Stock fact sheet · data as of
Western Asset Emerging Markets Debt Fund Inc. (EMD): fair value, margin of safety and Wheel Score
Financial Services · Asset Management · United States · High Yield Income
Is EMD undervalued?
EMD has a margin of safety of 76%: the stock closed at 9.30 on 16 Oct 2026 against a GLS average fair value of 38.69. 8 of the 8 valuation models that produced a number sit above the price. Our screens treat a discount this large as a strong starting point for a cash-secured put, not as a verdict - the fair value is a model output, and a wide gap can mean the models are missing something the market knows.
The 8 models disagree widely: 10 Cap gives 9.40 while GLS Growth gives 96.98. A spread that wide means the average is sensitive to which methods you trust; the model table below shows where each one lands, and the Quote page lets you switch any of them off.
The nightly engine files EMD under High Yield Income: a dividend yield above 4%.
Nine valuation models for EMD
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | - | - | Present value of the projected free cash flows, discounted at the cost of capital; no value tonight |
| Graham Number | 19.93 | +114% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 90.61 | +874% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 39.60 | +326% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 96.98 | +943% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 9.40 | +1% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 18.62 | +100% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | 16.77 | +80% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 17.60 | +89% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -3.86 | -141% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 0.0000 | -100% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
On financial health EMD scores 7/9 (Piotroski): most of the nine tests - positive earnings and cash flow, falling debt, rising margins and turnover - are passed, which is the kind of balance sheet a wheel trader is happy to be assigned. The GLS Moat score is low at 3.6 out of 10, which says the ten-year record of revenue, earnings, margins and returns on capital has been inconsistent - growth and shocks rather than steady compounding.
Returns on capital are moderate - ROIC 11.3%, ROE 15.5%, ROA 11.3% - with debt at 0.37 times equity and a free-cash-flow yield of 5.1%.
The dividend yield is high at 12.26% (payout ratio 78%). A yield this size is often the market's way of pricing a risk to the payout, so the health score and cash flow matter more than usual.
Institutional ownership scores 4/10, insider activity 5/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 7 / 9 | ROIC | 11.3% |
|---|---|---|---|
| GLS Moat | 3.6 / 10 | ROE | 15.5% |
| Debt / equity | 0.37 | ROA | 11.3% |
| Free-cash-flow yield | 5.1% | Payout ratio | 78% |
| Institutions | 4 / 10 | Insiders · Congress | 5 · 5 / 10 |
Wheel Score 39: No options
EMD has no listed options in the nightly snapshot, so there is nothing to sell and the stock cannot be wheeled however good the business; the Wheel Score is capped at 39 and shown as "No options" (39 here). The valuation and quality numbers still apply to owning the shares outright.
Volume runs at 285k shares a day on a market cap of $541M, with a beta of 0.85; the Stability part of the Wheel Score gives that 10 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 25 / 25 | 76% margin of safety | |
| Health | 16 / 20 | Piotroski 7/9 | |
| Moat | 5 / 15 | moat 3.6/10 | |
| Premium | 0 / 20 | no option data | |
| Stability | 10 / 20 | 285k shares/day, $541M cap, beta 0.85 |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.
Upcoming events
No upcoming earnings date is recorded for EMD in the nightly calendar. The shares go ex-dividend on 23 Oct 2026 (0.0950 per share), so a covered call sold before then carries a small early-assignment risk around that date.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Asset Management
The 12 companies below are the closest to Western Asset Emerging Markets Debt Fund Inc. by market cap within the Asset Management industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| AAISX American Beacon International Equity Fund Advisor Class | 20.35 | 1,486.56 | +99% | 39No options | $540M |
| VRMGX Virtus KAR Mid-Cap Growth Fund | 39.22 | 375.02 | +90% | 39No options | $542M |
| ETJ Eaton Vance Risk-Managed Diversified Equity Income Fund | 8.00 | 9.27 | +14% | 36No options | $538M |
| FSRRX Fidelity Strategic Real Return Fund | 9.17 | 8.78 | -4% | 33No options | $544M |
| NDMO Nuveen Dynamic Municipal Opportunities Fund | 9.00 | 13.69 | +34% | 38No options | $544M |
| SPPP Sprott Physical Platinum and Palladium Trust | 12.50 | 20.44 | +39% | 39No options | $545M |
| NCDL Nuveen Churchill Direct Lending Corp. | 10.86 | 51.49 | +79% | 39No options | $536M |
| ACP Abrdn Income Credit Strategies Fund | 4.35 | 14.24 | +69% | 39No options | $546M |
| MSIF MSC Income Fund, Inc. | 11.79 | 30.81 | +62% | 39No options | $535M |
| GAMI GAMCO Investors, Inc. | 25.50 | 41.37 | +38% | 39No options | $548M |
| AIOIX American Century Intl Opportunities - Investor Class | 12.74 | 7.22 | -76% | 21No options | $533M |
| CCID Carlyle Credit Income Fund | 24.94 | 24.99 | +0% | 23No options | $529M |
⚖ Compare EMD with 7 of them All Financial Services stocks →
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Start free See the Sunday ScanQuestions about EMD
Is EMD undervalued right now?
By the GLS models, yes: at 9.30 the stock is 76% below the average fair value of 38.69 (data as of 16 Oct 2026). Whether the discount is deserved is the question to research next.
What is the Wheel Score of EMD and what does it mean?
EMD has no listed options in our nightly snapshot, so it cannot be wheeled; its Wheel Score is capped at 39 and shown as "No options".
What is the GLS fair value for EMD?
38.69 per share as of 16 Oct 2026 - the simple average of the 8 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Western Asset Emerging Markets Debt Fund Inc. report earnings next?
No upcoming earnings date is recorded for EMD in our calendar as of 16 Oct 2026; the Calendars page is refreshed every morning.
Does EMD have listed options, and how liquid are they?
No. The nightly options snapshot found no listed contracts on EMD, so the wheel strategy cannot be run on it and the Wheel Score is capped at 39.