Jim Cramer is considering investing in BlackRock, the largest asset manager in the world, and has added it to the Bullpen stocks-to-watch list.
BlackRock shares recently hit a record high after the company reported third-quarter earnings that exceeded expectations. The firm also revealed that its assets under management reached an all-time high of $11.5 trillion, thanks to strong market inflows. CEO Larry Fink noted that the company added $2 trillion in assets over the past five years, equivalent to the sixth largest asset manager’s size. Furthermore, Fink highlighted the recent $12.5 billion purchase of Global Infrastructure Partners, which contributed over $100 billion in assets.
The financial sector began releasing quarterly earnings, with Wells Fargo also showing strong results. Morgan Stanley, part of the portfolio, will report next Wednesday. The finance giants are navigating a challenging environment with steady interest rates, compounded by recent discussions around rate cuts from the Federal Reserve.
BlackRock’s impressive quarterly performance makes it a compelling stock for consideration. Its recent share increase of over 12% in the last month outpaces the S&P 500’s 4% gain. Jim Cramer acknowledged that while the stock has risen significantly, there may still be room for further growth.
Jim has been delayed in making a decision as he focuses on Wells Fargo and Morgan Stanley, emphasizing the importance of careful consideration before acting. Subscribers to Jim Cramer’s CNBC Investing Club will receive timely trade alerts.
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