Analyst Craig Siegenthaler of Bank of America Securities reiterated a Buy rating on BlackRock, boosting the price target to $1,224.00.
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Craig Siegenthaler has given his Buy rating due to a combination of factors that highlight BlackRock’s strategic positioning and growth potential. BlackRock is poised to lead in the target date fund market, particularly with its innovative approach to incorporating private equity and credit into these funds. The company’s acquisition of BGI and its partnerships with HPS and GIP have strengthened its position as a top private markets manager, with significant assets under management related to retirement funds.
Furthermore, Siegenthaler notes that BlackRock’s ongoing initiatives, such as the planned launch of a proprietary LifePath target date fund with private market exposure, are expected to unlock substantial opportunities in alternative investments. Despite some short-term expense increases due to acquisitions, the long-term earnings potential remains robust, with a forecasted 19% total return potential. BlackRock’s leadership in various growth sectors, including ETFs and technology, is anticipated to drive market share gains and mid double-digit EPS growth, supported by favorable market conditions and effective capital management.
In another report released yesterday, Wells Fargo also maintained a Buy rating on the stock with a $1,170.00 price target.
Based on the recent corporate insider activity of 123 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of BLK in relation to earlier this year.