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BlackRock Finance (BLK) Stock Dips While Market Gains: Key Facts

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In the latest trading session, BlackRock Finance (BLK - Free Report) closed at $1,031.49, marking a -0.48% move from the previous day. The stock's performance was behind the S&P 500's daily gain of 0.3%. Meanwhile, the Dow experienced a rise of 0.99%, and the technology-dominated Nasdaq saw an increase of 0.27%.

The investment firm's shares have seen an increase of 6.41% over the last month, surpassing the Finance sector's gain of 4.87% and the S&P 500's gain of 2.1%.

Market participants will be closely following the financial results of BlackRock Finance in its upcoming release. On that day, BlackRock Finance is projected to report earnings of $11.55 per share, which would represent year-over-year growth of 19.57%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $5.6 billion, up 20.92% from the year-ago period.

BLK's full-year Zacks Consensus Estimates are calling for earnings of $43.17 per share and revenue of $20.33 billion. These results would represent year-over-year changes of +14.3% and +13.84%, respectively.

Investors should also pay attention to any latest changes in analyst estimates for BlackRock Finance. 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. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, there's been a 0.54% rise in the Zacks Consensus EPS estimate. At present, BlackRock Finance boasts a Zacks Rank of #1 (Strong Buy).

Looking at its valuation, BlackRock Finance is holding a Forward P/E ratio of 24.01. This signifies a premium in comparison to the average Forward P/E of 12.85 for its industry.

Meanwhile, BLK's PEG ratio is currently 1.85. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. As the market closed yesterday, the Financial - Investment Management industry was having an average PEG ratio of 1.42.

The Financial - Investment Management industry is part of the Finance sector. This industry, currently bearing a Zacks Industry Rank of 23, finds itself in the top 10% echelons of all 250+ industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.


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