Intel stock spikes after report of possible US government stake
Investing.com - BlackRock (NYSE:BLK), currently trading at $1,111.46 and commanding a market capitalization of $172 billion, received a reiterated Buy rating and $1,210.00 price target from Jefferies on Tuesday, following the asset manager’s second-quarter earnings report. According to InvestingPro data, the stock is trading near its 52-week high with strong momentum.
BlackRock reported non-GAAP earnings per share of $12.05 for the second quarter of 2025, exceeding both Jefferies’ estimate of $10.54 and the consensus forecast of $10.78. The company’s solid performance is reflected in its "GOOD" Financial Health Score on InvestingPro, with seven analysts recently revising their earnings estimates upward.
The company’s adjusted operating income came in modestly above expectations by $74 million, as lower expenses offset revenue that fell short of estimates. Jefferies noted that expenses were $138 million below projections, more than compensating for revenues that missed by $64 million.
Long-term inflows for the quarter totaled $46 billion, below the estimated $54 billion, with multi-asset strategies accounting for most of the shortfall. Below-the-line items contributed to the earnings beat.
BlackRock maintained its organic base fee growth at 6% quarter-over-quarter, while technology annual contract value grew by 16%, according to Jefferies’ analysis.
In other recent news, BlackRock has entered into a definitive agreement to acquire ElmTree Funds, a net-lease real estate investment firm managing $7.3 billion in assets. This acquisition will be primarily paid in stock, with further consideration depending on ElmTree’s performance over the next five years. Additionally, Jio BlackRock Asset Management, a joint venture between Jio Financial Services and BlackRock, successfully raised over $2.1 billion in its first fund offering. Meanwhile, Morgan Stanley (NYSE:MS) has raised its price target for BlackRock to $1,247, maintaining an Overweight rating, following an increase in BlackRock’s assets under management forecasts. Moody’s Ratings has affirmed BlackRock’s Aa3 ratings, adjusting the outlook to stable from negative, citing successful integration of recent acquisitions like HPS Investment Partners. BlackRock’s clients are also showing increased interest in diversifying beyond U.S. markets, with a notable shift toward Asia equity positioning. These developments reflect BlackRock’s strategic efforts to expand its market presence and enhance its investment offerings.
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