BLKNEUTRAL

Return on Equity (ROE)

11.9%

Higher than 41% of Financial Services sector peers

Updated 102h ago

Sector Performance

41th percentile

BLK

11.9%

Sector Median

12.9%

Sector Avg

17.5%

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Deep Analysis

A Return on Equity (ROE) of 11.9% means that for every dollar of shareholder equity, BLK generated 11.9 cents of net profit over the past year — a common measure of how efficiently a company uses investor capital to produce earnings.

This trails the Financial Services sector median of 13.4%, placing BLK in the 40th percentile among its peers, indicating below-average profitability efficiency relative to similar firms. Trend data is not available: the year-over-year change and quarter-over-quarter change are both listed as N/A, and the last eight quarters show no historical values to assess direction. With a single data point at 11.9% and no trend, the combination of a below-median ROE with zero visibility on trajectory implies a neutral near-term risk profile — there is no evidence of improvement or deterioration, but the level itself offers no competitive advantage. This metric supports the overall NEUTRAL verdict: the ROE is neither strong enough to recommend buying nor weak enough to signal a sell, aligning with a balanced assessment.

Frequently Asked Questions

What does the Return on Equity (ROE) tell investors about BLK?

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.

How is the Return on Equity (ROE) calculated?

Return on Equity (ROE) is calculated as: Net Income / Shareholders' Equity.

How does BLK's Return on Equity (ROE) compare to its sector?

BLK's Return on Equity (ROE) of 11.9% compares to a Financial Services sector median of 12.9%, placing it in the 41th percentile.

Who are BLK's closest peers by Return on Equity (ROE)?

The closest Financial Services peers by Return on Equity (ROE) include: AFL (12.4%), ARES (12.3%), RF (11.9%), HSBC (11.6%), GOLD (10.8%).

The Formula

Net Income / Shareholders' Equity

Why It Matters

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.