Stock fact sheet · data as of
Invesco Advantage Municipal Income Trust II (VKI): fair value, margin of safety and Wheel Score
Financial Services · Asset Management - Income · United States · High Yield Income
Is VKI undervalued?
Invesco Advantage Municipal Income Trust II (VKI) closed at 7.71 on 16 Oct 2026, close to the GLS average fair value of 7.29 (5.7% above fair value). 3 of the 8 models that produced a number sit above the price, 5 below - the market and our models roughly agree. With little margin of safety either way, the case for or against the stock rests on the quality numbers and the option premium rather than on price.
The 8 models disagree widely: GLS Growth gives 1.81 while Graham Growth gives 14.24. 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 VKI under High Yield Income: a dividend yield above 4%.
Nine valuation models for VKI
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 | 7.16 | -7% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 14.24 | +85% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 6.22 | -19% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 1.81 | -76% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 7.71 | -0% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 8.57 | +11% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | 9.87 | +28% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 2.77 | -64% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -4.83 | -163% | 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 VKI 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 2.6 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 thin or negative - ROIC 1.7%, ROE 2.7%, ROA 1.7% - with debt at 0.57 times equity and a free-cash-flow yield of 5.0%.
The dividend yield is high at 8.70% (payout ratio 165%) - a payout above 100% of earnings, which is not covered by profits. 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 5/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 7 / 9 | ROIC | 1.7% |
|---|---|---|---|
| GLS Moat | 2.6 / 10 | ROE | 2.7% |
| Debt / equity | 0.57 | ROA | 1.7% |
| Free-cash-flow yield | 5.0% | Payout ratio | 165% |
| Institutions | 2 / 10 | Insiders · Congress | 5 · 5 / 10 |
Wheel Score 37: No options
VKI 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" (37 here). The valuation and quality numbers still apply to owning the shares outright.
Volume runs at 193k shares a day on a market cap of $342M, with a beta of 0.69 - a low beta, so day-to-day moves are smaller than the market's; the Stability part of the Wheel Score gives that 8 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 10 / 25 | -6% margin of safety | |
| Health | 16 / 20 | Piotroski 7/9 | |
| Moat | 4 / 15 | moat 2.6/10 | |
| Premium | 0 / 20 | no option data | |
| Stability | 8 / 20 | 193k shares/day, $342M cap, beta 0.69 |
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 VKI in the nightly calendar.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Asset Management - Income
The 12 companies below are the closest to Invesco Advantage Municipal Income Trust II by market cap within the Asset Management - Income 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 |
|---|---|---|---|---|---|
| SCD LMP Capital and Income Fund Inc. | 14.84 | 40.99 | +64% | 39No options | $341M |
| HFRO Highland Opportunities and Income Fund | 6.24 | 18.70 | +67% | 39No options | $345M |
| NCV Virtus Convertible & Income Fund | 15.02 | 127.39 | +88% | 39No options | $339M |
| LEO BNY Mellon Strategic Municipals, Inc. | 5.60 | 4.48 | -25% | 27No options | $349M |
| NOIEX Northern Funds Income Equity Fund | 20.91 | 112.51 | +81% | 39No options | $334M |
| AEF abrdn Emerging Markets ex-China Fund, Inc. | 8.66 | 99.29 | +91% | 39No options | $352M |
| EAD Wells Fargo Advantage Funds - Allspring Income Opportunities Fund | 5.96 | 20.48 | +71% | 39No options | $352M |
| HPI John Hancock Preferred Income Fund | 13.45 | 24.61 | +45% | 39No options | $360M |
| DRAY YieldMax DKNG Option Income Strategy ETF | 11.31 | 39.62 | +71% | 31No options | $325M |
| FSAHX Fidelity Short Duration High Income Fund | 8.73 | 9.61 | +9% | 39No options | $364M |
| HPS John Hancock Preferred Income Fund III | 11.69 | 20.01 | +42% | 39No options | $375M |
| EVN Eaton Vance Municipal Income Trust | 9.51 | 16.51 | +42% | 39No options | $380M |
⚖ Compare VKI with 7 of them All Financial Services stocks →
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Start free See the Sunday ScanQuestions about VKI
Is VKI undervalued right now?
Not meaningfully: at 7.71 the stock trades within a few percent of the GLS average fair value of 7.29 (5.7% above fair value, data as of 16 Oct 2026).
What is the Wheel Score of VKI and what does it mean?
VKI 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 VKI?
7.29 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 Invesco Advantage Municipal Income Trust II report earnings next?
No upcoming earnings date is recorded for VKI in our calendar as of 16 Oct 2026; the Calendars page is refreshed every morning.
Does VKI have listed options, and how liquid are they?
No. The nightly options snapshot found no listed contracts on VKI, so the wheel strategy cannot be run on it and the Wheel Score is capped at 39.