BlackRock Fourth Quarter Earnings Sneak Peek

S&P 500 (NYSE:SPY) component BlackRock (NYSE:BLK) will unveil its latest earnings tomorrow, Thursday, January 17, 2013. BlackRock, along with its subsidiaries, provides investment management services to institutional clients and to individual investors through various investment vehicles.

BlackRock Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for profit of $3.69 per share, a rise of 20.6% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved up from $3.63. Between one and three months ago, the average estimate moved up. It has risen from $3.68 during the last month. Analysts are projecting profit to rise by 8.4% versus last year to $13.42.

Past Earnings Performance: The company has beaten estimates the last four quarters and is coming off a quarter where it topped forecasts by 17 cents, reporting net income of $3.47 per share against a mean estimate of profit of $3.30 per share.

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Wall St. Revenue Expectations: Analysts are projecting a rise of 11.7% in revenue from the year-earlier quarter to $2.49 billion.

A Look Back: In the third quarter, profit rose 7.9% to $642 million ($3.65 a share) from $595 million ($3.23 a share) the year earlier, exceeding analyst expectations. Revenue rose 11.5% to $2.4 billion from $2.15 billion.

Here’s how BlackRock traded following its last earnings report 3 months ago and leading up to its upcoming earnings report this week:


Analyst Ratings: With 10 analysts rating the stock a buy, one rating it a sell and six rating the stock a hold, there are indications of a bullish stance by analysts.

Key Stats:

On the top line, the company is looking to build on last quarter’s revenue increase, which snapped a string of revenue drops. Revenue fell 10.4% in the fourth quarter of the last fiscal year, 0.6% in the first quarter and 5.4% in the second quarter before climbing in the third quarter.

The company is trying to stem some negative momentum heading into this earnings announcement. Profit has dropped by a year-over-year average of 4.4% over the past four quarters.

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(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)