company background image
NEA

Nuveen AMT-Free Quality Municipal Income FundNYSE:NEA Stock Report

Last Price

US$14.28

Market Cap

US$4.3b

7D

-4.4%

1Y

-5.1%

Updated

19 Jan, 2022

Data

Company Financials
NEA fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance3/6
Financial Health1/6
Dividends3/6

NEA Stock Overview

Nuveen AMT-Free Quality Municipal Income Fund is a closed-ended fixed income mutual fund launched by Nuveen Investments Inc.

Price History & Performance

Summary of all time highs, changes and price drops for Nuveen AMT-Free Quality Municipal Income Fund
Historical stock prices
Current Share PriceUS$14.28
52 Week HighUS$16.00
52 Week LowUS$14.11
Beta0.18
1 Month Change-6.73%
3 Month Change-4.16%
1 Year Change-5.05%
3 Year Change10.96%
5 Year Change7.53%
Change since IPO-4.80%

Recent News & Updates

Nov 05

NEA: A Neutral Rating Still Makes Sense Here

After a broad sell-off in munis, there has been a bit of a rebound. While this positive momentum is welcomed, I see limited upside in the next few months. NEA still trades at a valuation above its longer-term average. While the current discount remains reasonably attractive, I don't see it as a compelling buy. The broader sector has some tailwinds, such as improving state finances and the exclusion of SALT changes in the latest spending proposals. However, there are headwinds too, such as rising yields and elevated valuations.

Jul 05

NEA: Looking A Bit Pricey, But So Is Everything Else

NEA has performed very well since my last review, and it continues to be a solid holding in my portfolio. While the fund still sits at a discount to NAV, its valuation is at a 52-week high. However, asset prices across the market are elevated. The fund's duration has ticked down since the beginning of the year, and it has greater reliance on Michigan bonds. Both of these are developments I view positively.

May 10

Nuveen AMT-Free Quality Municipal Income Fund declares $0.0585 dividend

Nuveen AMT-Free Quality Municipal Income Fund (NEA) declares $0.0585/share monthly dividend, in line with previous.Forward yield 4.61%Payable June 1; for shareholders of record May 14; ex-div May 13.See NEA Dividend Scorecard, Yield Chart, & Dividend Growth.

Feb 03

Nuveen AMT-Free Quality Municipal Income Fund goes ex-dividend tomorrow

Nuveen AMT-Free Quality Municipal Income Fund (NEA) had declared $0.0345/share monthly dividend, -41% decrease from prior dividend of $0.0585.Payable March 1; for shareholders of record Feb. 5; ex-div Feb. 4.See NEA Dividend Scorecard, Yield Chart, & Dividend Growth.

Jan 05

Nuveen AMT-Free Quality Municipal Income Fund declares $0.0585 dividend

Nuveen AMT-Free Quality Municipal Income Fund (NEA) declares $0.0585/share monthly dividend, in line with previous.Forward yield 4.66%Payable Feb. 1; for shareholders of record Jan. 15; ex-div Jan. 14.See NEA Dividend Scorecard, Yield Chart, & Dividend Growth.

Dec 09

NEA: Outperformer With A 4.7% Yield Is A Benchmark For Muni Bond Investors

The Nuveen AMT-Free Quality Municipal Income Fund (NEA) is an actively managed closed-end fund "CEF" that invests in a portfolio of tax-exempt municipal securities. NEA targets investment-grade issuers while utilizing leverage to enhance income. Indeed, the attraction of NEA is its monthly distribution that currently yields 4.7%, well above rates offered through passive funds or indexed investment-grade munis. Despite this year's pandemic which resulted in widespread financial disruptions, NEA has favorably climbed 8% on a

Shareholder Returns

NEAUS Capital MarketsUS Market
7D-4.4%-5.5%-4.6%
1Y-5.1%24.6%7.7%

Return vs Industry: NEA underperformed the US Capital Markets industry which returned 25.7% over the past year.

Return vs Market: NEA underperformed the US Market which returned 10.2% over the past year.

Price Volatility

Is NEA's price volatile compared to industry and market?
NEA volatility
NEA Average Weekly Movement1.5%
Capital Markets Industry Average Movement0.7%
Market Average Movement6.6%
10% most volatile stocks in US Market15.7%
10% least volatile stocks in US Market2.4%

Stable Share Price: NEA is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 1% a week.

