This $11 Trillion Giant Just Got Cheaper, Is It Time to Buy?

When you manage more than $11 trillion in assets, your decisions ripple across global markets. That’s the world BlackRock (NYSE: BLK) operates in, a behemoth in asset management with tentacles in everything from ETFs and private equity to real estate and cutting-edge fintech. But in today’s choppy market, is BlackRock still a stock worth owning?

Let’s dig into the latest numbers and what they signal for long-term investors.

Key Points

• Q1 revenue rose 12%, driven by tech (Aladdin), with AUM hitting $11.58 trillion—about one-third of U.S. GDP.

• Shares trade below highs but aren’t cheap; analysts project ~16% upside with steady 7.3% EPS growth ahead.

• A 2.3% yield, consistent buybacks, and 15 years of dividend hikes support long-term investors despite short-term volatility.

Revenue Is Up, Thanks to Tech and Subscriptions

BlackRock’s Q1 earnings gave investors plenty to smile about. Revenues jumped 12% year-over-year to $5.28 billion, led in part by a 16% boost in its fast-growing tech and subscription segment.

That growth was powered by Aladdin, BlackRock’s investment and risk management platform, which now oversees over $20 trillion in assets when you count external clients. Yes, trillion.

The firm’s assets under management climbed to a staggering $11.58 trillion in Q1—roughly one-third of the entire U.S. GDP. That’s not just big. It’s systemically important.

On the earnings front, adjusted EPS rose 15% to $11.30 per share. And while the projected EPS growth rate over the next 3–5 years of 7.3% annualized isn’t eye-popping, it is steady, a trait long-term investors tend to appreciate.

Is BlackRock Stock Cheap?

With shares recently trading just under $900, BlackRock is well below its 52-week high of $1,084. That’s caught the eye of value-seekers, but is it a steal?

Maybe not. At 21.6x earnings, 6.5x sales, and 2.9x book value, BLK isn’t exactly trading at fire-sale prices. Still, compare that to Charles Schwab (NYSE: SCHW), which commands higher multiples across the board. Relative to peers, BlackRock’s valuation seems reasonable given its size and stability—but not dirt cheap.

Wall Street’s average price target is $1,033.91—roughly 16% upside from here.

Dividends and Buybacks Are Quiet Strengths

BlackRock’s 2.3% dividend yield may not scream “income play,” but the underlying story is stronger than it appears. The payout ratio sits at just 36.6%, giving management plenty of room to boost payouts in the years ahead.

And they’ve done just that—raising the dividend for 15 straight years at an average rate of 9.9% annually over the past decade.

Meanwhile, the company bought back $375 million in stock in Q1, part of an ongoing trend of reducing the share count—a shareholder-friendly move that boosts EPS over time.

Risks Linger, But They Look Manageable

BlackRock’s size doesn’t shield it entirely from volatility. In Q1, active equity funds saw net outflows, losing nearly $13 billion. Fixed-income products weren’t spared either, dropping $7.3 billion. Even ETFs, typically a bright spot, were hit by market-driven asset declines north of $68 billion.

These figures don’t even include the tariff-driven turmoil in early April, suggesting Q2 could paint a more challenging picture.

And if stagflation gains momentum, even BlackRock’s massive ETF portfolio could face prolonged pressure. But here’s the flip side: the firm is globally diversified and extremely resilient. Unless there’s a full-blown financial crisis, the odds of structural damage seem low.

CEO Larry Fink recently voiced concerns about a looming recession but emphasized that the U.S. economy is not spiraling into chaos. Long-term, he remains optimistic.

Buy, Sell, or Hold?

BlackRock isn’t a momentum stock right now, but for patient investors, it checks a lot of boxes: steady growth, strong dividend track record, a dominant market position, and optionality from its tech platform.

Aladdin, in particular, is a hidden growth engine—providing software to institutional investors and pension funds managing trillions more in assets. That recurring tech revenue could quietly reshape BlackRock’s long-term growth story.

So while short-term headwinds remain, BlackRock looks like a solid “Buy” for investors playing the long game.