BlackRock Capital Allocation Trust
BlackRock Capital Allocation Trust Fundamental Analysis
BlackRock Capital Allocation Trust (BCAT) shows moderate financial fundamentals with a PE ratio of 7.09, profit margin of 98.65%, and ROE of 13.39%. The company generates $0.2B in annual revenue with weak year-over-year growth of -4.46%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 49.1/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze BCAT's fundamental strength across five key dimensions:
Efficiency Score
ExcellentBCAT demonstrates superior asset utilization.
Valuation Score
ExcellentBCAT trades at attractive valuation levels.
Growth Score
WeakBCAT faces weak or negative growth trends.
Financial Health Score
ModerateBCAT shows balanced financial health with some risks.
Profitability Score
ModerateBCAT maintains healthy but balanced margins.
Key Financial Metrics
Is BCAT Expensive or Cheap?
P/E Ratio
BCAT trades at 7.09 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, BCAT's PEG of 0.07 indicates potential undervaluation.
Price to Book
The market values BlackRock Capital Allocation Trust at 0.99 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 7.03 times EBITDA. This is generally considered low.
How Well Does BCAT Make Money?
Net Profit Margin
For every $100 in sales, BlackRock Capital Allocation Trust keeps $98.65 as profit after all expenses.
Operating Margin
Core operations generate 98.65 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $13.39 in profit for every $100 of shareholder equity.
ROA
BlackRock Capital Allocation Trust generates $11.29 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
BlackRock Capital Allocation Trust generates strong operating cash flow of $349.99M, reflecting robust business health.
Free Cash Flow
BlackRock Capital Allocation Trust generates strong free cash flow of $349.99M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $3.34 in free cash annually.
FCF Yield
BCAT converts 22.82% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
7.09
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.07
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.99
vs 25 benchmark
P/S Ratio
Price to sales ratio
6.90
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.00
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.02
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.13
vs 25 benchmark
ROA
Return on assets percentage
0.11
vs 25 benchmark
ROCE
Return on capital employed
0.13
vs 25 benchmark
How BCAT Stacks Against Its Sector Peers
| Metric | BCAT Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 7.09 | 18.83 | Better (Cheaper) |
| ROE | 13.39% | 817.00% | Weak |
| Net Margin | 98.65% | 1784.00% | Weak |
| Debt/Equity | 0.00 | 0.99 | Strong (Low Leverage) |
| Current Ratio | 0.02 | 661.85 | Weak Liquidity |
| ROA | 11.29% | -23754.00% (disorted) | Strong |
BCAT outperforms its industry in 3 out of 6 key metrics, particularly excelling in ROA, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews BlackRock Capital Allocation Trust's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
61.63%
Industry Style: Value, Dividend, Cyclical
High GrowthEPS CAGR
59.13%
Industry Style: Value, Dividend, Cyclical
High GrowthFCF CAGR
117.39%
Industry Style: Value, Dividend, Cyclical
High Growth