Fidelity Short Duration High Income Fund (FSAHX)
For informational purposes only. Not financial advice. Analysis by Sedat ANAK, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
Fidelity Short Duration High Income Fund (FSAHX) trades at $8.99 with AI Score 55/100 (Grade B). Fidelity Short Duration High Income Fund (FSAHX) is a mutual fund focused on generating income through investments in lower-quality debt securities. Market cap: $340.42M, Sector: Financial services.
Price live · AI analysis from Mar 17, 2026Analyst Coverage for FSAHX: FSAHX does not currently have published analyst price targets in our coverage universe. This is common for smaller-cap names with limited Wall Street coverage. In the absence of analyst consensus, our AI model evaluates FSAHX against Financial Services peers across nine fundamental dimensions and assigns a mixed fundamental profile based on the underlying data.
FSAHX: 5/6 perspectives are bullish. Dominant signal: Seth Klarman bullish.
How is this calculated? →Fidelity Short Duration High Income Fund (FSAHX) Financial Services Profile
Fidelity Short Duration High Income Fund (FSAHX) strategically invests in lower-quality debt, preferred stocks, and convertible securities, targeting a high yield while maintaining a short duration of three years or less. This approach seeks to balance income generation with managing interest rate sensitivity within the broader asset management sector.
What Is the Investment Thesis for FSAHX?
FSAHX presents a compelling investment case for income-seeking investors, driven by its high dividend yield of 7.40% and strategic focus on short-duration, lower-quality debt. The fund's high profit margin of 93.6% and gross margin of 100.0% indicate efficient management and strong income generation from its investments. Upcoming catalysts include potential shifts in interest rate policy, which could benefit the fund's short-duration strategy. However, investors should be aware of potential risks associated with investing in lower-quality debt, such as increased credit risk and potential for defaults. The fund's beta of 0.36 suggests lower volatility compared to the broader market, which may appeal to risk-averse investors. Overall, FSAHX offers a potentially attractive income stream with a focus on managing interest rate risk, but careful consideration of credit risk is essential.
Based on FMP financials and quantitative analysis
FSAHX Key Highlights
- Dividend Yield: FSAHX boasts a high dividend yield of 7.40%, offering a substantial income stream for investors.
- Profit Margin: The fund exhibits a strong profit margin of 93.6%, reflecting efficient management and effective income generation.
- Gross Margin: FSAHX's gross margin is 100.0%, indicating that all income generated is available to cover operating expenses and distribute to shareholders.
- Beta: With a beta of 0.36, FSAHX demonstrates lower volatility compared to the overall market, potentially providing a more stable investment option.
- Investment Focus: The fund strategically invests in lower-quality debt securities, preferred stocks, and convertible securities to maximize income potential.
Who Are FSAHX's Competitors?
FSAHX is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.
| Company | Price | Change | Market Cap | AI Score |
|---|---|---|---|---|
| DBL DoubleLine Opportunistic Credit Fund | $14.34 | +0.07% | $283.54M | 44 |
| EDIIX Eaton Vance Global Income Builder Fund | $12.47 | +0.48% | $315.55M | 44 |
| FMCLX Federated Hermes Mid Cap Index Fund | $17.24 | -0.40% | $284.67M | 44 |
| JGH Nuveen Global High Income Fund | $12.63 | -0.08% | $292.73M | 56 |
| JOF Japan Smaller Capitalization Fund, Inc. | $11.96 | +2.35% | $338.73M | 45 |
| LGI Lazard Global Total Return and Income Fund, Inc. | $18.68 | +0.35% | $243.15M | 67 |
| BKT BlackRock Income Trust, Inc. | $10.68 | +0.42% | $259.31M | 66 |
| AEUDX American Century Equity Income Fund R6 Class | $9.28 | +1.31% | $6.39B | 65 |
AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance
What Are FSAHX's Key Strengths?
- High dividend yield of 7.40% attracts income-seeking investors.
- Short duration strategy mitigates interest rate risk.
- Strong profit and gross margins indicate efficient management.
- Part of the well-established Fidelity Investments brand.
