BlackRock (BLK) beats earnings – stock remains flat in premarket

BlackRock (BLK) beats earnings - stock remains flat in premarket

BlackRock (NYSE: BLK) released its Q3 2022 earnings report on October 13, beating analysts’ expectations on the top and bottom lines. In essence, the firm showed revenues of $4.31 billion, a -14.7% year-on-year (YoY) decrease, beating estimates by $140 million. 

Similarly, earnings per share (EPS) was $9.55, beating estimates by $2.28, while revenue decline was driven by lower markets and appreciation of the US dollar compared to other currencies. 

The firm also saw $65 billion of quarterly long-term net inflows, mostly in exchange-traded fund (ETF) instruments. At the time of writing, the stock remains mostly flat in premarket trading, despite the positive surprise on Q3 earnings.  

BLK premarket data. Source: Nasdaq

BLK chart and analysis 

In the last month, BLK has been trading in the $526.94 to $648.97 range, currently staying near the low of its 52-week range, below all moving averages. Technical analysis shows a resistance zone from $550.41 to $559.12.

BLK chart. Source: Finbold.com. See more stocks here.

Analysts rate the stock a ‘strong buy,’ with the average price in the next 12 months reaching $676.20, 27.32% higher than the current trading price of $531.10. Notably, out of 10 Wall Street analysts, 8 have a ‘buy’ rating, and 2 have a ‘hold’ rating; interestingly, none have a ‘sell’ rating.

Wall Street analysts’ price targets for BLK. Source: TipRanks  

With today’s markets seeing a lot of volatility and BlackRock’s success depending heavily on the market’s health, some downside in the near term could be expected.

Despite a positive earnings surprise, the shares did not move in the premarket, perhaps indicating the caution in markets. Tracking BLK’s short-term performance could specify how investors look at the economy’s health and the possible future behavior of BLK stock. 

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Source: https://finbold.com/blackrock-blk-beats-earnings-stock-remains-flat-in-premarket/