BlackRock, Inc. (NYSE:BLK) Second-Quarter Results: Here's What Analysts Are Forecasting For This Year

BlackRock, Inc. (NYSE:BLK) came out with its quarterly results last week, and we wanted to see how the business is performing and what industry forecasters think of the company following this report. BlackRock reported in line with analyst predictions, delivering revenues of US$5.4b and statutory earnings per share of US$10.19, suggesting the business is executing well and in line with its plan. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

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Taking into account the latest results, the current consensus from BlackRock's twelve analysts is for revenues of US$23.4b in 2025. This would reflect a decent 8.4% increase on its revenue over the past 12 months. Per-share earnings are expected to increase 2.1% to US$42.25. In the lead-up to this report, the analysts had been modelling revenues of US$23.0b and earnings per share (EPS) of US$42.70 in 2025. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.

View our latest analysis for BlackRock

There were no changes to revenue or earnings estimates or the price target of US$1,162, suggesting that the company has met expectations in its recent result. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. There are some variant perceptions on BlackRock, with the most bullish analyst valuing it at US$1,252 and the most bearish at US$1,000 per share. With such a narrow range of valuations, the analysts apparently share similar views on what they think the business is worth.

Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. It's clear from the latest estimates that BlackRock's rate of growth is expected to accelerate meaningfully, with the forecast 17% annualised revenue growth to the end of 2025 noticeably faster than its historical growth of 4.2% p.a. over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 5.9% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that BlackRock is expected to grow much faster than its industry.

The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider industry. The consensus price target held steady at US$1,162, with the latest estimates not enough to have an impact on their price targets.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. We have estimates - from multiple BlackRock analysts - going out to 2027, and you can see them free on our platform here.

You still need to take note of risks, for example - BlackRock has 1 warning sign we think you should be aware of.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.