Head-To-Head Review: DWS Municipal Income Trust (NYSE:KTF) and Oxford Square Capital (NASDAQ:OXSQ)

Dividends

DWS Municipal Income Trust pays an annual dividend of $0.66 per share and has a dividend yield of 6.9%. Oxford Square Capital pays an annual dividend of $0.42 per share and has a dividend yield of 14.8%. Oxford Square Capital pays out -420.0% of its earnings in the form of a dividend.

Institutional & Insider Ownership

57.7% of DWS Municipal Income Trust shares are owned by institutional investors. Comparatively, 6.4% of Oxford Square Capital shares are owned by institutional investors. 1.0% of DWS Municipal Income Trust shares are owned by company insiders. Comparatively, 10.4% of Oxford Square Capital shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Valuation & Earnings

This table compares DWS Municipal Income Trust and Oxford Square Capital”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
DWS Municipal Income Trust	N/A	N/A	N/A	N/A	N/A
Oxford Square Capital	-$208,047.00	-926.78	$17.24 million	($0.10)	-28.40

Oxford Square Capital has lower revenue, but higher earnings than DWS Municipal Income Trust.

Profitability

This table compares DWS Municipal Income Trust and Oxford Square Capital’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
DWS Municipal Income Trust	N/A	N/A	N/A
Oxford Square Capital	-10.48%	18.58%	9.76%

Risk and Volatility

DWS Municipal Income Trust has a beta of 0.48, suggesting that its share price is 52% less volatile than the S&P 500. Comparatively, Oxford Square Capital has a beta of 1.09, suggesting that its share price is 9% more volatile than the S&P 500.

Summary

Oxford Square Capital beats DWS Municipal Income Trust on 6 of the 9 factors compared between the two stocks.

About DWS Municipal Income Trust

Deutsche Municipal Income Trust is a closed-ended fixed income mutual fund launched and managed by Deutsche Investment Management Americas, Inc. It invests in the fixed income markets of the United States. The fund primarily invests in investment-grade tax-exempt municipal securities which are exempt from federal income tax. It seeks to invest in securities that are rated Baa or BBB or better by Moody’s or S&P. The fund benchmarks the performance of its portfolio against the Barclays Municipal Bond Index. It was formerly known as DWS Municipal Income Trust. Deutsche Municipal Income Trust was formed on October 20, 1988 and is domiciled in the United States.

About Oxford Square Capital

Oxford Square Capital Corp. is a business development company, operates as a closed-end, non-diversified management investment company. It is a private equity and mezzanine firm. The firm invests in both public and private companies. It invests in secured and unsecured senior debt, subordinated debt, junior subordinated debt, preferred stock, common stock and syndicated bank loans. The firm primarily invests in debt and/or equity securities of technology-related companies that operate in the computer software, Internet, information technology infrastructure and services, media, telecommunications and telecommunications equipment, semiconductors, hardware, technology-enabled services, semiconductor capital equipment, medical device technology, diversified technology, and networking systems sectors. It concentrates its investments in companies having annual revenues of less than $200 million and a market capitalization or enterprise value of less than $300 million. The firm invests between $5 million and $30 million per transaction. It seeks to exit its investments within 7 years. It serves as the investment adviser to TICC. Oxford Square Capital Corp., formerly known as TICC Capital Corp., was founded in 2003 and is headquartered in Greenwich, Connecticut.