On September 13, 2023, Saba Capital Management, L.P. (Trades, Portfolio), a New York-based investment firm, added 61,369 shares of Blackrock CA Muni Income Tr (BFZ, Financial) to its portfolio. The shares were acquired at a price of $10.98 each, bringing the firm's total holdings in BFZ to 4,295,054 shares. This transaction had a 0.02% impact on the firm's portfolio and increased its position in BFZ to 14.10%.
About Saba Capital Management, L.P. (Trades, Portfolio)
Saba Capital Management, L.P. (Trades, Portfolio) is an investment firm located at 405 Lexington Avenue, New York. The firm manages a portfolio of 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 CA Muni Income Tr
Blackrock CA Muni Income Tr (BFZ, Financial) is a closed-end management investment company based in the United States. The company's primary objective is to provide current income exempt from regular U.S. federal income tax. It achieves this by investing a majority of its total assets in municipal bonds. The company, which operates in a single segment, went public on July 27, 2001, and has a market capitalization of $333.058 million. The stock's current price is $10.93.
Performance and Valuation of BFZ
As of the date of this article, BFZ is modestly undervalued with a GF-Score of 60/100. The stock's price to GF Value is 0.73, indicating that it is currently trading below its intrinsic value. However, the stock has experienced a slight decrease of 0.46% since the transaction and has a year-to-date gain of 0.28%.
Financial Health and Profitability of BFZ
BFZ has a Financial Strength rank of 5/10 and a Profitability Rank of 2/10. The company's Piotroski F-Score is 4, indicating average financial health. However, the company's Altman Z score is 0.00, suggesting potential financial distress. The company's cash to debt ratio is not applicable, indicating a lack of sufficient data.
Return on Equity and Assets
BFZ has a return on equity (ROE) of -9.92 and a return on assets (ROA) of -6.07. The company ranks 1319th in terms of ROE and 1275th in terms of ROA.
Growth and Momentum of BFZ
BFZ has a Growth Rank of 0/10, indicating no significant growth in the past three years. The company's momentum, as indicated by its Momentum Rank, is 7/10. The stock's 14-day RSI is 29.43, ranking 273rd, and its 6 - 1 month momentum index is 1.52, ranking 839th.
Conclusion
The recent acquisition by Saba Capital Management, L.P. (Trades, Portfolio) has increased its stake in BFZ, reflecting the firm's confidence in the stock. Despite the stock's modest undervaluation and average GF-Score, its financial health and profitability ranks are relatively low. Investors should consider these factors and monitor the stock's performance closely.
