Saba Capital Management, L.P., a significant stakeholder in Gabelli Healthcare & WellnessRx Trust (NYSE:GRX), recently reported the acquisition of additional shares in the company. According to a recent SEC filing, Saba Capital purchased 4,341 shares of common stock at a price of $10.24 per share on November 25, 2024, totaling approximately $44,451. This transaction increases the firm's holdings to 1,875,369 shares, reflecting its continued investment interest in the healthcare and wellness sector. The filing was signed by Zachary Gindes on behalf of Saba Capital and by Boaz Weinstein, a key figure associated with the firm.
InvestingPro Insights
Saba Capital Management's recent acquisition of Gabelli Healthcare & WellnessRx Trust (NYSE:GRX) shares aligns with the fund's attractive dividend profile. According to InvestingPro data, GRX boasts a dividend yield of 5.85% for 2024, with the last ex-dividend date on September 16, 2024. This yield is particularly noteworthy given the current market conditions.
An InvestingPro Tip highlights that GRX "has maintained dividend payments for 13 consecutive years," underscoring the trust's commitment to providing consistent income to its shareholders. This track record of dividend stability may be a key factor in Saba Capital's decision to increase its stake.
Despite the positive dividend outlook, investors should be aware that GRX "suffers from weak gross profit margins," as noted by another InvestingPro Tip. This could potentially impact the trust's long-term profitability and ability to sustain its dividend payments.
For a more comprehensive analysis, InvestingPro offers additional tips and insights that could further illuminate GRX's investment potential. Investors interested in a deeper dive into GRX's financials and market position can explore the full range of InvestingPro's 3 tips and real-time metrics.
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