BlackRock Inc.

BLK
Financial Analysis · Updated May 12, 2026 · Coverage 2026-Q2
Latest Q Revenue
$6.7B
Q1 2026 · +27% YoY
TTM ROIC
14.6%
FY2025 · Adj. Net Income / (Total Equity + Net Debt) · WACC ~8.5% · Moat spread +6.1pp
Margin Profile
Gross 83%
Operating 44.1%
FCF 30%
FY2025
Net Debt
$2.0B
Cash $13.0B · Debt $15.0B · FY2025

Business Overview


ticker: BLK step: 01 generated: 2026-05-12 source: quick-research

BlackRock, Inc. (BLK) — Business Overview

Business Description

BlackRock is the world's largest asset manager with a record $13.89T in assets under management (Q1 2026). The firm operates a uniquely diversified business: iShares (#1 ETF franchise globally), institutional active management, alternatives (now ~$420B+ AUM), retirement solutions, advisory services, and the Aladdin technology platform managing $25T+ in third-party assets. CEO Larry Fink has been at the helm since founding 1988. The 2024-2025 transformation: GIP ($12.5B), HPS ($12B), Preqin ($3.2B), ElmTree (small) acquisitions built BlackRock into a private markets + private credit powerhouse — the "Aladdin for private markets."

Revenue Model

  • Investment Advisory Fees (~75% of revenue): Asset-based fees on $13.89T AUM
    • ETFs (iShares ~30% of AUM): Lowest fees but largest scale
    • Institutional active ~30%: Higher fees on active mandates
    • Retail mutual funds ~10%: Higher-fee
    • Cash management ~10%: Money market funds + cash
    • Alternatives ~5%: Highest-fee — private markets growing fast
  • Technology Services (~6%): Aladdin subscription revenue — high-margin, recurring; Q1 26 $530M (+22%)
  • Performance Fees (~3%): Variable, hedge fund + private credit + private equity
  • Investment Banking + Distribution (~2-3%): Securities lending, advisory

Products & Services

iShares ETFs
  • $4.2T+ AUM (largest ETF franchise globally)
  • IBIT (iShares Bitcoin Trust): $55B+ AUM, largest Bitcoin fund by 3x — ~800,000 BTC held
  • Core equity index ETFs (IVV, IEFA, IEMG, etc.)
  • Bond ETFs (driving 2025-26 inflows)
  • Active ETFs growing
Alternatives ($420B+ AUM)
  • Global Infrastructure Partners (GIP): $170B+ AUM in energy + AI data center + transport infrastructure
  • HPS Investment Partners: $148B+ AUM in private credit (acquired 2024)
  • BlackRock Real Estate, Private Equity, Hedge Funds
  • ElmTree: Net lease real estate
Aladdin Technology Platform
  • $25T+ in third-party assets monitored
  • High-margin SaaS subscription model (~22% revenue growth)
  • Aladdin Wealth for wealth managers; eFront for alternatives
  • Preqin integration (2024 acq): Private markets data + analytics → "Aladdin for private markets"
Active Management
  • Equity, Fixed Income, Multi-Asset
  • Sustainable + ESG strategies

Customer Base & Go-to-Market

  • Institutional clients: Pensions, sovereign wealth, endowments, insurance — 50%+ of AUM
  • Retail (via intermediaries): ETFs through brokerages, financial advisors
  • Wealth Management firms: Use Aladdin Wealth platform
  • Geographic mix: ~65% Americas, ~25% EMEA, ~10% APAC
  • Distribution: Direct institutional sales + retail through intermediaries

Competitive Position

BlackRock is the global #1 asset manager (~$14T AUM vs Vanguard ~$10T, State Street ~$5T, Fidelity ~$5T, JPM Asset Mgmt ~$4T). Moats: (1) iShares ETF scale + brand, (2) Aladdin platform integration with major institutions = sticky technology revenue, (3) Larry Fink's relationships + brand, (4) ability to deploy capital into alternative classes faster than peers. Recent moves into private credit (HPS), private markets data (Preqin), Bitcoin ETF (IBIT) entrench differentiation. Competitors: Vanguard (passive scale + cost), State Street (institutional + SPY), Apollo + KKR + Blackstone (private markets specialists).