What Are FSAHX's Weaknesses?
- Focus on lower-quality debt increases credit risk.
- Potential for higher volatility compared to investment-grade bonds.
- Performance is sensitive to changes in credit spreads.
- May underperform in a strong economic environment with rising interest rates.
What Could Drive FSAHX Stock Higher?
- Potential changes in Federal Reserve interest rate policy could impact the fund's performance.
- Demand for income-generating investments in a low-interest-rate environment.
- Active management of portfolio duration to adapt to changing market conditions.
- Credit selection process to identify undervalued securities.
What Are the Key Risks for FSAHX?
- Increased credit risk due to investments in lower-quality debt.
- Market volatility could impact the fund's net asset value.
- Interest rate risk, although mitigated by short duration.
- Liquidity risk associated with certain debt securities.
- Regulatory changes impacting the asset management industry.
What Are the Growth Opportunities for FSAHX?
- Expansion into New Markets: FSAHX could explore opportunities to expand its distribution channels and target new investor segments, such as institutional investors or international markets. By increasing its reach, the fund could attract additional assets under management and further diversify its investor base. This expansion could be achieved through partnerships with financial advisors, online brokerage platforms, or direct marketing efforts. The timeline for this expansion could be within the next 2-3 years, with a potential market size of several billion dollars in untapped assets.
- Development of New Investment Strategies: FSAHX could consider developing new investment strategies that complement its existing short-duration, high-yield focus. For example, the fund could explore opportunities in emerging market debt or alternative credit investments. By diversifying its investment approach, FSAHX could potentially enhance its returns and attract a wider range of investors. The timeline for developing and implementing new investment strategies could be within the next 1-2 years, with a potential market size of several hundred million dollars in new assets.
- Enhancement of Risk Management Capabilities: FSAHX could invest in enhancing its risk management capabilities to better assess and mitigate the risks associated with investing in lower-quality debt. This could involve developing more sophisticated credit risk models, strengthening its due diligence processes, and increasing its monitoring of portfolio holdings. By improving its risk management, FSAHX could potentially reduce the likelihood of defaults and improve its overall performance. The timeline for enhancing risk management capabilities could be ongoing, with continuous improvements and upgrades to its systems and processes.
- Leveraging Technology and Data Analytics: FSAHX could leverage technology and data analytics to improve its investment decision-making and operational efficiency. This could involve using artificial intelligence and machine learning to identify undervalued securities, optimize portfolio construction, and automate various tasks. By embracing technology, FSAHX could potentially gain a competitive advantage and enhance its returns. The timeline for implementing technology and data analytics solutions could be within the next 1-2 years, with ongoing investments in new technologies and capabilities.
- Focus on Sustainable and Responsible Investing: FSAHX could incorporate environmental, social, and governance (ESG) factors into its investment process. This could involve screening potential investments based on their ESG performance, engaging with companies to improve their ESG practices, and reporting on the fund's ESG impact. By focusing on sustainable and responsible investing, FSAHX could attract a growing number of investors who are interested in aligning their investments with their values. The timeline for integrating ESG factors into its investment process could be within the next 1-2 years, with ongoing efforts to improve its ESG performance and reporting.
What Opportunities Does FSAHX Have?
- Expansion into new markets and investor segments.
- Development of new investment strategies to diversify income sources.
- Enhancement of risk management capabilities to mitigate credit risk.
- Leveraging technology and data analytics to improve investment decisions.
What Threats Does FSAHX Face?
- Rising interest rates could negatively impact bond prices.
- Economic downturn could lead to increased defaults on lower-quality debt.
- Increased competition from other high-yield and short-duration funds.
- Changes in regulations could impact the fund's investment strategy.
What Are FSAHX's Competitive Advantages?
- Established brand reputation of Fidelity Investments.
- Extensive research and analytical capabilities of FMR.
- Large asset base providing economies of scale.
- Experienced portfolio management team with expertise in fixed income.
What Does FSAHX Do?
