Western Asset Municipal High Income Fund Inc.
MHFFinancial Services · Stock · monthly payer
Forward Yield
5.95%
Annual Dividend
$0.41
Payout Ratio
113%
5-Yr Growth
7.8%
Ex-Date
Sep 23, 2026
Frequency
Monthly
Summary
As of August 2026, Western Asset Municipal High Income Fund Inc. (MHF) yields 5.95% ($0.41 per share annually), with a blended fair-value estimate of $9.90 — +44% upside, so it screens as undervalued. Dividend safety grade: C (55/100). 3 years of dividend growth.
Is MHF a good dividend stock?
MixedWestern Asset Municipal High Income Fund Inc. (MHF) pays a monthly dividend yielding 5.95% ($0.41/yr), with 3 years of growth and a dividend-safety grade of C. The picture is mixed — the dividend pays, but safety or growth signals are weaker than ideal.
Advantages
- Strong 7.8% 5-yr dividend growth
Risks
- Cut its dividend in 2022
- Elevated payout ratio (113%)
- Share price is down over the past 5 years
Key Data
- Dividend Yield
- 5.95%
- Payout Ratio
- 113%
- Annual Dividend
- $0.41
- 5-Yr Avg Growth
- 7.8%
- Ex-Dividend Date
- Sep 23, 2026
- Years of Growth
- 3
- Frequency
- monthly
- Beta
- 0.47
- Market Cap
- $152.5M
- P/E Ratio
- 18.1
- 5-Yr Total Return
- -14%
- 52-Week Range
- —
- Dividend Safety
- C · 55/100
- Ever Cut?
- Yes (2022)
Frequently Asked Questions
MHF Price — Last 12 Months
Daily close
Price Return
1 Year
-5%
3 Years
+13%
5 Years
-14%
52-Week Range
—
Price change over each period (excludes dividends). Past performance doesn't guarantee future results.
What is MHF worth?
Undervaluedmedium confidenceOur blended fair-value estimate for Western Asset Municipal High Income Fund Inc. is $9.90 per share, versus a market price of $6.86. That implies 44% of upside — a margin of safety of about 31%.
Fair Value
$9.90
Current Price
$6.86
Upside
+44%
Margin of Safety
31%
How we get there
Dividend discount
Discounts the future dividend stream back to today.
Earnings multiple (Graham)
Graham's earnings-multiple formula, anchored to bond yields.
Assumptions: 7.0% discount rate (CAPM), 7.2% stage-1 growth, 2.5% terminal growth, $0.38 EPS, $0.41 annual dividend. Updated weekly.
Fair-value estimates are model output for educational purposes only — not investment advice or a price target.
MHF Dividend Safety Score
Borderline
SmarterDividends' proprietary score, backtested against which dividends were actually cut over 15+ years (0.78 AUC). It blends a validated cut-risk model (growth streak, cut history) with current payout, cash-flow and debt. Higher is safer · not investment advice.
Dividend Growth
Total dividends per share by year
Dividend History
| Ex-Date | Pay Date | Amount | Type |
|---|---|---|---|
| Aug 24, 2026 | — | $0.0340 | regular |
| Jul 24, 2026 | — | $0.0340 | regular |
| Jun 23, 2026 | — | $0.0340 | regular |
| May 21, 2026 | — | $0.0340 | regular |
| Apr 23, 2026 | — | $0.0340 | regular |
| Mar 24, 2026 | — | $0.0340 | regular |
| Feb 20, 2026 | — | $0.0340 | regular |
| Jan 23, 2026 | — | $0.0340 | regular |
| Dec 23, 2025 | — | $0.0340 | regular |
| Nov 20, 2025 | — | $0.0340 | regular |
| Oct 24, 2025 | — | $0.0340 | regular |
| Sep 23, 2025 | — | $0.0340 | regular |
| Aug 22, 2025 | — | $0.0340 | regular |
| Jul 24, 2025 | — | $0.0340 | regular |
Income Calculator
At $0.41 / yr per share
