NYSE:BME

Stock Analysis Report

BlackRock Health Sciences Trust

Executive Summary

BlackRock Health Sciences Trust is a closed-ended equity mutual fund launched by BlackRock, Inc.

Rewards


Snowflake Analysis

Share Price & News

How has BlackRock Health Sciences Trust's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: BME has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-1.8%

BME

0.4%

US Capital Markets

0.06%

US Market


1 Year Return

6.1%

BME

17.9%

US Capital Markets

19.3%

US Market

Return vs Industry: BME underperformed the US Capital Markets industry which returned 17.9% over the past year.

Return vs Market: BME underperformed the US Market which returned 19.3% over the past year.


Shareholder returns

BMEIndustryMarket
7 Day-1.8%0.4%0.06%
30 Day0.4%0.7%1.7%
90 Day6.5%6.9%9.0%
1 Year12.8%6.1%20.2%17.9%21.8%19.3%
3 Year53.6%26.9%40.2%32.4%49.5%39.9%
5 Year58.5%1.5%84.5%67.4%73.1%54.1%

Price Volatility Vs. Market

How volatile is BlackRock Health Sciences Trust's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is BlackRock Health Sciences Trust undervalued compared to its fair value and its price relative to the market?

11.53x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: BME ($42.95) is trading above our estimate of fair value ($42.43)

Significantly Below Fair Value: BME is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: BME is good value based on its PE Ratio (11.5x) compared to the Capital Markets industry average (35.3x).

PE vs Market: BME is good value based on its PE Ratio (11.5x) compared to the US market (18.5x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate BME's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: BME is good value based on its PB Ratio (1.1x) compared to the US Capital Markets industry average (6.8x).

Future Growth

How is BlackRock Health Sciences Trust forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

8.5%

Forecasted Diversified Financials industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as BlackRock Health Sciences Trust has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.

Past Performance

How has BlackRock Health Sciences Trust performed over the past 5 years?

-5.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BME has a large one-off gain of $42.7M impacting its June 30 2019 financial results.

Growing Profit Margin: BME's current net profit margins are lower than last year .


Past Earnings Growth Analysis

Earnings Trend: BME's earnings have declined by -5.1% per year over the past 5 years.

Accelerating Growth: BME's earnings growth over the past year (16%) exceeds its 5-year average (-5.1% per year).

Earnings vs Industry: BME earnings growth over the past year (16%) exceeded the Capital Markets industry 8.4%.


Return on Equity

High ROE: BME's Return on Equity (9.7%) is considered low.


Return on Assets


Return on Capital Employed

Financial Health

How is BlackRock Health Sciences Trust's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: BME has a low level of unsold assets or inventory.

Debt Coverage by Assets: BME's debt is covered by short term assets (assets are 11x debt).


Financial Institutions Analysis

Asset Level: BME's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if BME has a sufficient allowance for bad loans.

Low Risk Liabilities: BME reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if BME has an acceptable proportion of non-loan assets held.

Low Risk Deposits: BME has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if BME has an appropriate level of bad loans.

Dividend

What is BlackRock Health Sciences Trust's current dividend yield, its reliability and sustainability?

5.59%

Current Dividend Yield


Dividend Yield vs Market

company5.6%marketbottom25%1.4%markettop25%3.7%industryaverage1.9%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: BME's dividend (5.59%) is higher than the bottom 25% of dividend payers in the US market (1.44%).

High Dividend: BME's dividend (5.59%) is in the top 25% of dividend payers in the US market (3.71%)


Stability and Growth of Payments

Stable Dividend: BME's dividend payments have been volatile in the past 10 years.

Growing Dividend: BME's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (64.4%), BME's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.

Management

How experienced are the management team and are they aligned to shareholders interests?

18.6yrs

Average board tenure


CEO

BlackRock Health Sciences Trust has no CEO, or we have no data on them.


Board Members

NamePositionTenureCompensationOwnership
Paul Audet
Interested Trustee8.1yrsno datano data
Richard Cavanagh
Chairman0yrsUS$2.79k0.0011% $4.8k
Frank Fabozzi
Independent Trustee32.1yrsUS$2.26k0.00096% $4.3k
Kathleen Feldstein
Independent Trustee15.1yrsUS$1.76kno data
W. Kester
Independent Trustee22.1yrsUS$2.11k0.00096% $4.3k
Jerrold Harris
Independent Trustee21.1yrsUS$1.90kno data
Karen Robards
Vice Chairman of the Board0yrsUS$2.64k0.0048% $21.5k
James Flynn
Independent Trustee24.1yrsUS$1.94kno data
Michael Castellano
Independent Trustee8.8yrsUS$1.94k0.0038% $17.2k
Robert Hubbard
Independent Trustee16.1yrsUS$1.83k0.0032% $14.5k

18.6yrs

Average Tenure

72yo

Average Age

Experienced Board: BME's board of directors are seasoned and experienced ( 18.6 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 11.9%.


Top Shareholders

Company Information

BlackRock Health Sciences Trust's company bio, employee growth, exchange listings and data sources


Key Information


Location

  • BlackRock Health Sciences Trust
  • 100 Bellevue Parkway
  • Wilmington
  • Delaware
  • 19809
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BMENYSE (New York Stock Exchange)YesCommon SharesUSUSDMar 2005

Biography

BlackRock Health Sciences Trust is a closed-ended equity mutual fund launched by BlackRock, Inc. The fund is managed by BlackRock Advisors, LLC. It invests in the public equity markets of the United States. The fund seeks to invest in stocks of companies operating in the health sciences and related sectors, which include businesses involved in researching, developing, producing, distributing or delivering medical, dental, optical, pharmaceutical or biotechnology products, supplies, equipment, or services. It also invests through equity derivatives, with an emphasis on option writing. The fund benchmarks the performance of its portfolio against the Russell 3000 Healthcare Index. BlackRock Health Sciences Trust was formed on March 31, 2005 and is domiciled in the United States. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/21 00:17
End of Day Share Price2020/02/20 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.