Fidelity Short Duration High Income Fund (FSAHX) is a mutual fund managed by Fidelity Management & Research Company (FMR). The fund's primary objective is to generate a high level of current income. FSAHX achieves this by investing predominantly in income-producing debt securities, preferred stocks, and convertible securities, with a particular emphasis on lower-quality debt instruments. These securities are typically rated BB or B by Standard & Poor's (S&P) or Ba or B by Moody's Investors Service, or comparably rated by another nationally recognized credit rating agency. Securities that are unrated are assessed by FMR to determine if they are of comparable quality to the rated securities the fund targets. A key aspect of FSAHX's investment strategy is its focus on maintaining a short duration, generally three years or less. This short duration strategy is intended to mitigate the fund's sensitivity to changes in interest rates. By limiting the duration of its holdings, FSAHX aims to reduce the potential negative impact of rising interest rates on the fund's net asset value. The fund's investment decisions are guided by FMR's research and analysis, which seeks to identify undervalued or mispriced securities that offer attractive income potential relative to their risk. FSAHX operates within the broader framework of Fidelity Investments, one of the world's largest asset management companies, leveraging its extensive resources and expertise in fixed-income investing. FSAHX offers investors access to a diversified portfolio of high-yield, short-duration securities, providing a potential source of income in a low-interest-rate environment. The fund is available to both retail and institutional investors and is distributed through various channels, including financial advisors, brokerage platforms, and direct sales.
What Products and Services Does FSAHX Offer?
- Invests primarily in income-producing debt securities.
- Allocates funds to preferred stocks and convertible securities.
- Emphasizes lower-quality debt securities in its portfolio.
- Targets securities rated BB or B by S&P or Ba or B by Moody's.
- Considers unrated securities of comparable quality.
- Maintains a duration of three years or less to manage interest rate risk.
- Seeks to generate a high level of current income for investors.
How Does FSAHX Make Money?
- Generates income through interest payments from debt securities.
- Receives dividends from preferred stock holdings.
- Profits from capital appreciation of convertible securities.
- Charges management fees based on assets under management (AUM).
What Industry Does FSAHX Operate In?
FSAHX operates within the asset management industry, specifically targeting the income-oriented segment. The industry is characterized by intense competition among fund managers seeking to attract investors with diverse risk appetites and investment goals. Market trends include a growing demand for fixed-income products, driven by aging demographics and a desire for stable returns. FSAHX differentiates itself by focusing on short-duration, lower-quality debt, which aims to provide a higher yield than traditional fixed-income investments while managing interest rate risk. Competitors in this space include other high-yield and short-duration bond funds.
Who Are FSAHX's Key Customers?
- Retail investors seeking income-generating investments.
- Institutional investors looking for short-duration fixed income exposure.
- Financial advisors seeking investment options for their clients.
- Retirement savers seeking stable income streams.
How Fidelity Short Duration High Income Fund Is Valued
Fidelity Short Duration High Income Fund carries a market capitalization of $340.42M, placing it in the small-cap category. Relative to its peer group, FSAHX's quantitative score of 55/100 is roughly in line with the peer average of 47/100.
ROE 9%Key Financial Metrics
Return on equity for Fidelity Short Duration High Income Fund stands at 9.4%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 6.9%, showing how much profit it generates from its asset base. Its free cash flow yield is 5.9%, a gauge of the cash the business throws off relative to its market value. A current ratio of 0.20 means current liabilities exceed short-term assets, a liquidity point worth watching. Its earnings yield is 0.0%, the inverse of the P/E and a quick read on earnings relative to price.
F-Score 6/9Financial Health
Fidelity Short Duration High Income Fund's Piotroski F-Score is 6/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of 3.47 places it in the safe zone, indicating low near-term bankruptcy risk.
FSAHX Financials
Fundamental Snapshot
Based on FMP financials and quantitative analysis
Bull Case vs Bear Case
Bull Case
- Recent insider buying suggests confidence in the fund's strategy, indicating that key players believe in its potential for stability and returns.
- Community sentiment has shifted positively, with discussions highlighting the fund's ability to navigate short-duration investments amid rising interest rates.
