Stock fact sheet · data as of
Abrdn World Healthcare Fund (THW): fair value, margin of safety and Wheel Score
Financial Services · Asset Management · United States · High Yield Income
Is THW undervalued?
Abrdn World Healthcare Fund (THW) closed at 11.94 on 16 Oct 2026. The GLS average fair value - the simple average of the 9 valuation models that produced a positive number - is 40.52, which puts the price 71% below it. 9 of the 9 models value the shares above the current price. A gap this wide is rare in our universe of ~7,400 US stocks and is exactly what the Value part of the Wheel Score rewards; it is also where the question "why is it this cheap?" matters most.
There is a wide gap between DCF (13.10) and Graham Growth (121.54). 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.
The nightly engine files THW under High Yield Income: a dividend yield above 4%.
Nine valuation models for THW
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 | 13.10 | +10% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 23.86 | +100% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 121.54 | +918% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 53.12 | +345% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 68.09 | +470% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 15.59 | +31% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 25.10 | +110% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | 20.65 | +73% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 23.61 | +98% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -3.03 | -125% | 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
Abrdn World Healthcare Fund scores only 4 of 9 on the Piotroski F-score, which fails the Sunday Scan's "6 or more" rule. 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. A GLS Moat score of 2.7/10 is a weak reading: the ten-year history the score grades (revenue, EPS, book value, margins, cash flow, share count, ROIC) has not been steady, so the Moat part of the Wheel Score contributes little.
Returns on capital are moderate - ROIC 8.7%, ROE 10.8%, ROA 8.7% - with debt at 0.24 times equity and a free-cash-flow yield of 6.5%.
The dividend yield is high at 11.76% (payout ratio 63%). 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 2/10, insider activity 10/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 4 / 9 | ROIC | 8.7% |
|---|---|---|---|
| GLS Moat | 2.7 / 10 | ROE | 10.8% |
| Debt / equity | 0.24 | ROA | 8.7% |
| Free-cash-flow yield | 6.5% | Payout ratio | 63% |
| Institutions | 2 / 10 | Insiders · Congress | 10 · 5 / 10 |
Wheel Score 39: No options
No options are listed on Abrdn World Healthcare Fund in our nightly snapshot. The Wheel Score is therefore capped at 39 (it reads 39) and the stock is left out of every options screen; the fair value and health figures above are still useful for a plain stock position.
Volume runs at 98k shares a day on a market cap of $482M, with a beta of 0.83; the Stability part of the Wheel Score gives that 7 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 25 / 25 | 71% margin of safety | |
| Health | 9 / 20 | Piotroski 4/9 | |
| Moat | 4 / 15 | moat 2.7/10 | |
| Premium | 0 / 20 | no option data | |
| Stability | 7 / 20 | 98k shares/day, $482M cap, beta 0.83 |
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 THW in the nightly calendar. The shares go ex-dividend on 23 Oct 2026 (0.1100 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 Abrdn World Healthcare 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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|---|---|---|---|---|---|
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| VKQ Invesco Municipal Trust | 8.61 | 8.66 | +1% | 36No options | $476M |
| DPG Duff & Phelps Utility and Infrastructure Fund Inc. | 13.14 | 91.92 | +86% | 39No options | $473M |
| NOAH Noah Holdings Limited | 7.35 | 130.16 | +94% | 59Fair | $491M |
| BGB Blackstone Strategic Credit Fund | 11.07 | 4.27 | -159% | 25No options | $494M |
| FTHY First Trust High Yield Opportunities 2027 Term Fund | 12.76 | 31.45 | +59% | 36No options | $469M |
| ANTUX American Century Non-US Intrinsic Value Fund;Inv | 11.29 | 16.67 | +32% | 39No options | $496M |
| BGY BlackRock Enhanced International Dividend Trust | 5.49 | 17.18 | +68% | 39No options | $497M |
| ETO Eaton Vance Tax-Advantaged Global Dividend Opportunities Fund | 30.40 | 107.11 | +72% | 39No options | $498M |
| UNG United States Natural Gas Fund LP | 11.22 | 12.17 | +8% | 61Fair | $500M |
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Start free See the Sunday ScanQuestions about THW
Is THW undervalued right now?
By the GLS models, yes: at 11.94 the stock is 71% below the average fair value of 40.52 (data as of 16 Oct 2026). Whether the discount is deserved is the question to research next.
What is the Wheel Score of THW and what does it mean?
THW 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 THW?
40.52 per share as of 16 Oct 2026 - the simple average of the 9 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 Abrdn World Healthcare Fund report earnings next?
No upcoming earnings date is recorded for THW in our calendar as of 16 Oct 2026; the Calendars page is refreshed every morning.
Does THW have listed options, and how liquid are they?
No. The nightly options snapshot found no listed contracts on THW, so the wheel strategy cannot be run on it and the Wheel Score is capped at 39.