Saba Capital Management, L.P., a significant shareholder in BlackRock (NYSE:BLK) Innovation & Growth Term Trust (NYSE:BIGZ), has recently expanded its stake in the company with a substantial purchase of common stock. According to a recent SEC filing, Saba acquired a total of 199,373 shares over two consecutive days, with the transactions occurring on November 12 and November 13. The shares were purchased at prices ranging from $7.73 to $7.82, amounting to a total investment of approximately $1.55 million.
This acquisition increases Saba's holdings to 57,617,107 shares, underscoring its continued interest in the trust. Boaz Weinstein, associated with Saba, is also noted as a ten percent owner in the filing. The transactions reflect Saba's strategic position in the trust, which focuses on innovation and growth opportunities.
InvestingPro Insights
BlackRock Innovation & Growth Term Trust (NYSE:BIGZ) presents an intriguing investment profile, particularly in light of Saba Capital Management's recent stake increase. According to InvestingPro data, BIGZ boasts a substantial dividend yield of 13.3%, with the most recent ex-dividend date on October 15, 2024. This aligns with one of the InvestingPro Tips, which highlights that BIGZ "pays a significant dividend to shareholders."
The trust's current market capitalization stands at $1.71 billion, with a price-to-earnings ratio of 7.87, suggesting a potentially attractive valuation for investors seeking exposure to innovation and growth sectors. BIGZ has also demonstrated positive momentum, with a year-to-date price total return of 16.16% and a one-year return of 21.67%.
However, investors should note that another InvestingPro Tip cautions that BIGZ "suffers from weak gross profit margins," which may impact its long-term profitability. For a more comprehensive analysis, InvestingPro offers additional tips and insights that could be valuable for investors considering BIGZ as part of their portfolio.
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