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BlackRock Financial Strength

: 6 (As of Jun. 2022)
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BlackRock has the Financial Strength Rank of 6.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.

BlackRock's Interest Coverage for the quarter that ended in Jun. 2022 was 30.93. BlackRock's debt to revenue ratio for the quarter that ended in Jun. 2022 was 0.47. As of today, BlackRock's Altman Z-Score is 1.60.


Competitive Comparison

For the Asset Management subindustry, BlackRock's Financial Strength, along with its competitors' market caps and Financial Strength data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

BlackRock Financial Strength Distribution

For the Asset Management industry and Financial Services sector, BlackRock's Financial Strength distribution charts can be found below:

* The bar in red indicates where BlackRock's Financial Strength falls into.



BlackRock Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

BlackRock's Interest Expense for the months ended in Jun. 2022 was $-54 Mil. Its Operating Income for the months ended in Jun. 2022 was $1,670 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2022 was $8,450 Mil.

BlackRock's Interest Coverage for the quarter that ended in Jun. 2022 is

Interest Coverage=-1*Operating Income (Q: Jun. 2022 )/Interest Expense (Q: Jun. 2022 )
=-1*1670/-54
=30.93

The higher the ratio, the stronger the company's financial strength is.

2. Debt to revenue ratio. The lower, the better.

BlackRock's Debt to Revenue Ratio for the quarter that ended in Jun. 2022 is

Debt to Revenue Ratio=Total Debt (Q: Jun. 2022 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(0 + 8450) / 18104
=0.47

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

BlackRock has a Z-score of 1.60, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

Warning Sign:

Altman Z-score of 1.6 is in distress zone. This implies bankruptcy possibility in the next two years.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


BlackRock  (NYSE:BLK) Financial Strength Explanation

The maximum rank is 10. Companies with rank 7 or higher will be unlikely to fall into distressed situations. Companies with rank of 3 or less are likely in financial distress.

BlackRock has the Financial Strength Rank of 6.


BlackRock Financial Strength Related Terms

Thank you for viewing the detailed overview of BlackRock's Financial Strength provided by GuruFocus.com. Please click on the following links to see related term pages.


BlackRock Business Description

BlackRock logo
Address
55 East 52nd Street, New York, NY, USA, 10055
BlackRock is the largest asset managers in the world, with $10.010 trillion in AUM at the end of 2021. Product mix is fairly diverse, with 53% of the firm's managed assets in equity strategies, 28% in fixed income, 8% in multi-asset class, 8% in money market funds, and 3% in alternatives. Passive strategies account for around two thirds of long-term AUM, with the company's iShares ETF platform maintaining a leading market share domestically and on a global basis. Product distribution is weighted more toward institutional clients, which by our calculations account for around 80% of AUM. BlackRock is also geographically diverse, with clients in more than 100 countries and more than one third of managed assets coming from investors domiciled outside the U.S. and Canada.
Executives
Ford Beth director C/O CORPORATE SECRETARY SCHOLASTIC CORP 557 BROADWAY NEW YORK NY 10012
Peck Kristin C director C/O ZOETIS INC. 10 SYLVAN WAY PARSIPPANY NJ 07054
Vestberg Hans Erik director 1095 AVENUE OF THE AMERICAS NEW YORK NY 10036
Cohen Stephen officer: Senior Managing Director 55 EAST 52ND STREET NEW YORK NY 10055
Mehta Manish officer: Senior Managing Director 55 EAST 52ND STREET NEW YORK NY 10055
Alsaad Bader M. director 55 EAST 52ND STREET NEW YORK NY 10055
Buckingham Geraldine officer: Senior Managing Director 55 EAST 52ND STREET NEW YORK NY 10055
Wiedman Mark officer: Senior Managing Director 585 WEST END AVENUE NEW YORK NY 10024
Ford William E director 55 EAST 52ND STREET, 32ND FLOOR NEW YORK NY 10055
Johnson Margaret L director 5775 MOREHOUSE DRIVE SAN DIEGO CA 92121
Wilson Mark A director AIA ONE CONNAUGHT ROAD CENTRAL K3 0000
Lord Rachel officer: Senior Managing Director 55 EAST 52ND STREET NEW YORK NY 10055
Robbins Charles director 170 WEST TASMAN DRIVE SAN JOSE CA 95134
Meade Christopher J. officer: General Counsel and CLO BLACKROCK, INC. 55 EAST 52ND STREET NEW YORK NY 10055
Demchak William S director THE TOWER AT PNC PLAZA 300 FIFTH AVENUE PITTSBURGH PA 15222-2707

BlackRock Headlines

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