield Chart, & Dividend Growth.

Shareholder Returns

HIXUS Capital MarketsUS Market
7D-2.6%-1.6%-0.5%
1Y-0.9%30.2%13.7%

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

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

Price Volatility

Is HIX's price volatile compared to industry and market?
HIX volatility
HIX 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: HIX is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 2% a week.

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

About the Company

FoundedEmployeesCEOWebsite
1998n/aJane Trusthttps://institutional.myleggmason.com/portal/server.pt?open=512&objID=1377&cached=true&mode=2&userID=225408&mktcd=HIX

Western Asset High Income Fund II Inc. is a closed-ended fixed income mutual fund launched and managed by Legg Mason Partners Fund Advisor, LLC. The fund is co-managed by Western Asset Management Company, Western Asset Management Company Limited, and Western Asset Management Company Pte. Ltd.

Western Asset High Income Fund II Fundamentals Summary

How do Western Asset High Income Fund II's earnings and revenue compare to its market cap?
HIX fundamental statistics
Market CapUS$395.65m
Earnings (TTM)US$50.79m
Revenue (TTM)US$38.84m

7.8x

P/E Ratio

10.2x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
HIX income statement (TTM)
RevenueUS$38.84m
Cost of RevenueUS$0
Gross ProfitUS$38.84m
Expenses-US$11.95m
EarningsUS$50.79m

Last Reported Earnings

Oct 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.86
Gross Margin100.00%
Net Profit Margin130.77%
Debt/Equity Ratio43.6%

How did HIX perform over the long term?

See historical performance and comparison

Dividends

8.7%

Current Dividend Yield

68%

Payout Ratio

Does HIX pay a reliable dividends?

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

Does HIX pay a reliable dividends?

See HIX dividend history and benchmarks

Valuation

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

1.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: HIX ($6.73) is trading below our estimate of fair value ($6.8)

Significantly Below Fair Value: HIX is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: HIX is good value based on its PE Ratio (7.8x) compared to the US Capital Markets industry average (15.9x).

PE vs Market: HIX is good value based on its PE Ratio (7.8x) compared to the US market (17.4x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: HIX is good value based on its PB Ratio (1x) compared to the US Capital Markets industry average (42.4x).

Future Growth

How is Western Asset High Income Fund II 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 Fund II 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 Fund II performed over the past 5 years?

-11.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HIX has a large one-off gain of $18.5M impacting its October 31 2021 financial results.

Growing Profit Margin: HIX's current net profit margins are higher than last year (12.8%).


Past Earnings Growth Analysis

Earnings Trend: HIX's earnings have declined by 11.4% per year over the past 5 years.

Accelerating Growth: HIX's earnings growth over the past year (595%) exceeds its 5-year average (-11.4% per year).

Earnings vs Industry: HIX earnings growth over the past year (595%) exceeded the Capital Markets industry 86.4%.


Return on Equity

High ROE: HIX's Return on Equity (12.3%) is considered low.

Financial Health

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


Financial Position Analysis

Short Term Liabilities: HIX's short term assets ($16.7M) do not cover its short term liabilities ($196.2M).

Long Term Liabilities: HIX has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: HIX's net debt to equity ratio (43%) is considered high.

Reducing Debt: HIX's debt to equity ratio has increased from 36.8% to 43.6% over the past 5 years.

Debt Coverage: HIX's debt is well covered by operating cash flow (123.9%).

Interest Coverage: HIX's interest payments on its debt are well covered by EBIT (24.3x coverage).


Balance Sheet

Dividend

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

8.74%

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: HIX's dividend (8.74%) is higher than the bottom 25% of dividend payers in the US market (1.32%).

High Dividend: HIX's dividend (8.74%) is in the top 25% of dividend payers in the US market (3.44%)


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (68.1%), HIX'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?

3.0yrs

Average management tenure


CEO

Jane Trust (59 yo)

7yrs

Tenure

Ms. Jane Elizabeth Trust, CFA, serves as Chief Executive Officer and President at Legg Mason Partners Fund Advisor, LLC. Ms. Trust has been Chairman of the Board, President and Chief Executive Officer at W...


Leadership Team

Experienced Management: HIX's management team is considered experienced (3 years average tenure).


Board Members

Experienced Board: HIX's board of directors are seasoned and experienced ( 11.9 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.


Ownership Breakdown

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


Top Shareholders

Company Information

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


Key Information


Location

  • Western Asset High Income Fund II 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
Earnings2021/10/31
Annual Earnings2021/04/30


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.