Volatility Over Time: NEA's weekly volatility (1%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2002n/an/ahttps://www.nuveen.com/CEF/Product/Overview.aspx?fundcode=NEA

Nuveen AMT-Free Quality Municipal Income Fund is a closed-ended fixed income mutual fund launched by Nuveen Investments Inc. The fund is co-managed by Nuveen Asset Management, LLC and Nuveen Fund Advisors LLC. It invests in the fixed income markets of the United States. The fund primarily invests in undervalued municipal bonds that are exempt from federal income taxes, including the alternative minimum tax.

Nuveen AMT-Free Quality Municipal Income Fund Fundamentals Summary

How do Nuveen AMT-Free Quality Municipal Income Fund's earnings and revenue compare to its market cap?
NEA fundamental statistics
Market CapUS$4.27b
Earnings (TTM)US$254.64m
Revenue (TTM)US$269.32m

16.8x

P/E Ratio

15.9x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
NEA income statement (TTM)
RevenueUS$269.32m
Cost of RevenueUS$0
Gross ProfitUS$269.32m
ExpensesUS$14.67m
EarningsUS$254.64m

Last Reported Earnings

Oct 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.85
Gross Margin100.00%
Net Profit Margin94.55%
Debt/Equity Ratio57.3%

How did NEA perform over the long term?

See historical performance and comparison

Dividends

4.9%

Current Dividend Yield

82%

Payout Ratio

Valuation

Is Nuveen AMT-Free Quality Municipal Income Fund undervalued compared to its fair value and its price relative to the market?

16.77x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: NEA ($14.28) is trading above our estimate of fair value ($14.23)

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


Price To Earnings Ratio

PE vs Industry: NEA is poor value based on its PE Ratio (16.8x) compared to the US Capital Markets industry average (15.5x).

PE vs Market: NEA is good value based on its PE Ratio (16.8x) compared to the US market (17x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: NEA is good value based on its PB Ratio (0.9x) compared to the US Capital Markets industry average (42.2x).

Future Growth

How is Nuveen AMT-Free Quality Municipal Income Fund forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

6.3%

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 Nuveen AMT-Free Quality Municipal Income 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 Nuveen AMT-Free Quality Municipal Income Fund performed over the past 5 years?

42.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: NEA has a large one-off gain of $52.5M impacting its October 31 2021 financial results.

Growing Profit Margin: NEA's current net profit margins (94.6%) are higher than last year (60.3%).


Past Earnings Growth Analysis

Earnings Trend: NEA's earnings have grown significantly by 42.9% per year over the past 5 years.

Accelerating Growth: NEA's earnings growth over the past year (56%) exceeds its 5-year average (42.9% per year).

Earnings vs Industry: NEA earnings growth over the past year (56%) underperformed the Capital Markets industry 86.4%.


Return on Equity

High ROE: NEA's Return on Equity (5.4%) is considered low.

Financial Health

How is Nuveen AMT-Free Quality Municipal Income Fund's financial position?


Financial Position Analysis

Short Term Liabilities: NEA's short term assets ($177.4M) do not cover its short term liabilities ($1.2B).

Long Term Liabilities: NEA's short term assets ($177.4M) do not cover its long term liabilities ($1.5B).


Debt to Equity History and Analysis

Debt Level: NEA's net debt to equity ratio (56.9%) is considered high.

Reducing Debt: NEA's debt to equity ratio has increased from 55.1% to 57.3% over the past 5 years.

Debt Coverage: NEA's debt is not well covered by operating cash flow (8.5%).

Interest Coverage: NEA's interest payments on its debt are well covered by EBIT (17.9x coverage).


Balance Sheet

Dividend

What is Nuveen AMT-Free Quality Municipal Income Fund current dividend yield, its reliability and sustainability?

4.92%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: NEA's dividend (4.92%) is higher than the bottom 25% of dividend payers in the US market (1.35%).

High Dividend: NEA's dividend (4.92%) is in the top 25% of dividend payers in the US market (3.48%)


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (82.5%), NEA's 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?

16.9yrs

Average board tenure


CEO

Nuveen AMT-Free Quality Municipal Income Fund has no CEO, or we have no data on them.


Board Members

Experienced Board: NEA's board of directors are seasoned and experienced ( 16.9 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 been diluted in the past year, with total shares outstanding growing by 7.3%.


Top Shareholders

Company Information

Nuveen AMT-Free Quality Municipal Income Fund's employee growth, exchange listings and data sources


Key Information


Location

  • Nuveen AMT-Free Quality Municipal Income Fund
  • 333 West Wacker Drive
  • Chicago
  • Illinois
  • 60606
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/19 23:41
End of Day Share Price2022/01/19 00:00
Earnings2021/10/31
Annual Earnings2021/10/31


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.