Blackstone logged a -1.5% change during today's morning session, and is now trading at a price of $134.28 per share.
Blackstone returned gains of 35.9% last year, with its stock price reaching a high of $145.16 and a low of $88.59. Over the same period, the stock outperformed the S&P 500 index by 9.7%. More recently, the company's 50-day average price was $129.37. Blackstone Inc. is an alternative asset management firm specializing in real estate, private equity, hedge fund solutions, credit, secondary funds of funds, public debt and equity and multi-asset class strategies. Based in New York, NY, the Large-Cap Finance company has 4,735 full time employees. Blackstone has offered a 2.5% dividend yield over the last 12 months.
The Firm Has a Declining EPS Growth Trend:
| 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | |
|---|---|---|---|---|---|---|
| Revenue (M) | $6,833 | $7,338 | $6,102 | $22,577 | $8,518 | $8,023 |
| Interest Income (M) | $164 | $200 | $166 | $198 | $317 | $432 |
| Operating Margins | 51% | 52% | 43% | 60% | 41% | 37% |
| Net Margins | 23% | 28% | 17% | 26% | 21% | 17% |
| Net Income (M) | $1,542 | $2,050 | $1,045 | $5,857 | $1,748 | $1,391 |
| Depreciation & Amort. (M) | $59 | $71 | $71 | $75 | $67 | $40 |
| Diluted Shares (M) | 121 | 676 | 697 | 720 | 741 | 755 |
| Earnings Per Share | $2.26 | $3.03 | $1.5 | $8.13 | $2.36 | $1.84 |
| EPS Growth | n/a | 34.07% | -50.5% | 442.0% | -70.97% | -22.03% |
| Avg. Price | $27.32 | $37.52 | $48.9 | $94.78 | $108.52 | $134.28 |
| P/E Ratio | 12.04 | 12.38 | 32.6 | 11.64 | 45.98 | 72.98 |
| Free Cash Flow (M) | $27 | $1,903 | $1,824 | $3,922 | $6,101 | $3,833 |
| CAPEX (M) | $18 | $60 | $112 | $64 | $235 | $224 |
| EV / EBITDA | 7.33 | 8.76 | 13.64 | 5.17 | 23.87 | 34.53 |
| Total Debt (M) | $10,395 | $11,542 | $5,732 | $7,856 | $12,491 | $11,606 |
| Net Debt / EBITDA | 2.29 | 2.41 | 1.39 | 0.42 | 2.33 | 2.89 |
Blackstone has generally positive cash flows, slight revenue growth and increasing reinvestment in the business, and reasonable leverage levels. However, the firm has declining EPS growth. Finally, we note that Blackstone has decent operating margins with a negative growth trend.
Blackstone's Valuation Is in Line With Its Sector Averages:
Blackstone has a trailing twelve month P/E ratio of 49.4, compared to an average of 19.48 for the Finance sector. Based on its EPS guidance of $5.94, the company has a forward P/E ratio of 21.8. Blackstone's PEG ratio is 4.25 on the basis of the 11.6% weighted average of the company and the broader market's EPS compound average growth rates. This suggests that the company's shares are overvalued. Furthermore, Blackstone is likely overvalued compared to the book value of its equity, since its P/B ratio of 14.2 is higher than the sector average of 1.85. The company's shares are currently trading 594.7% below their Graham number. Ultimately, Blackstone's strong cash flows, decent earnings multiple, and healthy debt levels factor towards it being fairly valued, its elevated P/B ratio notwithstanding.
There's an Analyst Consensus of Some Upside Potential for Blackstone:
The 17 analysts following Blackstone have set target prices ranging from $112.0 to $164.0 per share, for an average of $136.06 with a buy rating. The company is trading -1.3% away from its average target price, indicating that there is an analyst consensus of some upside potential.
Blackstone has an average amount of shares sold short because 2.7% of the company's shares are sold short. Institutions own 69.9% of the company's shares, and the insider ownership rate stands at 0.97%, suggesting a small amount of insider investors. The largest shareholder is Vanguard Group Inc, whose 9% stake in the company is worth $8,747,146,559.
