Blackstone ahead of Q3 results: wealth channel and property recovery in focus

what happened

Blackstone will report third-quarter earnings on Thursday, according to Seeking Alpha. Investors will watch its wealth channel, where redemption requests in non-traded BDCs have broadly fallen from the prior quarter. The bench strength is also in focus after senior departures in real estate and private equity.

Consensus calls for EPS of $1.26, a 17.1% year-over-year decline, and revenue up nearly 4% to $3.21 billion. On the last earnings call, CFO Michael Chae said base management fee growth in the third quarter should be similar to the second quarter, with a return to double-digit growth in 2027. He warned of a sequential slowdown in net realizations in the third quarter, while expecting a robust fourth quarter and a strong 2027.

Most analysts remain positive: RBC Capital Markets, Oppenheimer and Evercore ISI rate the stock Outperform, with price targets of $169, $164 and $134. Shares are down more than 28% so far this year, while the S&P 500 has gained nearly 12.7%. Seeking Alpha's Quant Rating is Hold.

why it matters

The key question for the market is whether Blackstone can confirm fee growth and a recovery in real estate deals as elevated long-dated yields continue to weigh on the sector. Estimates have seen no upward revisions over the past three months, making the report a useful read on alternative asset managers.

market impact

Alternative asset managers: Blackstone's results set a benchmark for the private markets and real estate sector

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