BLK · Q2 FY2026
BlackRock, Inc. Q2 FY2026 earnings analysis
By SageNoodle ResearchBullish
| Metric | Actual | Estimate | Result |
|---|---|---|---|
| Revenue | $7.08B | $5.42B (yr ago) | Beat |
| EPS | $12.19 | $10.19 (yr ago) | Beat |
| Free Cash Flow | $32M | $1.27B (yr ago) | Miss |
| Gross Margin | Not meaningful | Not meaningful (yr ago) | Miss |
| Operating Margin | 34.7% | 31.9% (yr ago) | Beat |
What changed
Revenue increased 30.6% year over year to $7.08 billion, GAAP diluted EPS rose 19.6% to $12.19, and GAAP operating margin expanded 280 basis points to 34.7%. The operating improvement was supported by $192 billion of quarterly net inflows, higher markets, organic base-fee growth, HPS-related fees, performance fees and technology revenue, although operating cash flow was unusually low at $247 million.
Impact on the investment thesis
There is no prior SageNoodle fair value to revise. We initiate fair value at $1,100 per share: the quarter strengthens the operating thesis, but the current $1,062.40 price and 25.4x trailing P/E already recognize much of that progress.