BlackRock (NYSE:BLK) Issues Quarterly Earnings Results, Beats Estimates By $0.61 EPS

BlackRock (NYSE:BLK) posted its quarterly earnings results on Thursday. The asset manager reported $13.16 EPS for the quarter, beating the consensus estimate of $12.55 by $0.61, Zacks reports. BlackRock had a return on equity of 15.14% and a net margin of 22.93%.The business had revenue of $7.01 billion during the quarter, compared to analysts’ expectations of $6.80 billion. During the same period last year, the firm earned $11.93 EPS. The company’s quarterly revenue was up 23.4% compared to the same quarter last year.

Here are the key takeaways from BlackRock’s conference call:

• Record growth and shareholder returns — BlackRock reported nearly $700 billion of net new assets in 2025, full-year revenue of $24 billion and record EPS of $48.09, and the board approved a 10% dividend increase plus a $1.8 billion share repurchase target for 2026.
• Integrated M&A strategy to drive private and data businesses — Management says GIP, HPS and Preqin are now fully integrated with Aladdin/eFront, positioning the firm to scale private markets, data and tech services and target $400 billion of private markets fundraising by 2030.
• Exceptional flows across ETFs, active and systematic strategies — iShares led with $527 billion of net inflows (AUM $5.5 trillion), active ETFs and systematic equities posted large inflows (e.g., DYNF $14 billion), and technology ACV grew strongly, supporting future recurring revenue.
• Margins and expense outlook — 2025 adjusted operating margin was 45% (down ~40–50 bps due to performance fees), management targets 45%+ long-term FRE margins, expects mid-single-digit G&A growth after annualizing acquisitions and broadly flat headcount in 2026.
• Near-term non-operating and cost pressures — Non-operating losses included $106 million mark-to-market on a minority Circle stake, and total expenses rose 19% (compensation +20% and higher M&A/tech spend), which could weigh on short-term operating leverage.

BlackRock Stock Up 0.7%

Shares of NYSE:BLK opened at $1,164.72 on Friday. The company’s fifty day moving average is $1,071.82 and its two-hundred day moving average is $1,104.66. The company has a debt-to-equity ratio of 0.34, a quick ratio of 3.33 and a current ratio of 3.33. BlackRock has a 1-year low of $773.74 and a 1-year high of $1,219.94. The stock has a market capitalization of $180.71 billion, a price-to-earnings ratio of 32.88, a price-to-earnings-growth ratio of 1.67 and a beta of 1.47.

BlackRock Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 24th. Investors of record on Friday, March 6th will be issued a $5.73 dividend. This is an increase from BlackRock’s previous quarterly dividend of $5.21. This represents a $22.92 annualized dividend and a yield of 2.0%. The ex-dividend date of this dividend is Friday, March 6th. BlackRock’s dividend payout ratio is presently 58.84%.

Insiders Place Their Bets

In other news, Director Rachel Lord sold 12,000 shares of BlackRock stock in a transaction on Monday, October 20th. The stock was sold at an average price of $1,165.04, for a total transaction of $13,980,480.00. Following the transaction, the director directly owned 7,205 shares in the company, valued at approximately $8,394,113.20. This trade represents a 62.48% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CFO Martin Small sold 1,258 shares of the stock in a transaction that occurred on Monday, December 1st. The shares were sold at an average price of $1,043.38, for a total transaction of $1,312,572.04. Following the sale, the chief financial officer directly owned 6,209 shares of the company’s stock, valued at approximately $6,478,346.42. This represents a 16.85% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. 1.98% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the company. Centaurus Financial Inc. lifted its stake in shares of BlackRock by 45.2% in the 3rd quarter. Centaurus Financial Inc. now owns 691 shares of the asset manager’s stock valued at $806,000 after purchasing an additional 215 shares during the last quarter. Captrust Financial Advisors raised its holdings in BlackRock by 2.8% during the third quarter. Captrust Financial Advisors now owns 17,664 shares of the asset manager’s stock valued at $20,594,000 after buying an additional 479 shares in the last quarter. Financial Engines Advisors L.L.C. acquired a new stake in shares of BlackRock in the third quarter worth about $272,000. Morningstar Investment Management LLC boosted its stake in shares of BlackRock by 970.1% during the 3rd quarter. Morningstar Investment Management LLC now owns 17,839 shares of the asset manager’s stock worth $20,798,000 after acquiring an additional 16,172 shares in the last quarter. Finally, First Foundation Advisors increased its holdings in shares of BlackRock by 4.7% during the 3rd quarter. First Foundation Advisors now owns 3,051 shares of the asset manager’s stock valued at $3,557,000 after acquiring an additional 136 shares during the last quarter. 80.69% of the stock is owned by institutional investors and hedge funds.

