BlackRock (BLK - Free Report) closed at $407.62 in the latest trading session, marking a +1.17% move from the prior day. This move outpaced the S&P 500's daily gain of 0.3%. Meanwhile, the Dow 0%, and the Nasdaq, a tech-heavy index, added 0.92%.
Heading into today, shares of the investment firm had gained 7.65% over the past month, outpacing the Finance sector's loss of 1.08% and the S&P 500's loss of 4.06% in that time.
BLK will be looking to display strength as it nears its next earnings release, which is expected to be January 11, 2019. The company is expected to report EPS of $6.91, up 10.74% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $3.70 billion, up 6.75% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $27.82 per share and revenue of $14.48 billion. These totals would mark changes of +23.1% and +15.96%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for BLK. 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.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.1% lower. BLK is currently sporting a Zacks Rank of #3 (Hold).
Digging into valuation, BLK currently has a Forward P/E ratio of 14.65. Its industry sports an average Forward P/E of 11.05, so we one might conclude that BLK is trading at a premium comparatively.
We can also see that BLK currently has a PEG ratio of 1.22. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Financial - Investment Management was holding an average PEG ratio of 1.13 at yesterday's closing price.
The Financial - Investment Management industry is part of the Finance sector. This group has a Zacks Industry Rank of 148, putting it in the bottom 42% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow BLK in the coming trading sessions, be sure to utilize Zacks.com.