Key Facts

  • Founded: 1988 (Larry Fink + 7 others)
  • Headquarters: New York, NY
  • Employees: ~21,000
  • Exchange: NYSE
  • Sector / Industry: Financials / Asset Management
  • Market Cap: ~$160B (May 2026)
  • CEO: Laurence D. "Larry" Fink (since founding)
  • Dividend: $20.40 annual ($5.10 quarterly)
  • 11+ consecutive years of dividend growth
  • AUM: $13.89T (Q1 2026 record)
  • 2024-25 M&A: GIP $12.5B + HPS $12B + Preqin $3.2B = ~$28B in private markets buildout

Financial Snapshot


ticker: BLK step: 04 generated: 2026-05-12 source: quick-research

BlackRock, Inc. (BLK) — Financial Snapshot

Income Statement Summary

Metric FY2023 FY2024 FY2025 YoY
Total Revenue $17.9B $20.4B $24.2B +19%
Investment Advisory Fees $14.5B $16.5B $19.5B +18%
Technology Services Revenue (Aladdin) $1.5B $1.6B $2.0B +25%
Adj. Operating Margin 41% 42% 40% -2pp (margin compression)
Net Income $5.5B $6.4B $5.6B -13% (GAAP)
Adj. Net Income $5.9B $6.7B $7.7B +15%
Adj. EPS (diluted) $37.77 $43.61 $48.09 +10%

Q1 2026 Highlights

Metric Q1 2026 YoY
Total AUM $13.89T (record) +32% YoY
Net Inflows $130B (Q1)
Net Income $2.2B +17%
Tech Services Revenue $530M +22% (incl. $65M Preqin)
Organic Base Fee Growth 12% annualized

AUM Detail (Q1 2026)

Channel AUM % of Total
ETFs (iShares) $4.2T+ ~30%
Institutional Active ~$4T ~29%
Retail Mutual Funds ~$1.5T ~11%
Cash Management ~$1.5T ~11%
Alternatives $423B+ ~3%
Advisory + Other balance ~16%

Net Inflows Trajectory

Period Net Inflows
FY2024 $641B (record)
FY2025 $698B (new record)
Q1 2026 $130B (+ETF $132B)

Bitcoin ETF (IBIT)

Metric Value
IBIT AUM $55B+
BTC Holdings ~800,000 BTC
Market Share Largest by 3x
Q1 2026 Net Inflows (crypto ETFs) $935M
TTM Net Inflows (crypto ETFs) $32B

Cash Flow & Balance Sheet (FY2025)

Metric Value
Operating Cash Flow ~$6.5B
Free Cash Flow ~$6B
Cash & Investments ~$13B
Total Debt ~$15B
Net Cash ~$(2)B (modest net debt post-M&A)

Key Ratios (approximate, May 2026)

  • P/E (forward): ~21x | EV/EBITDA: ~15x | Dividend Yield: ~2.0%
  • ROE: ~15%
  • Operating Margin: 40% adj
  • Fee Compression: GAAP NI -13% as M&A integration costs hit; adj NI +15%

Growth Profile

FY25 revenue +19% to $24.2B; adj EPS +10%. Q1 2026 AUM hit record $13.89T (+32% YoY). The 2024-25 private markets buildout (GIP, HPS, Preqin) is now scaling — alternatives AUM $423B+ growing high-teens; technology services +22%. GAAP margin compression is from M&A integration; underlying adj margins stable. Net inflows accelerating: $641B (2024) → $698B (2025).

Forward Estimates

  • FY2026E Revenue: ~$28B (+15%)
  • FY2026E Adj EPS: ~$56 (+16%)
  • FY2027E EPS: ~$62-65 (+10-15%)
  • Long-term AUM growth target: mid-to-high single digit organic + market appreciation

Capital Return

  • Dividend $20.40 annual (~$3.1B paid)
  • 11+ consecutive years of dividend growth
  • Buybacks: ~$1.5-2B annual (moderated for M&A integration)
  • Total return: ~3% combined yield + 10-15% EPS growth

Deeper Financial Analysis

The fundamental tier adds 9 additional research dimensions for $BLK.

Revenue Breakdown
Segment revenue, geographic mix, product-line contribution margins, and cohort dynamics.
Financial Trends
Quarter-over-quarter momentum, leading indicators, and inflection point analysis.
Balance Sheet
Debt structure, liquidity runway, dilution risk, and working capital dynamics.
Capital Allocation
Buyback cadence, M&A appetite, dividend policy, and reinvestment priorities.
Returns on Capital (ROIC)
Multi-year ROIC vs. WACC, marginal returns on reinvestment, sales-to-invested-capital efficiency, and moat spread.
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