BlackRock Inc.

Financial Performance

5Y price score: 35

10Y return: 261.7%

DATE RANGE:

US$ Per
Share

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917.3

52-week range

1219.9

1,176.64

Your model inputs

Required return / cost of capital

FCFF terminal growth rate

Your fair value & Margin of safety

To calculate fair value based on cost of capital and terminal growth assumptions above, please select free cash flow forecast.

Forecast:

Valuation

Free Cash Flow Yield

(0.1) %

Dividend Yield TTM

1.9 %

Market cap $

$ 182,373

Price / Earnings TTM

24.8

Price / Book TTM

3.2

PEG TTM

1.3

Earnings growth and return

LTM

5YR

10YR

Total return (price & dividends)

5.3 %

35.6 %

261.7 %

Free cash flow per share growth

(97.6) %

(3.7) %

34.6 %

Earnings per share growth

19.6 %

10.9 %

79.1 %

Founded: 1,988

Employees: 22,600

Business Summary:BlackRock, Inc. is a publicly owned investment manager. The firm primarily provides its services to institutional, intermediary, and individual investors including corporate, public, union, and industry pension plans, insurance companies, third-party mutual funds, endowments, public institutions, governments, foundations, charities, sovereign wealth funds, corporations, official institutions, and banks. It also provides global risk management and advisory services. The firm manages separate client-focused equity, fixed income, and balanced portfolios. It also launches and manages open-end and closed-end mutual funds, offshore funds, unit trusts, and alternative investment vehicles including structured funds. The firm launches equity, fixed income, balanced, and real estate mutual funds. It also launches equity, fixed income, balanced, currency, commodity, and multi-asset exchange traded funds. The firm also launches and manages hedge funds. It invests in the public equity, fixed income, real estate, currency, commodity, and alternative markets across the globe. The firm primarily invests in growth and value stocks of small-cap, mid-cap, SMID-cap, large-cap, and multi-cap companies. It also invests in dividend-paying equity securities. The firm invests in investment grade municipal securities, government securities including securities issued or guaranteed by a government or a government agency or instrumentality, corporate bonds, and asset-backed and mortgage-backed securities. It employs fundamental and quantitative analysis with a focus on bottom-up and top-down approach to make its investments. The firm employs liquidity, asset allocation, balanced, real estate, and alternative strategies to make its investments. In real estate sector, it seeks to invest in Poland and Germany. The firm benchmarks the performance of its portfolios against various S&P, Russell, Barclays, MSCI, Citigroup, and Merrill Lynch indices. BlackRock, Inc. was founded in 1988 and is based in New York City with additional offices in Boston, Massachusetts; London, United Kingdom; Gurgaon, India; Hong Kong; Greenwich, Connecticut; Princeton, New Jersey; Edinburgh, United Kingdom; Sydney, Australia; Taipei, Taiwan; Singapore; Sao Paulo, Brazil; Philadelphia, Pennsylvania; Washington, District of Columbia; Toronto, Canada; Wilmington, Delaware; and San Francisco, California.

Fair Value Reference Estimate

Latest Earnings Call Takeaways

2026 Q2 (Jul 15, 2026)

1) Strategic Positioning and Leadership Insights
- BlackRock's leadership emphasizes its role as a strategic partner in navigating mega trends in investment, including public and private markets and technology.
- The firm reported $868 billion in net inflows and 10% organic base fee growth over the past year, showcasing its resilience and adaptability in market cycles.
- CEO Laurence Fink expressed optimism about global market fundamentals, highlighting BlackRock's ability to capture growth opportunities through its integrated platform.

2) Financial Performance and Segment Results
- Q2 2026 revenue reached $7.1 billion, a 31% increase YoY, driven by organic growth and the acquisition of HPS.
- Operating income rose 39% to $2.9 billion, with earnings per share (EPS) at $13.91, reflecting a 15% increase YoY.
- The operating margin expanded to 45.9%, the highest in nearly five years, with a notable increase in organic base fees and performance fees.
- Total net inflows for Q2 were $192 billion, with significant contributions from core equity and index bond ETFs.

3) Challenges and Headwinds
- The firm noted a $41 billion net outflow in institutional index strategies, primarily in low-fee index equities, indicating competitive pressures in that segment.
- Increased expenses, particularly in compensation and G&A, rose 25% YoY, driven by the HPS acquisition and higher incentive compensation linked to performance.

4) Operational and Product Plans
- BlackRock is focused on enhancing its technology capabilities, with a 15% increase in annual contract value (ACV) for technology services.
- The firm is actively pursuing tokenization of investment products, aiming to bridge traditional finance with decentralized finance, and has filed for tokenized money market funds.
- The integration of Preqin and Aladdin is expected to enhance transparency and analytics in private markets, positioning BlackRock as a leader in technology-driven investment solutions.

5) Guidance and Outlook
- BlackRock anticipates continued strong growth, with plans to return over $5.7 billion to shareholders through dividends and share repurchases in 2026.
- The firm is confident in sustaining double-digit earnings growth and margin expansion, driven by its diversified offerings and strategic acquisitions.
- The transcript lacks specific forward-looking guidance on market conditions and potential regulatory impacts on digital assets.

Bottom line: BlackRock's robust financial performance and strategic positioning in both public and private markets, combined with a focus on technology and client-centric solutions, suggest a strong growth trajectory, making it an attractive proposition for shareholders.

Annual report links (10K)

2025 2024