On September 25, 2023, Saba Capital Management, L.P. (Trades, Portfolio), a New York-based investment firm, increased its holdings in BlackRock ESG Capital Allocation Trust (ECAT, Financial). The firm added 74,972 shares to its portfolio, representing a 0.52% change in shares. This transaction had a 0.03% impact on the firm's portfolio.
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 a firm that manages $3.84 billion in equity. The firm's portfolio consists of 624 stocks, with the top holdings being 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 top sectors are Financial Services and Technology. 
Details of the Transaction
The shares were purchased at a price of $14.78 each, bringing the total number of shares held by Saba Capital Management, L.P. (Trades, Portfolio) in ECAT to 14,562,341. This represents 5.61% of the firm's portfolio and 14.22% of the firm's holdings in ECAT.
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 company's objective is to provide total return and income through a combination of current income, current gains, and long-term capital appreciation. The company operates in a single segment and has a market capitalization of $1.51 billion. The current price of the stock is $14.73. 
Evaluation of the Stock's Performance
Since the transaction, the stock's price has decreased by 0.34%. Since its IPO, the stock's price has decreased by 26.35%. However, the stock has seen a year-to-date increase of 8.71%. The stock's GF-Score is 20/100, indicating poor future performance potential.
Assessment of the Stock's Future Performance Potential
The stock's Financial Strength is ranked 8/10, while its Profitability Rank and Growth Rank are both 0/10. The stock's Altman Z score is 0.00, indicating potential financial distress.
Examination of the Stock's Financial Health
The stock's ROE is 13.55, and its ROA is 12.30. The stock's gross margin growth, operating margin growth, revenue growth, EBITDA growth, and earning growth over the past three years are all 0.00.
Analysis of the Stock's Momentum
The stock's RSI 5 Day is 21.69, RSI 9 Day is 24.60, and RSI 14 Day is 29.01. The stock's momentum index 6 - 1 month is 3.54, and its momentum index 12 - 1 month is 16.74.
In conclusion, this transaction by Saba Capital Management, L.P. (Trades, Portfolio) has increased its stake in BlackRock ESG Capital Allocation Trust, making it a significant part of its portfolio. However, the stock's performance and future potential indicate that it may not yield high returns in the future.
