BlackLine (BL) AI Stock Analysis

• Market Cap: $3.39B
• Dividend Yield: N/A
• Average Volume (3M): 579.47K
• Price to Earnings (P/E): 43.8
• Beta (1Y): 1.12
• Revenue Growth: 7.99%
• EPS Growth: -28.47%
• Country: US
• Employees: 1,830
• Sector: Technology
• Sector Strength: 92
• Industry: Software - Application
• EPS (TTM): 0.51
• Shares Outstanding: 62,320,133
• 10 Day Avg. Volume: 503,530
• 30 Day Avg. Volume: 579,470
• PEG Ratio: 0.12
• Price to Book (P/B): 8.45
• Price to Sales (P/S): 5.78
• P/FCF Ratio: 20.00
• Enterprise Value/Market Cap: 1.10
• Enterprise Value/Revenue: 5.52
• Enterprise Value/Gross Profit: 7.32
• Enterprise Value/Ebitda: 46.91
• 1Y Price Target: $60.64
• Price Target Upside: 11.41% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 12

• Rating: 64 Neutral
• Price Target: $58.00 ▲(6.56% Upside)

BlackLine's overall stock score reflects a stable financial performance with strong revenue growth but high leverage and declining cash flow. The earnings call provided a positive outlook with strategic wins, while technical indicators suggest bearish momentum. The high P/E ratio indicates a premium valuation, limiting its attractiveness.

Positive Factors

Partnerships

The key partnership with SAP is considered an important part of the long-term growth algorithm.

Pricing Strategy

Recent pricing changes to move away from a seat-based model to a more solution/platform-based approach have been well-received by customers.

Product Demand

The redesigned Studio360 platform has been well-received by customers and demand for the new platform has trended slightly above its initial expectations.

Negative Factors

Capitalized Software Costs

Increased capitalized software costs have led to a change in the free cash flow estimate.

Free Cash Flow

The free cash flow margin estimate for BlackLine has been revised down from 24.5% to 23.7%.

Revenue Guidance

The company reduced the low end of its revenue guidance range for 2025, expecting 6.9% growth at the midpoint compared to prior expectations for 7.4% growth.

BlackLine Business Overview & Revenue Model

Company Description

BlackLine, Inc. is a leading provider of cloud-based solutions designed to automate and streamline complex accounting and finance operations for businesses of all sizes. The company operates primarily in the technology and financial sectors, offering a suite of products that enhance the efficiency and accuracy of financial close, reconciliation, and other critical accounting processes. BlackLine's solutions enable organizations to transform their traditional manual accounting practices into modern, automated workflows, ensuring compliance, transparency, and real-time visibility into financial data.

How the Company Makes Money

BlackLine makes money primarily through a subscription-based revenue model. The company offers cloud-based software solutions on a subscription basis, which provides it with a recurring revenue stream. Customers typically pay annual or multi-year subscription fees to access BlackLine's accounting automation platform. Key revenue streams include subscriptions to its core products, such as the Financial Close Management solution, Account Reconciliations, Intercompany Hub, and other modules that address various accounting needs. Additionally, BlackLine may generate revenue from professional services, including consulting, implementation, and support services, which are often provided to help clients effectively deploy and use their software. Strategic partnerships with enterprise resource planning (ERP) providers and financial service firms also play a significant role in expanding BlackLine's market reach and customer base, indirectly contributing to its earnings.

BlackLine Financial Statement Overview

Summary

BlackLine shows solid revenue growth and profitability with a strong gross profit margin. However, high leverage and declining free cash flow pose risks. The return on equity is impressive, but the high debt-to-equity ratio and decreasing cash flow growth rate require careful management.

Income Statement

BlackLine has demonstrated consistent revenue growth with a TTM increase of 1.74% and a strong gross profit margin of 75.29%. However, the net profit margin has slightly decreased from 24.67% in 2024 to 23.60% in TTM, indicating some pressure on profitability. The EBIT and EBITDA margins have also declined, suggesting increased operational costs or other expenses impacting earnings.

Balance Sheet

The company's debt-to-equity ratio remains high at 2.21 in TTM, indicating significant leverage, which poses a risk if earnings do not continue to grow. However, the return on equity has improved to 40.15%, reflecting better utilization of equity to generate profits. The equity ratio is relatively low, suggesting a heavy reliance on debt financing.

