On October 19, 2023, Saba Capital Management, L.P. (Trades, Portfolio), a New York-based investment firm, added 349,447 shares of BlackRock ESG Capital Allocation Trust (ECAT, Financial) to its portfolio. The transaction was executed at a price of $14.45 per share, bringing the firm's total holdings in ECAT to 17,239,091 shares. This acquisition represents a 2.07% change in shares and has a 0.13% impact on the firm's portfolio. The firm's current position in ECAT now stands at 6.49% of its portfolio, and it holds 16.84% of the total shares of ECAT.
About Saba Capital Management, L.P. (Trades, Portfolio)
Saba Capital Management, L.P. (Trades, Portfolio), located at 405 Lexington Avenue, New York, NY 10174, is an investment firm with a diverse portfolio. The firm currently holds 624 stocks, with a total equity of $3.84 billion. Its top holdings include Templeton Global Income Fund (GIM, Financial), BlackRock Capital Allocation Trust (BCAT, Financial), BlackRock Health Sciences Trust II (BMEZ, Financial), BlackRock Innovation & Growth Tr (BIGZ, Financial), and BlackRock ESG Capital Allocation Trust (ECAT, Financial). The firm's investments are primarily concentrated in the Financial Services and Technology sectors.
Overview of BlackRock ESG Capital Allocation Trust
BlackRock ESG Capital Allocation Trust (ECAT, Financial) is a non-diversified, closed-end management investment company based in the USA. The Trust aims to provide total return and income through a combination of current income, current gains, and long-term capital appreciation. As of October 20, 2023, the company has a market capitalization of $1.47 billion and its stock is trading at $14.36 per share. The company's PE ratio stands at 6.14. However, due to insufficient data, the GF Valuation and GF Value cannot be evaluated. The stock has seen a -0.62% change since the transaction and a -28.2% change since its IPO. The year-to-date price change ratio is 5.98%. The company's GF Score is 20/100, indicating poor future performance potential.
Performance Analysis of ECAT
ECAT's financial strength is ranked 8/10, while its profitability rank is 1/10. The company's growth rank, GF Value rank, and momentum rank are all 0/10 due to insufficient data. The company's Altman Z score is also not available. The company's cash to debt rank is 1, indicating a high level of debt. The company operates in the Asset Management industry and has a return on equity (ROE) of 13.55 and a return on assets (ROA) of 12.30. However, the company's gross margin growth, operating margin growth, revenue growth over 3 years, EBITDA growth over 3 years, and earnings growth over 3 years are all not available due to insufficient data.
ECAT's Predictability and Momentum
Due to insufficient data, ECAT's predictability rank is not available. The company's 5-day RSI is 27.96, its 9-day RSI is 34.15, and its 14-day RSI is 36.27. The company's 6-1 month momentum index is -1.96, while its 12-1 month momentum index is 13.60. The company's 14-day RSI rank is 745, and its 6-1 month momentum index rank is 816.
Conclusion
In conclusion, Saba Capital Management, L.P. (Trades, Portfolio)'s recent acquisition of ECAT shares represents a significant addition to its portfolio. Despite ECAT's low GF Score and profitability rank, the firm's increased stake in the company indicates a potential long-term investment strategy. However, given the lack of sufficient data for a comprehensive evaluation of ECAT's performance and predictability, value investors should exercise caution and conduct thorough research before making investment decisions.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
