CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:
We raise our 12-month target price by $20 to $915, valuing BLK shares at 19.7x our 2025 adjusted EPS estimate of $46.50 (lifted by $1.40) and at 21.2x our 2024 EPS estimate of $43.20 (upped by $0.12), versus the three-year average forward multiple of 20x and a peer average of 15x. Q1 EPS of $9.81 versus $7.93 topped our $9.60 EPS estimate and the $9.39 consensus view on 11.4% higher revenues (versus our 8%-11% estimate) and operating margin of 42.2% versus 40.4%. Long-term net inflows of $76B in Q1 ($183B in the last 12 months) reflected strong and broad-based ETF inflows of $67B. We raise our 2024 revenue growth forecast to 8%-12% and see growth of 9%-12% in 2025. We expect above-peer organic growth; an attractive mandate pipeline; contributions from Aladdin (Q1 revenues rose 11%); and contributions from selective, bolt-on acquisitions aimed at increasing BLK’s presence in the alternative space to support the shares premium valuation versus peers. The shares also currently yield 2.6%.