BlackRock Capital Allocation Term Trust (NYSE:BCAT) Sees Substantial Rise in Short Interest

The BlackRock Capital Allocation Term Trust (NYSE:BCAT - Get Free Report) has experienced a notable increase in short interest during December. As of December 15th, the total short interest amounted to 128,600 shares, marking a 13.4% rise from the previous total of 113,400 shares reported on November 30th. Considering an average daily trading volume of 402,500 shares, the current short-interest ratio stands at 0.3 days.

Insider Activity

In related news regarding BlackRock Capital Allocation Term Trust, Saba Capital Management, L.P., a significant shareholder, sold 52,067 shares of the trust's stock on October 4th. These shares were sold at an average price of $16.47, leading to a total transaction value of approximately $857,543.49. Following this sale, the insider retains ownership of 15,669,481 shares, which are valued at around $258,076,352.07. This transaction represents a decrease of 0.33% in their overall shareholding. The details of this transaction were disclosed in a filing with the Securities and Exchange Commission.

Institutional Inflows and Outflows

Recently, there have been several transactions involving shares of BCAT by large investors. For instance, Penserra Capital Management LLC acquired a new stake in BlackRock Capital Allocation Term Trust in the third quarter, investing approximately $15,901,000. Similarly, Sanctuary Advisors LLC also purchased a new position during the second quarter, valued at around $2,967,000. In the same period, Cambridge Investment Research Advisors Inc. increased its stake in the trust by 4.3%, owning 133,238 shares after acquiring an additional 5,438 shares. Blue Bell Private Wealth Management LLC also boosted its holdings by 4.0%, totaling 104,722 shares valued at approximately $1,718,000 after acquiring an additional 4,059 shares last quarter. Lastly, Mathes Company Inc. grew its position by 6.0% during the third quarter, owning 96,500 shares worth $1,587,000 after purchasing 5,500 additional shares. Overall, 36.12% of the stock is owned by hedge funds and institutional investors.

BlackRock Capital Allocation Term Trust Stock Performance

On Wednesday, the shares of NYSE BCAT saw a slight increase of $0.05, reaching $15.15 during trading. The trading volume for the day was recorded at 676,663 shares, significantly higher than the average volume of 370,566 shares. Over the past year, BlackRock Capital Allocation Term Trust has hit a 12-month low of $14.76 and a high of $17.18. The company’s 50-day moving average is at $15.98, while the 200-day moving average stands at $16.22.

Dividend Announcement

The trust has also announced an increase in its monthly dividend, which was paid out on December 23rd. Investors who were on record as of December 16th received a dividend of $0.2892 per share, amounting to an annualized dividend of $3.47 and a yield of 22.91%. This marks an increase from the previous monthly dividend, which was $0.10. The ex-dividend date for this distribution was December 16th.

Overview of BlackRock Capital Allocation Term Trust

BlackRock Capital Allocation Term Trust is designed to provide investors with exposure to a diversified portfolio and aims to generate income through its investments.

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