BlackRock Health Sciences Term Trust Reports 61% Surge in Short Interest
The BlackRock Health Sciences Term Trust (NYSE:BMEZ) experienced a significant increase in short interest in October 2023. As of October 15, the short interest reached a total of 200,900 shares, marking a remarkable rise of 61.1% from the 124,700 shares reported on September 30. With an average trading volume of 266,600 shares, the current days-to-cover ratio stands at 0.8 days, indicating a growing interest in short-selling this stock.
Institutional Investors Actively Engage with BMEZ
Recent trading activity shows that several institutional investors are adjusting their positions in BlackRock Health Sciences Term Trust. Notably, the Royal Bank of Canada significantly increased its stake by 326.9% during the first quarter. The institution now holds 1,594,157 shares, valued at approximately $23.75 million, after acquiring an additional 1,220,764 shares.
In the third quarter, Wolverine Asset Management LLC raised its stake by an astonishing 5,782.1%, now owning 224,518 shares valued at around $3.24 million following the purchase of 220,701 shares. Meanwhile, Tabor Asset Management LP and Shaker Financial Services LLC both established new positions in the trust, valued at approximately $3.27 million and $2.65 million, respectively. Quarry LP also increased its holdings by 102.6% during the first quarter, now owning 222,175 shares worth about $3.31 million.
Current Trading Conditions and Performance Metrics
On October 13, 2023, shares of BlackRock Health Sciences Term Trust opened at $15.00, reflecting a slight decline of 0.3%. The trust’s 50-day moving average is currently at $14.60, while the 200-day moving average sits at $14.38. Over the past year, shares have fluctuated between a low of $12.58 and a high of $16.75.
The investment objective of BlackRock Health Sciences Trust II (BMEZ) focuses on delivering total return and income through a mix of current income, current gains, and long-term capital appreciation. To achieve this goal, the trust aims to invest at least 80% of its total assets in equity securities of companies primarily engaged in the health sciences sector, alongside equity derivatives related to these industries.
The recent surge in short interest and active engagement from institutional investors highlights a shift in market sentiment towards the BlackRock Health Sciences Term Trust. As investors navigate the evolving landscape, the trust remains a focal point in the health sciences sector.
