PIMCO Income Strategy Fund II
PFNFinancial Services · Stock · monthly payer
Forward Yield
12.29%
Annual Dividend
$0.86
Payout Ratio
166%
5-Yr Growth
-2.1%
Ex-Date
Jul 13, 2026
Frequency
Monthly
Summary
As of July 2026, PIMCO Income Strategy Fund II (PFN) yields 12.29% ($0.86 per share annually), with a blended fair-value estimate of $11.88 — +68% upside, so it screens as undervalued. Dividend safety grade: C (55/100).
Is PFN a good dividend stock?
MixedPIMCO Income Strategy Fund II (PFN) pays a monthly dividend yielding 12.29% ($0.86/yr), with 0 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
Risks
- Cut its dividend in 2022
- Elevated payout ratio (166%)
- Dividend has been shrinking, not growing
- Very high yield can signal elevated risk
- Share price is down over the past 5 years
Key Data
- Dividend Yield
- 12.29%
- Payout Ratio
- 166%
- Annual Dividend
- $0.86
- 5-Yr Avg Growth
- -2.1%
- Ex-Dividend Date
- Jul 13, 2026
- Years of Growth
- 0
- Frequency
- monthly
- Beta
- 0.58
- Market Cap
- $695.1M
- P/E Ratio
- 13.6
- 5-Yr Total Return
- -38%
- 52-Week Range
- $6.53 – $7.67
- Dividend Safety
- C · 55/100
- Ever Cut?
- Yes (2022)
Frequently Asked Questions
PFN Price — Last 12 Months
Daily close
Price Return
1 Year
-7%
3 Years
+3%
5 Years
-38%
52-Week Range
$6.53 – $7.67
Price change over each period (excludes dividends). Past performance doesn't guarantee future results.
What is PFN worth?
Undervaluedmedium confidenceOur blended fair-value estimate for PIMCO Income Strategy Fund II is $11.88 per share, versus a market price of $7.05. That implies 68% of upside — a margin of safety of about 41%.
Fair Value
$11.88
Current Price
$7.05
Upside
+68%
Margin of Safety
41%
How we get there
Discounted cash flow
Discounts projected free cash flow back to today.
Dividend discount
Discounts the future dividend stream back to today.
Earnings multiple (Graham)
Graham's earnings-multiple formula, anchored to bond yields.
At today's price, the market is pricing in about -10.0% annual free-cash-flow growth. We model -2.1% — below our estimate, leaving room for upside if the business executes.
Assumptions: 7.2% discount rate (CAPM), -2.1% stage-1 growth, 2.5% terminal growth, $0.52 EPS, $0.86 annual dividend. Updated weekly.
Fair-value estimates are model output for educational purposes only — not investment advice or a price target.
PFN 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 |
|---|---|---|---|
| Jul 13, 2026 | — | $0.0720 | regular |
| Jun 11, 2026 | — | $0.0720 | regular |
| May 11, 2026 | — | $0.0720 | regular |
| Apr 13, 2026 | — | $0.0720 | regular |
| Mar 12, 2026 | — | $0.0720 | regular |
| Feb 12, 2026 | — | $0.0720 | regular |
| Jan 13, 2026 | — | $0.0720 | regular |
| Dec 11, 2025 | — | $0.0720 | regular |
| Nov 14, 2025 | — | $0.0720 | regular |
| Oct 14, 2025 | — | $0.0720 | regular |
| Sep 12, 2025 | — | $0.0720 | regular |
| Aug 11, 2025 | — | $0.0720 | regular |
| Jul 11, 2025 | — | $0.0720 | regular |
| Jun 12, 2025 | — | $0.0720 | regular |
Income Calculator
At $0.86 / yr per share
