BlackRock (BLK) closed the most recent trading day at $626.74, moving -0.89% from the previous trading session. This change lagged the S&P 500's daily loss of 0.72%. At the same time, the Dow lost 0.45%, and the tech-heavy Nasdaq lost 0.27%.
Coming into today, shares of the investment firm had lost 15.15% in the past month. In that same time, the Finance sector lost 7.06%, while the S&P 500 lost 9.06%.
BlackRock will be looking to display strength as it nears its next earnings release. In that report, analysts expect BlackRock to post earnings of $8.41 per share. This would mark a year-over-year decline of 23.2%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.52 billion, down 10.53% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $33.92 per share and revenue of $18.39 billion, which would represent changes of -13.43% and -5.09%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for BlackRock. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. BlackRock is currently a Zacks Rank #3 (Hold).
Investors should also note BlackRock's current valuation metrics, including its Forward P/E ratio of 18.64. Its industry sports an average Forward P/E of 9.91, so we one might conclude that BlackRock is trading at a premium comparatively.
Investors should also note that BLK has a PEG ratio of 3.31 right now. 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. BLK's industry had an average PEG ratio of 1.42 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 97, which puts it in the top 39% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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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