BL Stock Price Increases 33% in 6 Months: Should Investors Buy It?

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By Ronald Tech

BlackLine BL shares gained 33% in the last six months, outperforming the Zacks Computer & Technology sector’s appreciation of 6% and the Zacks Internet – Software industry’s return of 13.5%.

BL’s exceptional performance can be attributed to its innovative financial automation solutions, strong partnerships and a rapidly growing global client base.

BL’s Earnings Estimate Trend Steady

For the fourth quarter of 2024, BlackLine expects total GAAP revenues to be in the range of $167 million to $169 million. Non-GAAP earnings are expected to be between 47 cents per share and 52 cents per share.

For the full-year 2024, BlackLine expects total GAAP revenues to be in the range of $651 million to $653 million. Non-GAAP earnings are expected to be between $2.15 per share and $2.21 per share.

The Zacks Consensus Estimate for fourth-quarter revenues is pegged at $168.04 million, indicating year-over-year growth of 7.91%. The consensus mark for earnings is currently pegged at 50 cents per share, unchanged over the past 30 days, and indicating a year-over-year decline of 27.54%.

The Zacks Consensus Estimate for 2024 revenues is pegged at $651.91 million, indicating year-over-year growth of 10.49%. The consensus mark for earnings is currently pegged at $2.18 per share, unchanged over the past 30 days, and indicating year-over-year growth of 11.22%.

BL has beaten the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 17.93%.

BlackLine Price and Consensus

 

BlackLine Price and Consensus

BlackLine price-consensus-chart | BlackLine Quote

Find the latest EPS estimates and surprises on Zacks Earnings Calendar.

Strong Portfolio & Rich Partner Base Aid BL’s Prospects

BlackLine is benefiting from an innovative solutions portfolio that addresses diverse financial needs, including automation, complex data processing, transaction matching and analytics. Its latest studio solution has enhanced its capabilities by enabling the organization and visualization of financial data to support broader finance transformation goals.

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BL’s rich partner base includes industry leaders like SAP SAP, Microsoft MSFT, Amazon AMZN, Accenture, Ernst & Young, Deloitte, Cognizant, IBM and Genpact. BlackLine partnered with SAP in 2018, leveraging SolEx to resell its solutions, ensuring seamless integration with SAP ERP systems.

BL relies on Microsoft’s Azure to serve its Rimilia customers, and on Amazon Web Services (AWS) to cater to its FourQ customers.

BlackLine’s expanding client base is also a key growth driver. The company recently signed a net new multi-pillar deal with Kroll, a leading financial and risk advisory firm, to provide close, consolidation and intercompany solutions to optimize and automate their record-to-report processes.

Is BL Stock a Buy?

Blackline is benefiting from its strong solutions portfolio, partnerships and an expanding client base, making the company poised for continued growth and long-term success.

BL currently has a Zacks Rank #2 (Buy) and Growth Score of B, a favorable combination that offers strong investment opportunity, per the Zacks proprietary methodology. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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