📊 BL Key Takeaways
Is Blackline, Inc.. (BL) a Good Investment?
BlackLine demonstrates solid financial health with exceptional free cash flow generation (23.1% FCF margin) and strong liquidity metrics, supported by industry-leading gross margins of 75.2%. However, the company faces profitability headwinds with declining net income (-10.0% YoY) and compressed operating margins (3.6%), indicating operational leverage challenges despite 7.2% revenue growth.
BlackLine shows solid fundamental quality through high gross margins, strong free cash flow generation, and a healthy balance sheet with substantial cash and modest leverage. However, revenue growth is only moderate and the sharp decline in diluted EPS alongside low operating and net margins suggests profitability remains vulnerable and not yet consistently scaling with revenue.
Why Buy Blackline, Inc.. Stock? BL Key Strengths
- Exceptional free cash flow generation at $161.5M with 23.1% FCF margin, providing substantial financial flexibility
- Strong gross margins at 75.2% reflect high-quality software products with favorable pricing power
- Excellent liquidity position with 1.47x current ratio and $390.0M cash against only $66.4M long-term debt
- Conservative leverage with 0.20x debt-to-equity ratio and strong interest coverage of 17.4x
- High gross margin of 75.2% supports strong underlying software economics
- Free cash flow generation is robust at $161.49M, or a 23.1% FCF margin
- Financial health is solid with $390.03M in cash, low debt/equity of 0.20x, and strong interest coverage of 17.4x
BL Stock Risks: Blackline, Inc.. Investment Risks
- Declining profitability with net income down 10.0% YoY and diluted EPS collapsed 73.1% YoY, suggesting margin compression and/or increased share count
- Weak operating margins of 3.6% indicate operational leverage challenges and limited ability to scale profits with revenue growth
- Low return metrics (ROE 7.4%, ROA 1.4%) suggest inefficient capital deployment relative to asset base of $1.8B
- Recent insider activity shows 10 Form 4 filings in last 90 days, warranting monitoring for insider selling patterns
- Diluted EPS fell 73.1% year over year, indicating weak bottom-line conversion and possible dilution or margin pressure
- Operating margin of 3.6% and net margin of 3.5% are thin for a software business
- Revenue growth of 7.2% is modest and may not be strong enough to drive major margin expansion without tighter cost control
Key Metrics to Watch
- Operating margin trend and path to improving operational leverage
- Net income and EPS recovery trajectory relative to revenue growth
- Free cash flow sustainability and capital allocation decisions
- Return on equity improvement as profitability stabilizes
- Operating margin trend
- Revenue growth rate
Blackline, Inc.. (BL) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The 23.1% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments.
BL Profit Margin, ROE & Profitability Analysis
BL vs Technology Sector: How Blackline, Inc.. Compares
How Blackline, Inc.. compares to Technology sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Blackline, Inc.. Stock Overvalued? BL Valuation Analysis 2026
Based on fundamental analysis, Blackline, Inc.. has mixed fundamental signals relative to the Technology sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Blackline, Inc.. Balance Sheet: BL Debt, Cash & Liquidity
BL Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Blackline, Inc..'s revenue has grown significantly by 65% over the 5-year period, indicating strong business expansion. The most recent EPS of $0.81 reflects profitable operations.
BL Revenue Growth, EPS Growth & YoY Performance
BL Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $165.9M | $5.3M | $0.09 |
| Q2 2025 | $160.5M | $8.3M | $0.13 |
| Q1 2025 | $157.5M | $6.1M | $0.10 |
| Q3 2024 | $150.7M | $11.9M | $0.19 |
| Q2 2024 | $144.6M | $18.8M | $0.22 |
| Q1 2024 | $139.0M | $10.8M | $0.17 |
| Q3 2023 | $134.3M | $11.9M | $0.19 |
| Q2 2023 | $128.5M | -$10.7M | $-0.18 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Blackline, Inc.. Dividends, Buybacks & Capital Allocation
BL SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Blackline, Inc.. (CIK: 0001666134)
📋 Recent SEC Filings
❓ Frequently Asked Questions about BL
What is the AI rating for BL?
Blackline, Inc.. (BL) has a Combined AI Rating of BUY from Claude (BUY) and ChatGPT (HOLD) with 74% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are BL's key strengths?
Claude: Exceptional free cash flow generation at $161.5M with 23.1% FCF margin, providing substantial financial flexibility. Strong gross margins at 75.2% reflect high-quality software products with favorable pricing power. ChatGPT: High gross margin of 75.2% supports strong underlying software economics. Free cash flow generation is robust at $161.49M, or a 23.1% FCF margin.
What are the risks of investing in BL?
Claude: Declining profitability with net income down 10.0% YoY and diluted EPS collapsed 73.1% YoY, suggesting margin compression and/or increased share count. Weak operating margins of 3.6% indicate operational leverage challenges and limited ability to scale profits with revenue growth. ChatGPT: Diluted EPS fell 73.1% year over year, indicating weak bottom-line conversion and possible dilution or margin pressure. Operating margin of 3.6% and net margin of 3.5% are thin for a software business.
What is BL's revenue and growth?
Blackline, Inc.. reported revenue of $700.4M.
Does BL pay dividends?
Blackline, Inc.. does not currently pay dividends.
Where can I find BL SEC filings?
Official SEC filings for Blackline, Inc.. (CIK: 0001666134) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is BL's EPS?
Blackline, Inc.. has a diluted EPS of $0.39.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is BL a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Blackline, Inc.. has a BUY rating with 74% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is BL stock overvalued or undervalued?
Valuation metrics for BL: ROE of 7.4% (sector avg: 22%), net margin of 3.5% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.
Should I buy BL stock in 2026?
Our dual AI analysis gives Blackline, Inc.. a combined BUY rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is BL's free cash flow?
Blackline, Inc..'s operating cash flow is $169.6M, with capital expenditures of $8.1M. FCF margin is 23.1%.
How does BL compare to other Technology stocks?
Vs Technology sector averages: Net margin 3.5% (avg: 18%), ROE 7.4% (avg: 22%), current ratio 1.47 (avg: 2.5).