Get woke, go broke -- Blackrock edition

BlackRock was downgraded by UBS analyst Brennan Hawken last week over the asset management company’s adherence to the environmental, social, and governance movement, also known as ESG.

As several conservative state officials continue to pull hundreds of millions from BlackRock and other asset managers, Hawken slashed the target stock price from $700 to $585, according to a report from Barron’s. Shares for BlackRock fell 1% last Tuesday on the news.

“We are downgrading BLK to Neutral based on environmental pressure to earnings and risk from the firm’s ESG positioning,” Hawken remarked, citing the potential for further lost business and increased regulatory scrutiny.