BlackRock Reports Q4 Revenue of $7 Billion, Exceeding Expectations by 23%
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Source: CNBC
- Earnings Beat: BlackRock's Q4 revenue reached $7 billion, a 23% year-over-year increase that surpassed the $6.69 billion analyst estimate, showcasing the company's robust performance in asset management and solidifying its market leadership.
- Record Inflows: The firm reported net inflows of $342 billion in Q4, exceeding the $260 billion forecast, with total annual inflows hitting a record $698 billion, primarily driven by strong demand for iShares ETFs and index mutual funds, indicating successful client acquisition strategies.
- Accelerated Fee Growth: Organic base fee growth accelerated to 12% in Q4 from 10% in the previous quarter, reflecting ongoing success in attracting new client capital, which is expected to underpin future revenue growth and enhance profitability.
- Increased Shareholder Returns: BlackRock raised its quarterly dividend by 10% and plans to boost share buybacks, having repurchased $500 million worth of shares in Q4, demonstrating confidence in future growth and cash flow stability, thereby strengthening investor sentiment.
Analyst Views on BLK
Wall Street analysts forecast BLK stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for BLK is 1356 USD with a low forecast of 1244 USD and a high forecast of 1486 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
12 Analyst Rating
11 Buy
1 Hold
0 Sell
Strong Buy
Current: 1091.850
Low
1244
Averages
1356
High
1486
Current: 1091.850
Low
1244
Averages
1356
High
1486
About BLK
BlackRock, Inc. is an investment management company. The Company provides a range of investment management and technology services to institutional and retail clients. Its diverse platform of alpha-seeking active, private markets, index and cash management investment strategies across asset classes enables the Company to tailor investment outcomes and asset allocation solutions for clients. Its product offerings include single- and multi-asset portfolios investing in equities, fixed income, alternatives, and money market instruments. Its products are offered directly and through intermediaries in a range of vehicles, including open-end and closed-end mutual funds, iShares exchange-traded funds, separate accounts, collective investment funds and other pooled investment vehicles. It also offers technology services, including the investment and risk management technology platform, Aladdin, Aladdin Wealth, eFront, and Cachematrix, as well as advisory services and solutions.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
