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Based in New York, Blackstone Inc. (BX), is the world’s largest alternative asset manager and also provides capital markets services globally. Valued at $88.36 billion by market cap, the company has more than $1 trillion in assets under management. The company specializes in real estate, private equity, hedge fund solutions, credit, secondary funds of funds, public debt and equity, and multi-asset class strategies.
Shares of this leading asset management firm have outperformed the broader market over the past year. BX has gained 41.4% over this time frame, while the broader S&P 500 Index ($SPX) has rallied nearly 26.2%. However, in 2024, BX stock is down 7.4%, while the SPX is up 11.2% on a YTD basis.
Zooming in further, BX’s outperformance is also apparent compared to the Global Listed Private Equity Invesco ETF (PSP). The exchange-traded fund has gained about 29.1% over the past year. However, the ETF’s 6.4% returns on a YTD basis compare to the stock’s loss over the same time frame.
On Apr. 18, BX reported Q1 results. Its distributable earnings rose 1% year over year to $1.27 billion, and its fee-related earnings increased 12% year over year to $1.16 billion, driven by strong fundraising activities. The company’s distributable earnings per share came in at $0.98, beating analyst estimates of $0.96. The stock declined over 2.3% on the earnings release day.
For the current fiscal year, ending in December, analysts expect BX’s EPS to grow 20.8% to $4.77 on a diluted basis. The company’s earnings surprise history is mixed. It beat or matched the consensus estimate in three of the last four quarters while missing the forecast on another occasion.
Among the 19 analysts covering BX stock, the consensus rating is a “Moderate Buy.” That’s based on seven “Strong Buy” ratings, one “Moderate Buy,” and 11 “Holds.”
This configuration has been consistent over the past three months.
Recently, Argus Research analyst Stephen Biggar maintained a “Buy” rating on BX stock, raising the price target from $133 to $135, implying a potential upside of 11.4% from current levels.
The mean price target of $127.44 represents a 5.1% premium to BX’s current price levels. The Street-high price target of $145 suggests an upside potential of 19.6%.
On the date of publication, Dipanjan Banchur did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