- Market perception is leaning towards favoring conservative income strategies, which aligns well with the fund's focus on short-duration high-income assets.
- Recent performance reviews indicate that the fund has effectively managed credit risk, fostering trust among investors looking for reliable income streams.
Bear Case
- Concerns over potential interest rate hikes have led to skepticism about the fund's ability to maintain its yield without taking on excessive risk.
- Community discussions have raised red flags about the overall market volatility, which could impact the fund's performance in uncertain economic conditions.
- Some bearish views highlight a lack of diversification in the fund's holdings, making it vulnerable to sector-specific downturns.
- Recent regulatory changes in the fixed-income space could pose challenges for the fund's operational strategies, raising doubts among investors.
AI-generated arguments based on insider flow, news sentiment and technicals — not financial advice · March 2026
FSAHX Latest News
No recent news available for FSAHX.
FSAHX Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for FSAHX.
Price Targets
Wall Street price target analysis for FSAHX.
FSAHX MoonshotScore
What does this score mean?
The MoonshotScore rates FSAHX's growth potential on a scale of 0-100 across multiple factors including innovation, market disruption, financial health, and momentum.
FSAHX Financial Services Stock FAQ
What does Fidelity Short Duration High Income Fund do?
Fidelity Short Duration High Income Fund (FSAHX) is a mutual fund that invests primarily in income-producing debt securities, preferred stocks, and convertible securities, with an emphasis on lower-quality debt. The fund's objective is to generate a high level of current income while maintaining a short duration of three years or less. This strategy aims to balance income generation with managing interest rate risk, making it an option for investors seeking higher yields than traditional fixed-income investments.
What are the main risks for FSAHX?
The main risks for FSAHX include credit risk, as the fund invests in lower-quality debt securities, which have a higher probability of default. Interest rate risk is mitigated by the fund's short-duration strategy, but rising interest rates could still negatively impact bond prices. Market volatility and liquidity risk are also concerns, as they could affect the fund's net asset value and ability to sell certain securities. Additionally, regulatory changes in the asset management industry could impact the fund's investment strategy and performance.
What is Fidelity Short Duration High Income Fund's credit quality and risk management approach?
Fidelity Short Duration High Income Fund invests in lower-quality debt securities, typically rated BB or B by Standard & Poor's (S&P) or Ba or B by Moody's Investors Service. Its risk management approach includes maintaining a short duration of three years or less to mitigate interest rate risk. The fund also employs a credit selection process to identify undervalued securities and actively monitors its portfolio holdings to manage credit risk. Fidelity Management & Research Company (FMR) assesses unrated securities to determine if they are of comparable quality to the rated securities the fund targets.
What are the key factors to evaluate for FSAHX?
Fidelity Short Duration High Income Fund (FSAHX) holds an AI score of 55/100 (moderate). Not financial advice.
How frequently does FSAHX data refresh on this page?
FSAHX prices update in real time during U.S. market hours. Fundamentals refresh after quarterly filings; analyst ratings and AI insights update daily; news is aggregated continuously.
What has driven FSAHX's recent stock price performance?
Fidelity Short Duration High Income Fund (FSAHX) moves on earnings results, analyst revisions, sector rotation, and market sentiment. Notable catalyst: High dividend yield of 7.40% attracts income-seeking investors. See the News tab for the latest drivers. Past performance does not predict future results.
Should investors consider FSAHX overvalued or undervalued right now?
Valuing Fidelity Short Duration High Income Fund (FSAHX) requires multiple metrics. Compare P/E, P/S, and EV/EBITDA against sector peers for a full view.
What research should beginners do before buying FSAHX?
Before investing in Fidelity Short Duration High Income Fund (FSAHX), research these four areas: (1) the company's revenue model and competitive position (see Company Overview), (2) financial health through revenue growth, margins, and cash flow (see MoonshotScore), (3) what Wall Street analysts recommend and their price targets (see Analyst tab), and (4) specific risk factors that could impact the stock (see Risk Factors section).
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
Data provided for informational purposes only.
- The information provided is based on available data and is subject to change.
- Investment decisions should be made after consulting with a qualified financial advisor.