Back to top

Image: Bigstock

Blackstone Inc. (BX) Dips More Than Broader Markets: What You Should Know

Read MoreHide Full Article

Blackstone Inc. (BX - Free Report) closed the most recent trading day at $126.71, moving -1.78% from the previous trading session. This change lagged the S&P 500's 0.75% loss on the day. At the same time, the Dow lost 0.3%, and the tech-heavy Nasdaq lost 0.23%.

Heading into today, shares of the investment manager had lost 9.66% over the past month, lagging the Finance sector's loss of 3.61% and the S&P 500's loss of 0.13% in that time.

Investors will be hoping for strength from Blackstone Inc. as it approaches its next earnings release. The company is expected to report EPS of $1.30, up 15.04% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $3.01 billion, up 7.45% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $4.35 per share and revenue of $10.22 billion, which would represent changes of +64.15% and +56.85%, respectively, from the prior year.

Any recent changes to analyst estimates for Blackstone Inc. should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Blackstone Inc. is holding a Zacks Rank of #1 (Strong Buy) right now.

Investors should also note Blackstone Inc.'s current valuation metrics, including its Forward P/E ratio of 29.69. For comparison, its industry has an average Forward P/E of 11.52, which means Blackstone Inc. is trading at a premium to the group.

Investors should also note that BX has a PEG ratio of 1.18 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Financial - Miscellaneous Services was holding an average PEG ratio of 0.86 at yesterday's closing price.

The Financial - Miscellaneous Services industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 111, which puts it in the top 44% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow BX in the coming trading sessions, be sure to utilize Zacks.com.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Blackstone Inc. (BX) - free report >>

Published in