HFRO (Highland Opportunities andome Fund) Moat Score: 2/10 (As of Jul. 07, 2026)


HFRO Highland Opportunities and Income Fund HFRO
39 GF Score
Price $7.46
! 4 Warning Signs
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What is Highland Opportunities andome Fund Moat Score?

Highland Opportunities andome Fund HFRO -0.67% 39 Moat Score is 2 as of Jul. 07, 2026. GuruFocus rates HFRO with a GF Score™ of 39/100. The stock has 4 warning signs investors should review. Among 1,699 Asset Management companies, Highland Opportunities andome Fund ranks better than 80.11% on this metric.

Highland Opportunities andome Fund has the Moat Score of 2, which implies that the company might have No Moat - Very weak/transient advantages.

Highland Opportunities andome Fund has No Moat: Highland Opportunities and Income Fund operates in a competitive financial sector with no significant market leadership, brand strength, or regulatory barriers, resulting in a very weak moat.

Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more.

The company's Moat Score is based on these criteria:

1. Market leadership and sustainable market share
2. Network effects and significant customer switching costs
3. Valuable intellectual property and patents
4. Strong brand strength and deep customer loyalty
5. Durable cost advantages (e.g., economies of scale, proprietary technology)
6. Significant regulatory barriers and exclusive licenses
7. Superior distribution network
8. Strong and sustainable pricing power
9. Consistent and impactful innovation and R&D capabilities

Based on the research, GuruFocus believes Highland Opportunities andome Fund might have No Moat - Very weak/transient advantages.

Highland Opportunities andome Fund  (NYSE:HFRO) Moat Score Explanation

The Moat Score ranges from 0 to 10, with 10 as the highest. GuruFocus divided Moat Score into following 8 categories:

Moat Score Moat Level
10Wide Moat - Exceptionally dominant and durable wide moat
8 - 9Wide Moat - Clear and robust wide moat
7Wide Moat - Entry-level wide moat, clearly possessing durable advantages
6Narrow Moat - Strong narrow moat, clearly distinguishable but not wide
5Narrow Moat - Solid narrow moat
4Narrow Moat - Discernible but modest moat
1 - 3No Moat - Very weak/transient advantages
0No Moat - No discernible moat

Highland Opportunities andome Fund Moat Score Related Terms

HFRO vs GBAB, ALTI, NCV: Moat Score Comparison

For the Asset Management subindustry, Highland Opportunities andome Fund's Moat Score, along with its competitors' market caps and Moat Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Highland Opportunities andome Fund Moat Score vs Asset Management Industry

For the Asset Management industry and Financial Services sector, Highland Opportunities andome Fund's Moat Score distribution charts can be found below:

* The bar in red indicates where Highland Opportunities andome Fund's Moat Score falls into.


HFRO
39GF Score
Highland Opportunities and Income Fund HFRO
Moat Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Frequently Asked Questions Learn more about Moat Score →
What does a Moat Score of 2 mean?
Highland Opportunities andome Fund (HFRO) has a Moat Score of 2 as of Jul. 07, 2026. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. According to the industry distribution chart, Highland Opportunities andome Fund ranks #338 out of 1699 companies in the Asset Management industry, placing it in the top 19.9%.
Is Highland Opportunities andome Fund's Moat Score too high?
Highland Opportunities andome Fund's current Moat Score is 2. Based on the distribution chart, Highland Opportunities andome Fund ranks #338 out of 1699 companies in the Asset Management industry, which is in the top quartile — a strong position relative to peers. Overall, Highland Opportunities andome Fund has a GF Score™ of 39/100, reflecting its overall financial health beyond just this single metric.
How does Highland Opportunities andome Fund's Moat Score compare to GBAB and ALTI?
According to the Asset Management industry distribution chart, Highland Opportunities andome Fund ranks #338 out of 1699 companies for Moat Score. This places Highland Opportunities andome Fund in the top 20% of its industry — outperforming the majority of peers. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Moat Score for an Asset Management company?
A good Moat Score depends on the Asset Management industry context. However, Moat Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Moat Score mean?
A high Moat Score can signal that a stock is expensive relative to its fundamentals. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. Highland Opportunities andome Fund's current Moat Score is 2. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Highland Opportunities andome Fund stock overvalued right now?
Highland Opportunities andome Fund (HFRO) has a current Moat Score of 2. The current Moat Score is 2. Highland Opportunities andome Fund's overall GF Score™ is 39/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Moat Score calculated?
Moat Score is calculated from a company's financial statements. For Highland Opportunities andome Fund (HFRO), the current Moat Score is 2 as of Jul. 07, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Highland Opportunities andome Fund Business Description

Other Exchanges HFROpA.PFD:USA
Address 300 Crescent Court, Suite 700, Dallas, TX, USA, 75201
Highland Opportunities and Income Fund is a non-diversified, closed-end management investment company. Its investment objective is to Income Fund seeks growth of capital along with income. It focuses on making investments in real estate securities, including Reits, secured and unsecured fixed-rate loans and corporate bonds, mezzanine securities, structured products, convertible and preferred securities and equities (public and private), and floating rate securities.
39GF Score

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Moat Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

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