SRH Total Return Fund, Inc (STEW)
NYSE NYSE Primary 
STEW: Discounted Valuation Justifies A Buy
SRH Total Return Fund offers a concentrated, value-driven portfolio with a 4.5% dividend yield and strong dividend growth. STEW trades at a 21.1% discount to NAV, near the widest in a decade, presenting a compelling entry point. The fund's top ten holdings comprise over 88% of assets, introducing concentration risk, especially in diversified and financial sectors.
Miss The April Dip? This Big Dividend Still Sells For 20% Off
I know I don't have to tell you this market is “pricey”—levitating from all-time high to all-time high. That's got a lot of investors stuck on the sidelines, too afraid to buy until we get another dip.
STEW: Closed-End Fund That Outperforms The S&P 500
I rate STEW a buy for its strong earnings, solid dividend coverage, and attractive 20% discount to NAV, offering compelling value. The fund's resilience during market downturns, focus on high-quality holdings like Berkshire Hathaway, and consistent dividend growth stand out. STEW's 3.7% yield is well-supported by earnings and tax-efficient distributions, making it ideal for income-focused investors in taxable accounts.
STEW: A Cheaper Way To Own Berkshire Hathaway
STEW is a solid core holding with a large cap value tilt, with about 40% invested in Berkshire Hathaway and about 10% in J.P. Morgan Chase. The fund's locked-in low-cost fixed leverage below 3% is a significant advantage, driving alpha and outperforming peers. STEW's high discount to NAV, currently at -19.11%, makes it an attractive buy, especially when the discount exceeds 20%.
STEW: Another Distribution Bump For This Year
SRH Total Return Fund offers significant exposure to Berkshire Hathaway, with it making up a 38% concentration. The fund's deep discount and more consistent distribution increases could attract some investors, despite its relatively low distribution rate for a CEF. That said, despite the deep discount, activist pressure on the fund is unlikely to materialize due to a significant concentration of ownership.
STEW Update: Equity CEF With Low-Cost Fixed Leverage Continues To Perform Well
STEW is attractive due to its 20%+ discount, low-cost fixed leverage, and 4% distribution yield, despite underperforming the S&P 500 recently. The fund's NAV is understated due to accounting rules, with a potential $41.7 million higher NAV if fair market value of senior notes is used. Share repurchases at significant discounts have been accretive to NAV, but the large Horejsi family holdings limit fund activism.
SRH Total Return Fund, Inc. Increases Its Quarterly Distribution by 20% This Is the Fourth Consecutive Annual Increase
DENVER, CO / ACCESSWIRE / November 13, 2024 / SRH Total Return Fund, Inc. (NYSE:STEW) (the "Fund") is pleased to announce a 20% increase in the Fund's quarterly distribution to $0.165 per share beginning in January 2025, payable on the date noted below. This is the fourth consecutive annual increase of the Fund's managed distribution.
Checking-In On STEW A Year After
SRH Total Return Fund uses a value-driven, bottom-up investment approach, focusing on long-term attractive returns with a low dividend yield. STEW's top-10 holdings, including a 38% stake in Berkshire Hathaway, account for over 75% of its portfolio. Despite a -22% discount to NAV, STEW has matched the S&P 500's performance, delivering over 20% return in the past year.
SRH Total Return Fund, Inc. Declares Quarterly Distribution
DENVER, CO / ACCESSWIRE / August 8, 2024 / SRH Total Return Fund, Inc. (NYSE:STEW) (the "Fund") announced the declaration of a quarterly distribution of $0.1375 per share to occur in October 2024. This distribution is being paid as part of the Fund's managed distribution program under which the Fund intends to make per share distributions of $0.1375 per quarter or $0.55 per year.
STEW: Warming Up To This Dish (Rating Upgrade)
SRH Total Return Fund is a concentrated equity fund with heavy bets on Berkshire Hathaway and other value-oriented stocks. The fund has underperformed mightily in recent months, primarily due to a widening discount to NAV, which is currently at a historically wide 22%. This historically wide discount to NAV creates a wide margin of safety for investors. So I am raising STEW to a relative buy.
