New Wall Street research highlights why BlackRock's Monday selloff was such a great opportunity for investors. Trading modestly lower a day later, the stock still is. We bought Monday's slide , adding to the BlackRock position we've been building since mid-October. The news Analysts came to BlackRock's defense, as the Club did in our trade alert, after shares fell nearly 6% in the prior session on news regarding asset management rival Vanguard. Investors were concerned Monday about the iShares operator's competitive standing after Vanguard announced broad fee cuts for many of its mutual funds and exchange-traded funds (ETFs). Vanguard said the move will save its clients roughly $350 million in 2025. Morgan Stanley said the repricing action is "manageable" for BlackRock, making the stock's early-week decline an "attractive entry point." Analysts reiterated their buy-equivalent rating on the financial name. JPMorgan acknowledged that BlackRock's iShares subsidiary is a direct competitor to Vanguard, but that these fee reductions aren't an "incremental risk" to its fund flows. "Vanguard didn't cut fees on its flagship funds and generally where there is overlap between the two ETF managers. Vanguard is already much lower fee (as is the case in fixed income ETFs) or BlackRock funds have larger AUM and cater to the institutional liquidity seeking investors (different than the Vanguard retail buy and hold investor)," the analysts wrote Tuesday. Jefferies also heaped praise on BlackRock, commending management's recent buying spree in private markets. "BlackRock has been proactively diversifying its revenues through the recent alternative acquisitions of [Global Infrastructure Partners] and HPS as well as data provider Preqin which helps mitigate against these competitive dynamics," the analysts said. While shares were down slightly Tuesday, BlackRock remained down about 1% in 2025, underperforming the nearly 6% year-to-date gain in the S & P 500 financials sector and the overall market's 2.5% advance. BLK 1Y mountain BlackRock 1 year Big picture Expense ratio pressure is nothing new in the asset management industry. There have been regular fee reductions by both Vanguard and BlackRock for years. Despite facing tough competition in ETFs, both companies have grown to manage trillions of dollars in investments and earn billions of dollars in fees annually. BlackRock recorded its highest-ever assets under management (AUM) at $11.6 trillion in the fourth quarter. Vanguard was not that far behind at $10.4 trillion in AUM as of Nov. 30, 2024 . Bottom line Jim Cramer agreed with Tuesday's Wall Street research and said that Monday's selloff in BlackRock shares was overblown. He thinks they can go much higher than their current levels just above $1,000 each. "This is an opportunity," Jim said during Tuesday's Morning Meeting. "I think, therefore, you want to buy." The Club's buy-equivalent 1 rating reflects those sentiments. Our price target on BlackRock is $1,115 per share. We think, as Jefferies analysts do, that downside from Vanguard's recent fee reductions could be offset by BlackRock management's push into fast-growing segments like private markets and infrastructure. "This really validates what [CEO] Larry Fink is putting together with all these different acquisitions, pushing into private credit [and] pushing into private markets," said Jeff Marks, the Investing Club's director of portfolio analysis. (Jim Cramer's Charitable Trust is long BLK. See here for a full list of the stocks.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust's portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.