Stock fact sheet · data as of
Invesco Municipal Trust (VKQ): fair value, margin of safety and Wheel Score
Financial Services · Asset Management · United States · High Yield Income
Is VKQ undervalued?
Invesco Municipal Trust (VKQ) closed at 8.61 on 16 Oct 2026, close to the GLS average fair value of 8.66 (0.5% below fair value). 4 of the 8 models that produced a number sit above the price, 4 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 2.28 while Graham Growth gives 17.63. 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 VKQ under High Yield Income: a dividend yield above 4%.
Nine valuation models for VKQ
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 | 8.45 | -2% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 17.63 | +105% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 7.71 | -10% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 2.28 | -74% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 8.82 | +2% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 9.84 | +14% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | 11.09 | +29% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 3.43 | -60% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -6.00 | -170% | 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
Financial health is average - VKQ passes 5 of the nine Piotroski tests, which falls one point short of the Sunday Scan's "6 or more" rule. The Financials tab on the Quote page shows which tests fail. The GLS Moat score is low at 2.5 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 1.9%, ROE 3.0%, ROA 1.9% - with debt at 0.58 times equity and a free-cash-flow yield of 5.1%.
The dividend yield is high at 8.75% (payout ratio 150%) - 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 4/10, insider activity 1/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 5 / 9 | ROIC | 1.9% |
|---|---|---|---|
| GLS Moat | 2.5 / 10 | ROE | 3.0% |
| Debt / equity | 0.58 | ROA | 1.9% |
| Free-cash-flow yield | 5.1% | Payout ratio | 150% |
| Institutions | 4 / 10 | Insiders · Congress | 1 · 5 / 10 |
Wheel Score 36: No options
VKQ 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" (36 here). The valuation and quality numbers still apply to owning the shares outright.
Volume runs at 207k shares a day on a market cap of $476M, with a beta of 0.66 - a low beta, so day-to-day moves are smaller than the market's; the Stability part of the Wheel Score gives that 9 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 13 / 25 | 1% margin of safety | |
| Health | 11 / 20 | Piotroski 5/9 | |
| Moat | 4 / 15 | moat 2.5/10 | |
| Premium | 0 / 20 | no option data | |
| Stability | 9 / 20 | 207k shares/day, $476M cap, beta 0.66 |
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 VKQ 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 Invesco Municipal Trust 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 |
|---|---|---|---|---|---|
| DPG Duff & Phelps Utility and Infrastructure Fund Inc. | 13.14 | 91.92 | +86% | 39No options | $473M |
| VGM Invesco Trust for Investment Grade Municipals | 8.85 | 7.97 | -11% | 37No options | $480M |
| THW Abrdn World Healthcare Fund | 11.94 | 40.52 | +71% | 39No options | $482M |
| FTHY First Trust High Yield Opportunities 2027 Term Fund | 12.76 | 31.45 | +59% | 36No options | $469M |
| DHLTX Diamond Hill All Cap Select Fund Class I | 27.05 | 85.03 | +68% | 39No options | $485M |
| CMJAX Calvert US Mid Cap Core Rspnb Idx A | 50.61 | 745.51 | +93% | 39No options | $487M |
| FCFAX Frost Credit Fund | 8.90 | 15.96 | +44% | 39No options | $463M |
| NOAH Noah Holdings Limited | 7.35 | 130.16 | +94% | 59Fair | $491M |
| BGB Blackstone Strategic Credit Fund | 11.07 | 4.27 | -159% | 25No options | $494M |
| BGR BlackRock Energy and Resources Trust | 18.01 | 25.39 | +29% | 39No options | $458M |
| ANTUX American Century Non-US Intrinsic Value Fund;Inv | 11.29 | 16.67 | +32% | 39No options | $496M |
| NMAI Nuveen Multi-Asset Income Fund | 13.67 | 60.99 | +78% | 39No options | $457M |
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Start free See the Sunday ScanQuestions about VKQ
Is VKQ undervalued right now?
Not meaningfully: at 8.61 the stock trades within a few percent of the GLS average fair value of 8.66 (0.5% below fair value, data as of 16 Oct 2026).
What is the Wheel Score of VKQ and what does it mean?
VKQ 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 VKQ?
8.66 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 Municipal Trust report earnings next?
No upcoming earnings date is recorded for VKQ in our calendar as of 16 Oct 2026; the Calendars page is refreshed every morning.
Does VKQ have listed options, and how liquid are they?
No. The nightly options snapshot found no listed contracts on VKQ, so the wheel strategy cannot be run on it and the Wheel Score is capped at 39.