{"id":70900,"date":"2023-10-10T07:25:37","date_gmt":"2023-10-10T11:25:37","guid":{"rendered":"https:\/\/ifintechworld.com\/markets\/will-blackrock-stock-top-the-estimates-in-q3\/"},"modified":"2023-10-10T07:25:40","modified_gmt":"2023-10-10T11:25:40","slug":"will-blackrock-stock-top-the-estimates-in-q3","status":"publish","type":"post","link":"https:\/\/ifintechworld.com\/?p=70900","title":{"rendered":"Will BlackRock Stock Top The Estimates In Q3?"},"content":{"rendered":"
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BlackRock (NYSE: BLK) is scheduled to report its fiscal Q3 2023 results on Friday, October 13, 2023. We expect BlackRock
\n BLK
\n <\/fbs-ticker> to beat the consensus estimates for revenues and earnings. The company outperformed the earnings expectations in the last quarter, while the revenues were slightly below the mark. It reported total revenues of $4.46 billion \u2013 down 1% y-o-y, primarily driven by a marginal drop in the base fees (total investment advisory, administration fees & securities lending revenue) and distribution revenues. In terms of Assets under Management, the firm posted an average AuM of $9.19 trillion in the quarter \u2013 up 2% y-o-y. We expect the top line to see a year-on-year growth in the third quarter. Our interactive dashboard analysis on BlackRock\u2019s Earnings Preview<\/strong> has more details. <\/strong><\/p>\n

We estimate BlackRock\u2019s valuation to be around $803 per share which is 24% above the current market price. Interestingly, BlackRock stock had a Sharpe Ratio of 0.4<\/strong> since early 2017, which is lower than 0.6 <\/strong>for the S&P 500 Index over the same period. This compares with the Sharpe of 1.23<\/strong> for the Trefis Reinforced Value portfolio. Sharpe is a measure of return per unit of risk, and high-performance portfolios can provide the best of both worlds.<\/p>\n

(1) Revenues expected to top the consensus estimates<\/strong><\/p>\n

BlackRock\u2019s revenues declined 6% y-o-y to $8.7 billion in the first half of FY2023.<\/p>\n

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