Craig Siegenthaler, an analyst from Bank of America Securities, reiterated the Buy rating on BlackRock (BLK – Research Report). The associated price target remains the same with $1,178.00.
Craig Siegenthaler has given his Buy rating due to a combination of factors including BlackRock’s strong base fee organic growth and its ability to maintain core profits in line with expectations. The company reported a 6% base fee organic growth, marking the best first quarter performance since 2021. Despite some minor misses in management and technology fees, the operating margin showed improvement, and the earnings per share exceeded expectations due to favorable tax, non-operating income, and performance fees.
Additionally, BlackRock’s long-term net flows were in line with forecasts, driven by significant inflows in ETFs and retail, although institutional flows saw outflows. The company’s assets under management were slightly below estimates, but the positive net flows in the Americas and EMEA regions, along with strong performance across various asset classes, support the Buy rating. Siegenthaler anticipates that BlackRock will continue to gain market share through its growth in ETFs, alternative investments, and technology sectors.
In another report released on April 9, TD Cowen also maintained a Buy rating on the stock with a $1,032.00 price target.