Cash Flow

Operating cash flow is strong, but the free cash flow has decreased by 1.69% in TTM, indicating potential challenges in maintaining cash reserves. The operating cash flow to net income ratio is 0.30, showing that cash generation from operations is lower compared to net income, which could impact liquidity if not addressed.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	674.33M	653.34M	590.00M	522.94M	425.71M	351.74M
Gross Profit	508.26M	491.37M	443.20M	393.55M	327.83M	282.76M
EBITDA	79.37M	183.80M	116.51M	1.25M	-13.29M	5.50M
Net Income	88.00M	161.17M	52.83M	-33.89M	-100.99M	-39.40M
Balance Sheet
Total Assets	1.79B	1.83B	2.10B	1.94B	1.82B	1.11B
Cash, Cash Equivalents and Short-Term Investments	857.42M	885.91M	1.20B	1.08B	1.20B	542.62M
Total Debt	921.41M	916.60M	1.41B	1.40B	1.13B	418.54M
Total Liabilities	1.34B	1.34B	1.81B	1.81B	1.46B	678.91M
Stockholders Equity	414.05M	446.67M	260.88M	111.87M	325.04M	422.07M
Cash Flow
Free Cash Flow	174.65M	188.71M	99.02M	25.83M	56.83M	35.31M
Operating Cash Flow	178.80M	190.84M	126.61M	56.01M	80.09M	54.73M
Investing Cash Flow	3.99M	924.44M	-62.48M	-395.62M	-506.94M	173.59M
Financing Cash Flow	-340.74M	-500.14M	6.15M	1.44M	599.24M	18.86M

BlackLine Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 54.43
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BL, the sentiment is Negative. The current price of 54.43 is below the 20-day moving average (MA) of 55.35, below the 50-day MA of 55.91, and below the 200-day MA of 55.46, indicating a bearish trend. The MACD of -0.46 indicates Positive momentum. The RSI at 44.94 is Neutral, neither overbought nor oversold. The STOCH value of 27.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for BL.

BlackLine Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GTM	70 Neutral	$0.00	37.45	5.22%	―	-3.12%	-37.59%
BL	64 Neutral	$3.39B	43.79	23.79%	―	7.99%	-28.47%
NCNO	63 Neutral	$3.17B	―	-2.75%	―	13.39%	16.12%
Sector *	61 Neutral	$34.80B	4.90	-10.42%	2.08%	6.50%	-6.29%
ASAN	61 Neutral	$0.00	―	-83.36%	―	9.84%	13.74%
INTA	61 Neutral	$3.28B	―	-4.16%	―	17.70%	61.98%
ALIT	47 Neutral	$2.26B	―	-29.09%	2.86%	-19.48%	-398.43%

BlackLine Corporate Events

BlackLine Announces Leadership Transition with New CEO

On August 5, 2025, BlackLine, Inc. announced a leadership transition where Therese Tucker, Co-CEO and Founder, will step down from her Co-CEO role effective October 1, 2025, to focus on her responsibilities as Founder. Owen Ryan will continue as the sole CEO and Chairman, while David Henshall has been appointed as Lead Independent Director, replacing Tom Unterman. This transition is part of BlackLine’s strategy to enhance its leadership team and support its long-term strategic goals. The changes are expected to strengthen BlackLine’s market position and drive continued innovation and growth.

The most recent analyst rating on (BL) stock is a Sell with a $47.00 price target. To see the full list of analyst forecasts on BlackLine stock, see the BL Stock Forecast page.

BlackLine Appoints Gregory Hughes to Board

On July 25, 2025, BlackLine appointed Gregory Hughes to its Board of Directors, enhancing its expertise in enterprise software and strategic growth. Hughes, a seasoned executive with a history of leading significant transformations at companies like Veritas Technologies, will contribute to BlackLine’s growth and innovation strategy alongside recent board addition Sam Balaji. This move is expected to strengthen BlackLine’s leadership in financial operations and support its ongoing momentum as a category leader.

The most recent analyst rating on (BL) stock is a Sell with a $50.00 price target. To see the full list of analyst forecasts on BlackLine stock, see the BL Stock Forecast page.

BlackLine Appoints Sam Balaji to Board of Directors

On June 13, 2025, BlackLine, Inc. appointed Saranga ‘Sam’ Balaji to its Board of Directors, bringing his extensive experience in enterprise software, AI, and cybersecurity from his 28-year tenure at Deloitte, where he served as Global CEO of Deloitte Consulting. Balaji’s appointment is expected to bolster BlackLine’s strategic growth, deepen partnerships, and enhance its platform’s capabilities, particularly in AI-driven digital finance transformation.

The most recent analyst rating on (BL) stock is a Sell with a $50.00 price target. To see the full list of analyst forecasts on BlackLine stock, see the BL Stock Forecast page.

BlackLine Appoints Scott Davidson to Key Committees

On May 8, 2025, BlackLine, Inc. held its annual meeting of stockholders virtually, where Scott Davidson was appointed to the Audit and Technology and Cybersecurity Committees. The meeting also saw the election of Class III directors, ratification of PricewaterhouseCoopers LLP as the independent auditor, and approval of executive compensation policies, including an annual advisory vote on executive compensation.

The most recent analyst rating on (BL) stock is a Sell with a $50.00 price target. To see the full list of analyst forecasts on BlackLine stock, see the BL Stock Forecast page.