(RFMZ) RiverNorth Flexible - Ratings and Ratios

RiverNorth Flexible Municipal Income Fund II Inc (RFMZ) is a closed-end fund that invests in a diversified portfolio of municipal bonds, aiming to generate tax-exempt income for its shareholders. As a multi-sector holdings fund, RFMZ allocates its assets across various municipal bond sectors, seeking to optimize returns while minimizing risk.

Analyzing the funds recent price action, we observe that it is currently trading at $13.03, slightly above its 50-day Simple Moving Average (SMA) of $13.03. The 20-day SMA is $12.61, indicating a potential bullish crossover. Meanwhile, the 200-day SMA stands at $13.49, suggesting a longer-term downtrend. The Average True Range (ATR) of 0.22 represents a 1.68% daily volatility, which is relatively moderate.

From a fundamental perspective, RFMZ has a market capitalization of $312.92 million and a price-to-earnings (P/E) ratio of 13.67, indicating a relatively attractive valuation compared to its peers. The funds return on equity (RoE) is 8.45%, suggesting a decent level of profitability. However, the absence of a forward P/E ratio makes it challenging to gauge the markets expectations for future earnings growth.

Based on the available technical and fundamental data, our forecast suggests that RFMZ may experience a short-term price appreciation, driven by the potential bullish crossover of the 20-day and 50-day SMAs. If the funds price breaks above its 200-day SMA, it could signal a longer-term uptrend. However, the lack of a forward P/E ratio and the funds relatively high dividend yield (not explicitly stated, but typical for closed-end funds in this category) may indicate that the market is pricing in a relatively stable, income-focused investment thesis. As such, we forecast a potential price target of $14.00 in the next 6-12 months, representing a 7.4% upside from current levels.