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BlackRock (BLK) Gains But Lags Market: What You Should Know
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In the latest trading session, BlackRock (BLK - Free Report) closed at $688.21, marking a +0.44% move from the previous day. The stock lagged the S&P 500's daily gain of 0.45%. Meanwhile, the Dow gained 0.8%, and the Nasdaq, a tech-heavy index, added 1.99%.
Heading into today, shares of the investment firm had gained 4.21% over the past month, outpacing the Finance sector's gain of 3.63% and lagging the S&P 500's gain of 4.25% in that time.
Investors will be hoping for strength from BlackRock as it approaches its next earnings release. On that day, BlackRock is projected to report earnings of $8.54 per share, which would represent year-over-year growth of 16.03%. Meanwhile, our latest consensus estimate is calling for revenue of $4.48 billion, down 0.95% from the prior-year quarter.
BLK's full-year Zacks Consensus Estimates are calling for earnings of $34.29 per share and revenue of $18.16 billion. These results would represent year-over-year changes of -3.03% and +1.61%, respectively.
It is also important to note the recent changes to analyst estimates for BlackRock. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. BlackRock currently has a Zacks Rank of #3 (Hold).
In terms of valuation, BlackRock is currently trading at a Forward P/E ratio of 19.99. Its industry sports an average Forward P/E of 11.22, so we one might conclude that BlackRock is trading at a premium comparatively.
Also, we should mention that BLK has a PEG ratio of 2.09. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Financial - Investment Management industry currently had an average PEG ratio of 1.38 as of yesterday's close.
The Financial - Investment Management industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 111, which puts it in the top 45% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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BlackRock (BLK) Gains But Lags Market: What You Should Know
In the latest trading session, BlackRock (BLK - Free Report) closed at $688.21, marking a +0.44% move from the previous day. The stock lagged the S&P 500's daily gain of 0.45%. Meanwhile, the Dow gained 0.8%, and the Nasdaq, a tech-heavy index, added 1.99%.
Heading into today, shares of the investment firm had gained 4.21% over the past month, outpacing the Finance sector's gain of 3.63% and lagging the S&P 500's gain of 4.25% in that time.
Investors will be hoping for strength from BlackRock as it approaches its next earnings release. On that day, BlackRock is projected to report earnings of $8.54 per share, which would represent year-over-year growth of 16.03%. Meanwhile, our latest consensus estimate is calling for revenue of $4.48 billion, down 0.95% from the prior-year quarter.
BLK's full-year Zacks Consensus Estimates are calling for earnings of $34.29 per share and revenue of $18.16 billion. These results would represent year-over-year changes of -3.03% and +1.61%, respectively.
It is also important to note the recent changes to analyst estimates for BlackRock. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. BlackRock currently has a Zacks Rank of #3 (Hold).
In terms of valuation, BlackRock is currently trading at a Forward P/E ratio of 19.99. Its industry sports an average Forward P/E of 11.22, so we one might conclude that BlackRock is trading at a premium comparatively.
Also, we should mention that BLK has a PEG ratio of 2.09. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Financial - Investment Management industry currently had an average PEG ratio of 1.38 as of yesterday's close.
The Financial - Investment Management industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 111, which puts it in the top 45% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.