BlackRock Reports 8 Percent Rise in Third Quarter Profits (BLK)
On Wednesday the world's largest money manager, BlackRock, Inc. ( BLK ), reported an 8% increase in third quarter profits, beating analysts' expectations.
The New York based company reported net income of $642 million, or $3.65 per share. That is up 8% from $595 million, or $3.23 per share, a year earlier. Excluding certain items, the earnings per share was $3.47; that is 4.8% larger than analysts' expectations of $3.31 per share, according to Reuters.
The increase in profits was due in part to investors pouring money into BlackRock's iShares line of ETFs. Also the company showed strength in bond mutual funds, its Lifepath funds for 401(k)-type retirement accounts, hedge fund performance fees and risk management services.
Revenue rose to $2.3 billion, up 4% from a year earlier.
BlackRock's total assets managed increased to $3.67 trillion, up 3% during the quarter and up 10% from this time last year.
BlackRock shares were flat in premarket trading on Wednesday.
The Bottom Line
Shares of Blackrock ( BLK ) have a 3.16% dividend yield, based on last night's closing stock price of $189.97. The stock has technical support in the $176-$180 price area. If the shares can firm up, we see overhead resistance around the $193-$199 price levels.
BlackRock, Inc. ( BLK ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.