BlackRock (BLK), the world’s largest asset manager, is trimming its workforce once again. According to Bloomberg, the company plans to cut about 1% of its global headcount, about 250 employees, as part of a broader effort to streamline operations. The layoffs are expected to impact multiple divisions, including investment and sales teams.
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A company spokesperson said the annual review of staffing ensures resources remain aligned with long-term goals and client needs. The job cuts come as CEO Larry Fink continues to reshape the firm’s long-term strategy and push deeper into alternative investments, including private credit.
It is worth noting that in 2025, BlackRock carried out two rounds of layoffs in June and January, each reducing headcount by about 1%.
The news comes as BlackRock prepares to report its fourth-quarter earnings on January 15. Currently, analysts expect BLK to post revenue of $6.75 billion in Q4, up from $5.54 billion in the year-ago quarter. Further, the company is expected to report earnings of $12.38 per share, compared with earnings of $11.93 in the prior-year quarter.
Wall Street and Big Tech Deepen Cost Cuts
The layoffs at BlackRock follow similar moves across the financial and tech sectors, with companies seeking to control costs to focus on high-growth areas such as artificial intelligence (AI) and alternative assets.
Citigroup (C) is reportedly looking to eliminate about 1,000 jobs this week. Also, UBS (UBS) is expected to lay off nearly 10,000 employees by 2027. Moreover, Meta Platforms (META) plans to cut 10% of the employees in its Reality Labs division.
The layoffs wave reflects a broader push across the sector to stay lean, protect margins, and adapt to shifting market conditions.
Is BLK a Good Stock?
Turning to Wall Street, BLK has a Strong Buy consensus rating based on 13 Buys and one Hold assigned in the last three months. At $1,151.64, the average BlackRock price target implies 16.79% upside potential. Shares of the company have gained 24.25% over the past six months.