Key Stories Impacting BlackRock

Here are the key news stories impacting BlackRock this week:

• Positive Sentiment: Q4 beat and shareholder returns — BlackRock reported Q4 revenue and EPS above estimates, reached a record $14.04T AUM, raised the quarterly dividend 10% and authorized new buybacks, which supports cash returns and long‑term fee growth. BlackRock Reports Fourth Quarter 2025 Earnings
• Positive Sentiment: Record inflows driven by ETFs and cash products — Strong ETF and money‑market inflows pushed AUM higher and boosted fee revenue, underpinning near‑term growth momentum. BlackRock Earnings: Company Hits Record $14 Trillion in Assets Behind Strong ETF Flows
• Positive Sentiment: Strategic AI/Microsoft partnership funding — BlackRock said its AI‑infrastructure partnership with Microsoft has raised ~$12.5B toward a $30B target, highlighting new product and infrastructure initiatives that could produce fee opportunities. BlackRock Says AI Partnership Raises $12.5 Billion Toward $30 Billion Goal
• Positive Sentiment: Bullish analyst stance — Several firms reiterated or raised targets after the results, including Morgan Stanley’s Overweight view with a high price target that signals substantial upside from current levels. BlackRock: Compounding Secular Growth at a Discounted Valuation Supports Overweight Rating and 34% Upside
• Neutral Sentiment: Operational change: ETF listings move — BlackRock will move four iShares money‑market/short‑duration ETFs to the NYSE in February; operationally minor but relevant for ETF market structure and liquidity. BlackRock to Change Primary Listing Venue for Four iShares ETFs
• Neutral Sentiment: Strategic investments and private markets push — BlackRock outlined an ambitious plan to raise large private‑market pools and is pursuing deals (including a reported $333.6M commitment in India’s Aditya Birla renewables), signaling long‑term diversification but with longer realization timelines. Building ‘The Machine’: How BlackRock Plans To Raise $400B And Democratize Private Market Investing
• Negative Sentiment: Profit and margin pressure — Despite EPS and revenue beats, reported net income fell significantly year‑over‑year and operating profit showed pressure (per coverage), a reminder that earnings quality and cash generation face near‑term headwinds. BlackRock’s Profit Fell, Assets Hit Record $14 Trillion, in Fourth Quarter
• Negative Sentiment: Mixed analyst moves and a few downgrades — Some shops trimmed targets (Evercore, BMO) and TD Cowen issued a downgrade, creating short‑term analyst chatter and potential volatility despite overall constructive sentiment from other firms. Evercore ISI Lowers Price Target on BlackRock to $1,275

Analyst Upgrades and Downgrades

A number of equities research analysts recently issued reports on the company. Cowen lowered BlackRock from a “buy” rating to a “hold” rating in a research note on Wednesday. TD Cowen restated a “hold” rating and issued a $1,209.00 price objective (down from $1,407.00) on shares of BlackRock in a research report on Wednesday. JPMorgan Chase & Co. increased their price objective on BlackRock from $1,244.00 to $1,267.00 and gave the company a “neutral” rating in a research note on Friday, January 9th. The Goldman Sachs Group reissued a “buy” rating and issued a $1,313.00 target price on shares of BlackRock in a research note on Tuesday, December 9th. Finally, Evercore ISI decreased their price target on shares of BlackRock from $1,300.00 to $1,275.00 and set an “outperform” rating on the stock in a research note on Monday, January 12th. Fifteen equities research analysts have rated the stock with a Buy rating and five have given a Hold rating to the company’s stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $1,312.59.

About BlackRock

BlackRock, Inc is a global investment management firm that provides a broad range of products and services to institutional, intermediary and individual investors. Its core activities include portfolio management across active and index strategies, exchange-traded funds (ETFs) under the iShares brand, fixed income, equity and multi-asset solutions, as well as alternatives such as private equity, real estate and infrastructure. The firm also offers cash management and liquidity solutions and retirement-focused products designed for defined contribution and defined benefit investors.

In addition to traditional investment management, BlackRock is known for its technology and risk management capabilities, most prominently its Aladdin platform, which combines portfolio management, trading and risk analytics and is used both internally and licensed to external clients.