BlackRock, Inc. (BLK) — Fundamental Analysis & Key Financial Ratios

Kaplio's reading: BlackRock, Inc.

Updated on October 15, 2026 · accounts published on October 14, 2026

Reading of October 14, 2026: A growing, lightly indebted financial firm whose margins have slipped below their usual level

BlackRock trades at a P/E of 25.7× over the last 12 months, 94 % above its sector median of 13.2× and higher than in 80 % of the last decade.

• Is BlackRock expensive or cheap? BlackRock's P/E is 94 % above its sector median and higher than in 80 % of the last decade.
• How is the business doing? Revenue grew 19 % over the last 12 months, but the 31 % operating margin is below its 37 % average since 2014.
• How strong is the balance sheet? Debt is just 0.26 times equity, and the dividend has risen for 11 consecutive fiscal years with a 60 % payout.
• Is it a scalable, lightly leveraged business? Revenue per share grew 8 % a year in fiscal 2020-2025, but free cash flow covered only 64 % of net income in fiscal 2025.
• What to expect from the next earnings? Analysts expect EPS of $15.29 in the report due January 21, 2027; BlackRock has beaten estimates 8 quarters in a row.

Is BlackRock expensive or cheap?

BlackRock trades at a P/E of 25.7× over the last 12 months, 21 % above its ten-year median of 21.2×. Over the decade the multiple ranged from 12.1× to 30.7×, and it has been lower than today 80 % of the time. Against the sector median of 13.2× (474 companies) the premium is 94 %. Measured against its own five-year average of 24.1×, the P/E sits within the normal band, so investors are paying roughly what they have paid in recent years. The earnings yield is 4.9 % and the free cash flow yield 3.2 %. The shares are down 9 % over 12 months and sit 9 % below the 52-week high of $1,202.59.

How is the business doing?

Revenue rose 19 % year on year over the last 12 months, yet EPS fell 16 % over the same period, so growth is not reaching the bottom line. Margins account for part of the gap: the operating margin is 31 % over the last 12 months against a 37 % average for fiscal 2014-2025, and fiscal 2025's 33 % was the lowest of those 12 years. A 28 % net margin over the last 12 months is still high by most standards. The question for the coming quarters is whether margins recover toward their historical level or the lower range becomes the norm.

How strong is the balance sheet?

Debt/equity is 0.26 over the last 12 months, about half the 0.5 ceiling considered prudent for financial services, so leverage is not a concern. The dividend yields 2.1 % over the last 12 months and has grown for 11 consecutive fiscal years through 2025. The payout was 60 % of earnings in fiscal 2025, a level that leaves room to keep raising it, though with less cushion if EPS keeps falling. Price to book stands at 2.9× over the last 12 months against an ROE of 14 %.

Is it a scalable, lightly leveraged business?

Asset managers, brokers and exchanges live on fees, so the useful checks are revenue growth, margins and how much profit turns into cash. BlackRock grew revenue per share 8 % a year over fiscal 2020-2025, above the 6 % healthy mark, and its fiscal 2025 operating margin of 33 % clears the 30 % threshold by a narrow margin. ROE of 14 % over the last 12 months sits just under the 15 % bar. The weak spot is cash: free cash flow equalled 64 % of net income in fiscal 2025, well below the 90 % expected in this sector.

What to expect from the next earnings?

On October 14, 2026 BlackRock reported EPS of $15.93 against $14.32 expected, an 11 % beat, and it has topped estimates in each of the last 8 quarters. The next report is due January 21, 2027, with analysts expecting EPS of $15.29. The 2026 EPS consensus barely moved in the last 30 days, from $56.25 to $56.02 across 9 analysts, and revenue estimates also held steady. Of 33 analysts, 26 rate the stock a buy, 7 a hold and none a sell. That run of beats comes alongside a 16 % EPS decline over 12 months, so the margin trend matters more than another beat.

How this was prepared: the data comes from companies' official filings, collected by a professional provider, and from Kaplio's analysis engine (trailing-12-month ratios, 10 years of history and sector medians computed across US-listed companies). The text is written from that data alone, every figure is checked against it before publication, and it is reviewed when the company reports results. This is not investment advice.