Comparing iShares Biotechnology ETF (NASDAQ:IBB) & Saba Capital Income & Opportunities Fund II (NYSE:SABA)

iShares Biotechnology ETF (NASDAQ:IBB) and Saba Capital Income & Opportunities Fund II (NYSE:SABA) are both finance companies, but which is the better business? We will compare the two companies based on the strength of their valuation, institutional ownership, earnings, profitability, risk, analyst recommendations and dividends.

Valuation and Earnings

This table compares iShares Biotechnology ETF and Saba Capital Income & Opportunities Fund II”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
iShares Biotechnology ETF	N/A	N/A	N/A	N/A	N/A
Saba Capital Income & Opportunities Fund II	N/A	N/A	N/A	N/A	N/A

Institutional & Insider Ownership

62.5% of iShares Biotechnology ETF shares are owned by institutional investors. Comparatively, 22.2% of Saba Capital Income & Opportunities Fund II shares are owned by institutional investors. 6.2% of Saba Capital Income & Opportunities Fund II shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Dividends

iShares Biotechnology ETF pays an annual dividend of $0.39 per share and has a dividend yield of 0.2%. Saba Capital Income & Opportunities Fund II pays an annual dividend of $0.70 per share and has a dividend yield of 8.3%.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for iShares Biotechnology ETF and Saba Capital Income & Opportunities Fund II, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
iShares Biotechnology ETF	0	5	1	0	2.70
Saba Capital Income & Opportunities Fund II	0	0	0	0	0.00

iShares Biotechnology ETF presently has a consensus target price of $170.76, indicating a potential upside of 0.00%. Given iShares Biotechnology ETF’s stronger consensus rating and higher possible upside, research analysts clearly believe iShares Biotechnology ETF is more favorable than Saba Capital Income & Opportunities Fund II.

Profitability

This table compares iShares Biotechnology ETF and Saba Capital Income & Opportunities Fund II’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
iShares Biotechnology ETF	N/A	N/A	N/A
Saba Capital Income & Opportunities Fund II	N/A	N/A	N/A

Volatility and Risk

iShares Biotechnology ETF has a beta of 0.76, suggesting that its stock price is 24% less volatile than the S&P 500. Comparatively, Saba Capital Income & Opportunities Fund II has a beta of 0.43, suggesting that its stock price is 57% less volatile than the S&P 500.

Summary

iShares Biotechnology ETF beats Saba Capital Income & Opportunities Fund II on 5 of the 7 factors compared between the two stocks.

About iShares Biotechnology ETF

iShares Nasdaq Biotechnology ETF (the Fund), formerly iShares Nasdaq Biotechnology Index Fund, is an exchange-traded fund (ETF). The Fund seeks investment results that correspond generally to the price and yield performance of the NASDAQ Biotechnology Index (the Index). The Index contains securities of NASDAQ listed companies that are classified according to the Industry Classification Benchmark as either biotechnology or pharmaceuticals, which also meet other eligibility criteria determined by NASDAQ. The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. The Fund’s investment advisor is BlackRock Fund Advisors, which is indirectly owned by BlackRock, Inc.

About Saba Capital Income & Opportunities Fund II

Saba Capital Income & Opportunities Fund II is a closed-ended fixed income mutual fund launched and managed by Saba Capital Management, L.P. The fund invests in fixed income markets across the globe. It primarily invests in government bonds. The fund is actively managed. It benchmarks the performance of its portfolio against the J.P. Morgan Global Government Bond Index. Saba Capital Income & Opportunities Fund II was formed on March 17, 1988 and is domiciled in the United States.