5 Best Asset Management Stocks To Buy According To Hedge Funds

4. BlackRock, Inc. (NYSE:BLK)

Number of Hedge Fund Holders: 49

BlackRock, Inc. (NYSE:BLK) is an investment manager that caters to a wide range of clients, including institutional, intermediary, and individual investors such as insurance companies, pension plans for corporations, unions and public sectors, endowments, governments, charities, mutual funds, corporations, banks, sovereign wealth funds, official institutions, and public institutions. In addition to investment management, BlackRock, Inc. (NYSE:BLK) also offers advisory services and global risk management solutions. It is one of the best asset management stocks to invest in. 

On April 17, Craig Siegenthaler, an analyst at BofA, increased the firm’s price target on BlackRock, Inc. (NYSE:BLK) from $868 to $920 and maintained a Buy rating on the stock. This is due to the company’s beating its earnings estimates and its Assets under Management increasing. In addition, stronger Q2 beta, higher operating margin and non-operating income contributed to the analyst’s decision to raise the firm’s Q2, 2024, and 2025 EPS estimates. He also raised the organic growth estimate for 2023/24, citing a higher conviction behind the rebalancing thesis and money market inflows following BlackRock, Inc. (NYSE:BLK)’s Q1 report.

According to Insider Monkey’s fourth quarter database, 49 hedge funds were bullish on BlackRock, Inc. (NYSE:BLK), compared to 46 funds in the prior quarter. Harris Associates held the largest stake in the company, with 787,188 shares worth $557.8 million. 

Baron FinTech Fund made the following comment about BlackRock, Inc. (NYSE:BLK) in its Q4 2022 investor letter:

“Shares of BlackRock, Inc. (NYSE:BLK), the world’s largest asset manager, increased during the quarter. Despite volatility and a mid-December decline, most equity markets finished higher in the quarter, and BlackRock, which is heavily tied to these markets, benefited. Additionally, investors are anticipating that the company’s fixed income products will experience growth in 2023. Alternative strategies are expanding as well and should continue to provide a profitable revenue stream.”