BX

Blackstone reported mixed Q3 2026 results with strong AUM growth to $1.4 trillion and $63.3 billion in capital inflows, but distributable earnings fell 9% due to a 34% decline in net realizations. Despite near-term earnings volatility, management expects a significant recovery in Q4 and an outstanding 2027. At $117 per share (down 28.5% from 52-week high), the stock trades at less than 20x earnings and offers potential 15% annualized returns over five years with a 4.4% dividend yield, making it attractive for long-term investors.

Blackstone (BX) beat Q3 2026 earnings expectations with $1.32 distributable earnings per share and $3.22B in revenues. The firm expects double-digit base management fee growth in 2027 driven by new funds and insurance relationships. AUM grew 10% to $1.37T with record wealth assets of $330B. However, the company faces headwinds from real estate valuation pressures due to higher interest rates and elevated private credit redemptions, though management remains confident in long-term AI infrastructure and energy investments.

Several major companies reported better-than-expected earnings, driving stock gains. Lockheed Martin surged 7% after beating EPS estimates, Procter & Gamble jumped 5.6%, Blackstone climbed 8.4%, and Comcast advanced 3.4%. Meanwhile, tech stocks declined overall while oil prices rose and treasury yields fell below 5%.

CoreWeave stock fell 10.06% to $55.60 after Bernstein analyst Madison Rezaei cut its price target to $51 from $74, citing financing concerns and an estimated $85 billion needed to fund its committed backlog. Despite the downgrade, industry leaders including Nvidia CEO Jensen Huang and Blackstone COO Jon Gray praised the strength of underlying demand for AI compute capacity and CoreWeave's management, suggesting the sell-off may present buying opportunities.

Blackstone reported Q3 2026 earnings of $1.32 per share, beating estimates but declining 13% year-over-year. While the company achieved record AUM of $1.37 trillion with $63.3 billion in quarterly inflows and grew fee-related earnings 6%, segment revenues declined 3% year-over-year, reflecting a challenging operating environment.

The VanEck Alternative Asset Manager ETF (GPZ), launched in June 2025, has underperformed significantly with a year-to-date loss of 21.29% and a Zacks ETF Rank of 4 (Sell). The fund tracks alternative asset managers across private equity, venture capital, and private credit with a 0.4% expense ratio. Top holdings include Brookfield Corp, Blackstone Inc, and KKR & Co Inc. Better alternatives in the space include Invesco Global Listed Private Equity ETF (PSP) and VanEck BDC Income ETF (BIZD).

American Express is expected to report Q3 2026 earnings of $4.47 per share (up 8% YoY) with revenues of $20.13 billion (up 9.3% YoY) on October 23. However, the company's Earnings ESP of -0.17% combined with a Zacks Rank #3 makes it difficult to predict an earnings beat.

While AXP has beaten estimates in 3 of the last 4 quarters, recent analyst revisions have turned slightly bearish. Blackstone Inc. is also highlighted as a comparison, with negative earnings expectations.

Blackstone is set to report Q3 2026 earnings on October 22, with consensus estimates projecting a 13.8% earnings decline and only 1.9% revenue growth. While total AUM is expected to grow 11.1% to $1.38 trillion, the company faces headwinds from subdued deal-exit profits, rising expenses, and weaker realized performance revenues. The stock has underperformed peers, declining 12.5% in Q3.

Bill Ackman is executing a plan to transform Howard Hughes Holdings (HHH) into a Berkshire Hathaway-style insurance holding company combined with an asset manager similar to Brookfield and Blackstone. HHH acquired Vantage for $2.1 billion and plans to invest $2.5-3 billion into the insurance unit over five years, with Pershing Square managing the portfolio. While the stock has pulled back to near book value after initial enthusiasm, the article cautions that success is uncertain and investors should wait for the excitement to subside before investing.

Blackstone Inc. is expected to report Q3 2026 earnings of $1.31 per share, representing a 13.8% year-over-year decline, with revenues expected to rise 1.9% to $3.36 billion. The company has a negative Earnings ESP of -2.65% with a Zacks Rank #3 (Hold), making it difficult to predict an earnings beat. However, Blackstone has beaten consensus estimates in all four of the last quarters.

In a comparison of two Financial - Miscellaneous Services sector stocks, Intercorp Financial Services Inc. (IFS) emerges as the more attractive option for value investors compared to Blackstone Inc. (BX). IFS holds a Zacks Rank #2 (Buy) versus BX's #3 (Hold), and significantly outperforms on valuation metrics including a forward P/E of 8.67 vs 18.97, a PEG ratio of 0.69 vs 1.35, and a P/B ratio of 1.56 vs 3.97. IFS received a Value grade of A while BX received a D.

The global private credit and alternative lending market is projected to reach USD 3.36 trillion by 2031, growing at 7.8% CAGR from a 2026 base of USD 2.31 trillion. Growth is driven by AI/data-center infrastructure debt, insurance-linked capital, and bank retrenchment, though the market faced liquidity stress in 2025-26 concentrated in retail-facing vehicles, resulting in significant redemption pressures and market capitalization losses for major managers.

BlackRock (BLK) exceeded earnings expectations with Q3 adjusted earnings of $15.93 per share, up 38% year-over-year. Revenues jumped 19% to $7.75 billion, driven by organic base fee growth and favorable market conditions.

The company achieved record AUM of $15.49 trillion with $205.47 billion in net inflows. ETFs and active strategies attracted strong inflows, though elevated expenses remain a challenge.

Franklin Templeton achieved record assets under management of $1.79 trillion in Q3 fiscal 2026, with $18.4 billion in long-term net inflows and 13.7% growth in investment management fees. The company is expanding its alternatives business and plans to acquire a majority stake in Stoneshield Capital to add $9 billion in AUM and strengthen European real estate and infrastructure capabilities.