Blackstone (NYSE:BX) Announces Earnings Results

by · The Markets Daily

Blackstone (NYSE:BX – Get Free Report) released its quarterly earnings data on Thursday. The asset manager reported $1.32 earnings per share for the quarter, topping the consensus estimate of $1.26 by $0.06, Zacks reports. The business had revenue of $3.06 billion during the quarter, compared to analysts’ expectations of $3.27 billion. Blackstone had a return on equity of 23.77% and a net margin of 21.84%. The business’s revenue was down .8% on a year-over-year basis. During the same quarter last year, the business posted $0.80 EPS.

Here are the key takeaways from Blackstone’s conference call:

  • Blackstone reported $1.7 billion in distributable earnings for Q3, or $1.32 per share, while total AUM increased 10% year over year to approximately $1.4 trillion. Fee-related earnings rose 6%, supported by continued growth in base management and performance-related fees.
  • Fundraising momentum remained strong, with $63 billion of quarterly inflows and more than $270 billion over the past 12 months. Private wealth AUM grew 15% to $330 billion, insurance AUM rose 14% to over $300 billion, and several institutional funds reached or approached hard caps.
  • Management expressed strong conviction in AI infrastructure, energy, and related financing opportunities, citing severe supply constraints and rising demand for compute. Blackstone emphasized its focus on long-term contracts, investment-grade counterparties, and asset-backed or senior financing to manage risks from technological obsolescence and higher interest rates.
  • The company expects a significant increase in Q4 realizations, including multiple company sales and year-end performance-fee crystallizations. Management also expects a return to double-digit annual growth in base management fees in 2027, driven by new drawdown funds, perpetual strategies, credit insurance, and BXMA.
  • Higher interest rates continued to pressure real estate valuations, with wider capitalization rates causing depreciation in opportunistic real estate funds; BREP declined 3.2% in Q3. Management expects real estate management fees to remain broadly stable through year-end and into 2027, while BCRED experienced $1.4 billion of net outflows after fulfilling roughly half of redemption requests.

Blackstone Stock Performance

Shares of BX stock opened at $118.39 on Friday. The company has a quick ratio of 0.72, a current ratio of 0.72 and a debt-to-equity ratio of 0.63. The company has a 50 day moving average price of $125.43 and a 200-day moving average price of $124.15. Blackstone has a 52 week low of $101.73 and a 52 week high of $165.14. The firm has a market capitalization of $88.86 billion, a PE ratio of 26.48, a P/E/G ratio of 1.35 and a beta of 1.59.

Blackstone Cuts Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, November 9th. Investors of record on Monday, November 2nd will be issued a $1.12 dividend. This represents a $4.48 annualized dividend and a yield of 3.8%. The ex-dividend date is Monday, November 2nd. This is a negative change from Blackstone’s previous quarterly dividend of $1.29. Blackstone’s dividend payout ratio is 115.44%.

Blackstone News Roundup

Here are the key news stories impacting Blackstone this week:

  • Positive Sentiment: Blackstone reported third-quarter distributable earnings of $1.32 per share, exceeding the $1.26 consensus estimate. Blackstone Q3 earnings report
  • Positive Sentiment: Total assets under management climbed 10% year over year to approximately $1.37 trillion, while net inflows exceeded $63 billion. Infrastructure assets reportedly grew 40%, supporting the long-term growth outlook. Blackstone AUM and net income report
  • Positive Sentiment: Fee-related earnings increased 6%, suggesting Blackstone’s recurring management-fee business remains resilient even as investment exits become more difficult. Investors appeared to give greater weight to predictable fee income and fundraising than to weaker quarterly realizations. Blackstone Q3 readout
  • Neutral Sentiment: Management continues to position Blackstone for growth in infrastructure, artificial intelligence-related investment and private-wealth channels. Discussions about potential NFL team investments are preliminary and are not yet a material earnings driver. Blackstone AI investment strategy
  • Negative Sentiment: Profitability remained under pressure: GAAP profit and distributable earnings declined year over year, revenue came in below estimates at approximately $3.06 billion, and private-equity asset-sale proceeds fell 49% as higher interest rates and choppy markets weakened exits. Blackstone rising rates report
  • Negative Sentiment: Blackstone declared a quarterly dividend of $1.12 per share, down 13.2% from $1.29 previously. The cut highlights the effect of lower realization income on the company’s variable dividend and may concern income-focused investors.

Insider Buying and Selling

In other Blackstone news, major shareholder Bx Buzz Ml-1 Gp Llc sold 3,767,776 shares of Blackstone stock in a transaction that occurred on Monday, September 28th. The shares were sold at an average price of $2.94, for a total value of $11,077,261.44. Following the completion of the sale, the insider owned 16,120 shares of the company’s stock, valued at approximately $47,392.80. The trade was a 99.57% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CAO David Payne sold 9,500 shares of the stock in a transaction on Tuesday, August 11th. The shares were sold at an average price of $145.23, for a total value of $1,379,685.00. Following the transaction, the chief accounting officer directly owned 64,448 shares in the company, valued at $9,359,783.04. The trade was a 12.85% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last ninety days, insiders have bought 464,792 shares of company stock valued at $12,205,945 and have sold 4,077,276 shares valued at $37,573,644. Company insiders own 1.00% of the company’s stock.

Wall Street Analysts Forecast Growth

BX has been the subject of a number of research analyst reports. Barclays dropped their price target on Blackstone from $128.00 to $124.00 and set an “equal weight” rating for the company in a research note on Thursday, October 8th. TD Cowen decreased their price objective on shares of Blackstone from $154.00 to $144.00 and set a “buy” rating for the company in a report on Monday, October 12th. BNP Paribas Exane dropped their target price on shares of Blackstone from $126.00 to $125.00 and set a “neutral” rating for the company in a research report on Tuesday, June 30th. JPMorgan Chase & Co. reduced their price target on shares of Blackstone from $136.00 to $132.00 and set a “neutral” rating on the stock in a research report on Thursday, July 16th. Finally, Keefe, Bruyette & Woods raised shares of Blackstone to a “hold” rating in a research note on Monday, July 20th. Thirteen investment analysts have rated the stock with a Buy rating and twelve have assigned a Hold rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $144.43.

View Our Latest Report on BX

About Blackstone

(Get Free Report)

Blackstone Inc (NYSE:BX) is a global alternative asset management firm that provides investment and advisory services to institutional investors, companies, and qualified individual investors. The company manages capital across private equity, real estate, credit and insurance, infrastructure, hedge fund solutions, secondaries, and growth-oriented investments.

Blackstone invests in and manages portfolios of businesses, properties, infrastructure assets, and credit instruments across a range of industries.

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