BlackRock (BLK) Slid on Investors’ Concerns

Soumya Eswaran

Wed, February 18, 2026 at 11:00 PM GMT+9 3 min read

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BLK

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The London Company, an investment management company, released “The London Company Large Cap Strategy” fourth-quarter 2025 investor letter. In Q4 2025, US equities ended the third consecutive quarter of higher returns, with the Russell 3000 Index rising 2.4%. A copy of the letter can be downloaded here. The market highlighted how investors balanced the optimism on earnings growth and concerns regarding AI returns and cooling macroeconomic factors. Against this backdrop The London Company Large Cap portfolio returned 0.4% (0.2% net) compared to a 2.4% increase in the Russell 1000 Index. Volatility factors and concentrated market leadership were notable headwinds to the Strategy’s performance in the quarter.  Heading into 2026, the economic and policy backdrop presents a blend of confidence and doubt. Against this backdrop, the portfolio remains stable and believes it can help investors in long-term wealth creation while managing downside risk. In addition, please check the Strategy’s top five holdings to know its best picks in 2025.

In its fourth-quarter 2025 investor letter, The London Company Large Cap Strategy highlighted BlackRock, Inc. (NYSE:BLK). Founded in 1988, BlackRock, Inc. (NYSE:BLK) is a leading publicly owned investment manager. On February 17, 2026, BlackRock, Inc. (NYSE:BLK) stock closed at $1,072.67 per share. One-month return of BlackRock, Inc. (NYSE:BLK) was -4.89%, and its shares are up 8.75% over the past twelve months. BlackRock, Inc. (NYSE:BLK) has a market capitalization of $166.426 billion.

The London Company Large Cap Strategy stated the following regarding BlackRock, Inc. (NYSE:BLK) in its fourth quarter 2025 investor letter:

"BlackRock, Inc. (NYSE:BLK) – BLK was a bottom performer during the quarter as investor sentiment was pressured by concerns around private market liquidity, return durability, and higher expenses tied to recent acquisitions. Despite this, fundamentals remain solid, with record AUM, healthy flows, and organic base fee growth well above long-term targets, driven by active ETFs, digital assets, and alternatives. We continue to view BLK as a long-term share gainer, and we appreciate the strong balance sheet and steady capital return."

BlackRock, Inc. (BLK) “Had Been The Hottest Coming Into The Quarter,” Says Jim Cramer

BlackRock, Inc. (NYSE:BLK) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 63 hedge fund portfolios held BlackRock, Inc. (NYSE:BLK) at the end of the third quarter, up from 58 in the previous quarter. While we acknowledge the potential of BlackRock, Inc. (NYSE:BLK) as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

Story Continues  

In another article, we covered BlackRock, Inc. (NYSE:BLK) and shared the list of biggest publicly traded asset managers. In addition, please check out our hedge fund investor letters Q4 2025 page for more investor letters from hedge funds and other leading investors.

READ NEXT: The Best and Worst Dow Stocks for the Next 12 Months and 10 Unstoppable Stocks That Could Double Your Money.

Disclosure: None. This article is originally published at Insider Monkey.

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