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Nuveen Minnesota Quality Municipal Income Fund (NMS)

Company Dividend Discount ModelIndustry: Asset Management - IncomeSector: Financial Services

Valuation Snapshot

Stable Growth$21.40 - $30.81$25.99
Multi-Stage$35.13 - $38.55$36.81
Blended Fair Value$31.40
Current Price$11.38
Upside175.92%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR20252024202320222021202020192018
DPS7.71%0.00%0.840.480.520.620.600.580.630.730.000.00
YoY Growth--74.04%-7.06%-16.84%3.12%4.49%-8.01%-14.37%0.00%0.00%0.00%
Dividend Yield--7.37%4.46%4.69%4.03%3.71%4.20%4.57%5.40%0.00%0.00%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)17.51
(-) Cash Dividends Paid (M)6.48
(=) Cash Retained (M)11.03
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)3.502.191.31
Cash Retained (M)11.0311.0311.03
(-) Cash Required (M)-3.50-2.19-1.31
(=) Excess Retained (M)7.538.849.72
(/) Shares Outstanding (M)5.795.795.79
(=) Excess Retained per Share1.301.531.68
LTM Dividend per Share1.121.121.12
(+) Excess Retained per Share1.301.531.68
(=) Adjusted Dividend2.422.652.80
WACC / Discount Rate9.08%9.08%9.08%
Growth Rate-2.00%-1.00%0.00%
Fair Value$21.40$25.99$30.81
Upside / Downside88.07%128.41%170.76%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)17.5117.3417.1616.9916.8216.6517.15
Payout Ratio37.02%47.61%58.21%68.81%79.40%90.00%92.50%
Projected Dividends (M)6.488.259.9911.6913.3614.9915.87

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.08%9.08%9.08%
Growth Rate-2.00%-1.00%0.00%
Year 1 PV (M)7.497.577.64
Year 2 PV (M)8.238.408.57
Year 3 PV (M)8.749.019.28
Year 4 PV (M)9.069.449.82
Year 5 PV (M)9.239.7110.21
PV of Terminal Value (M)160.63168.99177.70
Equity Value (M)203.37213.11223.23
Shares Outstanding (M)5.795.795.79
Fair Value$35.13$36.81$38.55
Upside / Downside208.66%223.44%238.80%

High-Yield Dividend Screener

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VKQInvesco Municipal Trust8.62%$0.8469.07%
ARCCAres Capital Corporation8.61%$1.7691.56%
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TSLXSixth Street Specialty Lending, Inc.8.00%$1.7385.26%
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WRB-PHW.R. Berkley Corporation 4.125%7.68%$1.2726.69%
JHSJohn Hancock Income Securities Trust7.65%$0.8994.90%
NIDNuveen Intermediate Duration Municipal Term Fund7.59%$1.0284.59%
HWCPZHancock Whitney Corporation - 67.58%$1.7731.35%
WRB-PGW.R. Berkley Corporation 4.25%7.54%$1.2726.69%
NMTNuveen Massachusetts Quality Municipal Income Fund7.48%$0.8580.62%
LOANManhattan Bridge Capital, Inc.7.45%$0.3574.53%
OPALOPAL Fuels Inc.7.43%$0.1846.94%
ZIONLZions Bancorporation N.A. - 6.97.42%$1.8632.04%
GMTAGATX Corporation SR NT 20667.41%$1.8621.29%
IIMInvesco Value Municipal Income Trust7.41%$0.9264.33%
JMMNuveen Multi-Market Income Fund7.28%$0.4461.06%
BKEThe Buckle, Inc.7.26%$3.9196.21%
MHIPioneer Municipal High Income Fund, Inc.7.19%$0.6413.70%
ORIOld Republic International Corporation7.19%$3.1193.13%
PMFPIMCO Municipal Income Fund7.07%$0.5992.59%
RYNRayonier Inc.7.04%$1.5230.67%
DRQDril-Quip, Inc.7.02%$1.0850.37%
TRINITrinity Capital Inc. 7.875% Notes Due 20297.02%$1.7883.48%
C-PNCitigroup Capital XIII TR PFD SECS7.01%$2.1326.99%
VPVInvesco Pennsylvania Value Municipal Income Trust6.98%$0.7360.22%
VCVInvesco California Value Municipal Income Trust6.97%$0.7860.58%
EOTEaton Vance National Municipal Opportunities Trust6.96%$1.1869.84%
FLATXFidelity Latin America Fund6.92%$1.1539.63%
EGYVAALCO Energy, Inc.6.91%$0.2592.67%
NOMNuveen Missouri Quality Municipal Income Fund6.91%$0.8278.81%
UBCPUnited Bancorp, Inc.6.90%$0.9996.30%
TBCAT&T Inc. 5.625% Global Notes d6.89%$1.7255.65%
GTNGray Media, Inc.6.87%$0.3334.04%
HEPHolly Energy Partners, L.P.6.86%$1.4074.08%
AFGAmerican Financial Group, Inc.6.85%$9.2396.49%
BANFPBFC Capital Trust II PFD TR 7.20%6.85%$1.8025.72%
CFG-PDCitizens Financial Group, Inc.6.83%$1.7143.60%
RCIIRent-A-Center, Inc.6.81%$1.8279.98%
SPHSuburban Propane Partners, L.P.6.81%$1.2778.56%