Stock fact sheet · data as of
Federated Hermes Premier Municipal Income Fund (FMN): fair value, margin of safety and Wheel Score
Ticker symbol FMN · Financial Services · Asset Management · United States · Fund / Note
Is FMN undervalued?
At 10.54 (close of 5 Nov 2026), FMN trades 44% below the GLS average fair value of 18.91. That average comes from 8 models run on the latest filings, and 4 of them land above the current price. Margins of safety over 30% are the exception rather than the rule across the ~7,400 stocks we value each night, so the number earns Federated Hermes Premier Municipal Income Fund the full Value points in the Wheel Score - and a closer look at what the market is pricing in.
There is a wide gap between GLS Growth (4.37) and Graham Growth (65.28). When the models are this far apart the "fair value" is really a range, and the margin of safety above should be read with that range in mind.
FMN looks like a fund, note or preferred share rather than an operating company, so the nightly engine files it under Fund / Note: the valuation models are not built for it, and its Wheel Score is capped at 45.
Nine valuation models for FMN
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 | 17.88 | +70% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 65.28 | +519% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 28.53 | +171% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 4.37 | -59% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 7.31 | -31% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 7.27 | -31% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | 7.95 | -25% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 12.68 | +20% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -8.70 | -182% | 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
Federated Hermes Premier Municipal Income Fund scores only 3 of 9 on the Piotroski F-score, which fails the "Piotroski 6 or more" Wheel Trade Filter. A reading this low means several of the basic tests - positive earnings, positive operating cash flow, falling debt, no new share issuance - are not met. There is no GLS Moat score for FMN: funds, notes and second share lines get none, and so does a company with fewer than two years of accounts on file. The Moat part of the Wheel Score is zero.
Returns on capital are thin or negative - ROIC 0.6%, ROE 0.9%, ROA 0.6% - with debt at 0.69 times equity and a free-cash-flow yield of 3.5%.
The dividend yield is high at 5.12% (payout ratio 47%). 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 5/10, insider activity 5/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 3 / 9 | ROIC | 0.6% |
|---|---|---|---|
| GLS Moat | - / 10 | ROE | 0.9% |
| Debt / equity | 0.69 | ROA | 0.6% |
| Free-cash-flow yield | 3.5% | Payout ratio | 47% |
| Institutions | 5 / 10 | Insiders · Congress | 5 · 5 / 10 |
Wheel Score 24: No options
No options are listed on Federated Hermes Premier Municipal Income Fund in our nightly snapshot, so it fails the first Wheel Trade Filter (options that actually trade) (it reads 24, under 70) and is left out of every options scan; the fair value and health figures above are still useful for a plain stock position.
Volume runs at 26k shares a day on a market cap of $82M, with a beta of 0.64 - a low beta, so day-to-day moves are smaller than the market's; the Stability part of the Wheel Score rates that fair.
| Filter | Wheel Trade Filter | Result | Detail |
|---|---|---|---|
| 1 | Options that actually trade | Fails | no listed options |
| 2 | A real business, not a gamble | Fails | a fund or note, not a company |
| 3 | Below fair value | Passes | Trading below the nine-model average fair value (margin of safety above 0) |
| 4 | Financially healthy | Fails | Piotroski 3/9 (under 6) |
| 5 | Can repay its debt | Passes | Long-term debt repaid from 3 years of operating cash flow or less (6 for real estate and utilities; banks and insurers are not judged on it) |
| 6 | No serious red flags | Passes | Red Flags score 60 or more out of 100 (earnings, margins, debt, analysts, filings and price checked the same way for every stock) |
| 7 | A premium worth selling | Fails | no implied volatility |
| 8 | Big enough | Fails | market cap $82M (under $1.0B) |
| 9 | Not a penny stock | Passes | Share price $5 or more |
| How it ranks | Rating | From | |
|---|---|---|---|
| Value | Strong | 44% below fair value | |
| Premium | Weak | no option data | |
| Moat | Weak | no moat score | |
| Health | Weak | Piotroski 3/9 | |
| Red Flags | Fair | not scored yet - half marks | |
| Option trading | Weak | no option volume data | |
| Stability | Fair | beta 0.64, $82M company |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls: a stock must pass all 9 Wheel Trade Filters to score 70, and the score then ranks the ones that pass; the Sunday Scan is the top 10. It is updated nightly and is not a recommendation. How the Wheel Score works · the walkthrough lesson shows how it fits into a trade, start to finish.
Upcoming events
No upcoming earnings date is recorded for FMN in the nightly calendar.
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 Federated Hermes Premier Municipal Income Fund 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.
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|---|---|---|---|---|---|
| HNNA Hennessy Advisors, Inc. | 10.53 | 17.10 | +38% | 35No options | $83M |
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| MGLD The Marygold Companies, Inc. | 1.97 | - | - | 15No options | $84M |
| PFXNZ PhenixFIN Corporation 5.25% Notes due 2028 | 24.44 | 63.16 | +61% | 24No options | $80M |
| AFJAX Virtus NFJ International Value Fund | 26.71 | 70.75 | +62% | 26No options | $85M |
| SAMG Silvercrest Asset Management Group Inc. | 10.95 | 9.92 | -10% | 27Weak | $86M |
| SAX Saratoga Investment Corp. 8 % Notes 2026-31.08.31 | 25.28 | 32.50 | +22% | 22No options | $86M |
| UNOV Innovator U.S. Equity Ultra Buffer ETF | 41.92 | 0.1397 | -29910% | 14No options | $78M |
| VGI Virtus Global Multi-Sector Income Fund | 6.88 | 25.07 | +73% | 28No options | $78M |
| AFEM First Trust Active Factor Emerging Markets ETF | 91.40 | 36.65 | -149% | 8No options | $78M |
| SWZ Total Return Securities Fund | 5.89 | 10.38 | +43% | 25No options | $76M |
⚖ Compare FMN with 7 of them All Financial Services stocks →
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Start free See the Sunday ScanQuestions about FMN
Is FMN undervalued right now?
By the GLS models, yes: at 10.54 the stock is 44% below the average fair value of 18.91 (data as of 5 Nov 2026). Whether the discount is deserved is the question to research next.
What is the Wheel Score of FMN and what does it mean?
FMN has no listed options in our nightly snapshot, so it cannot be wheeled; it fails the first Wheel Trade Filter (options that actually trade), stays under 70 and is shown as "No options".
What is the GLS fair value for FMN?
18.91 per share as of 5 Nov 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 Federated Hermes Premier Municipal Income Fund report earnings next?
No upcoming earnings date is recorded for FMN in our calendar as of 5 Nov 2026; the Calendars page is refreshed every morning.
Does FMN have listed options, and how liquid are they?
No. The nightly options snapshot found no listed contracts on FMN, so the wheel strategy cannot be run on it and the Wheel Score stays under 70.