Jim Cramer is looking into investing in BlackRock, the largest asset manager in the world, and has added it to our Bullpen stocks-to-watch list.
BlackRock’s shares hit a record high after reporting third-quarter earnings that exceeded expectations. Assets under management reached an all-time high of $11.5 trillion, largely due to increased inflows as the stock market improved. CEO Larry Fink mentioned, “We’ve added $2 trillion organically over the last five years,” highlighting significant growth.
The financial industry started its quarterly earnings reports last Friday. Wells Fargo also reported strong results, while Morgan Stanley will report next Wednesday. The financial market has been challenging with persistent high interest rates until the Federal Reserve cut rates last month. Future Fed cuts are currently being debated, with expectations shifting from 75 basis points to just 50 by year-end.
BlackRock’s impressive earnings further solidify its position as a stock to consider. The stock has risen over 12% in the past month, significantly outpacing the S&P 500’s 4% gain. Jim Cramer acknowledged that although the stock has surged, it might still have more potential. He has been focusing on Wells Fargo and Morgan Stanley recently, which is why he hasn’t moved on BlackRock yet.
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