On September 15, 2023, Saba Capital Management, L.P. (Trades, Portfolio), a New York-based investment firm, added 159,767 shares of Destra Multi-Alternative Fund (DMA, Financial) to its portfolio. This transaction increased the firm's total holdings in DMA to 1,068,837 shares, representing a 17.57% change. The shares were acquired at a price of $6.03 each, with the transaction having a 0.03% impact on the firm's portfolio. The firm now holds a 11.93% stake in DMA.
Destra Multi-Alternative Fund is a non-diversified, closed-end management investment company based in the USA. Operating as an interval fund with a continuous offering of fund shares, its primary objective is to generate returns from capital appreciation and income, with a particular emphasis on income generation. The company operates in a single segment and has a market capitalization of $56.54 million.
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.
Analysis of Destra Multi-Alternative Fund
As of September 19, 2023, Destra Multi-Alternative Fund's stock price stands at $6.308, representing a 4.61% gain since the transaction. However, the stock has seen a decline of 47.43% since its IPO and a year-to-date decline of 9.11%. The company's PE percentage is currently at 0.00, indicating that it is operating at a loss. Due to insufficient data, the GF Valuation cannot be evaluated.
The company's GF Score is 20 out of 100, suggesting a poor future performance potential. Its Financial Strength is ranked 5 out of 10, while its Profitability Rank is 2 out of 10. The company's Growth Rank is 0 out of 10, indicating no growth in recent years.
Future Performance Predictability
Destra Multi-Alternative Fund's future performance predictability cannot be evaluated due to insufficient data. The company's RSI 5 Day, RSI 9 Day, and RSI 14 Day are 62.94, 63.47, and 65.01 respectively. Its Momentum Index 6 - 1 Month and Momentum Index 12 - 1 Month are -12.48 and -22.69 respectively.
Conclusion
In conclusion, Saba Capital Management, L.P. (Trades, Portfolio)'s recent acquisition of Destra Multi-Alternative Fund shares represents a significant addition to its portfolio. Despite the stock's poor performance indicators and negative growth, the firm's increased stake could suggest a belief in the company's potential turnaround. However, value investors should exercise caution and conduct thorough research before making investment decisions based on this transaction.
