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Assessing Blackstone (BX): Is the Recent Momentum Justified by Its Current Valuation?

Simply Wall St · 09/27 22:07
Blackstone (BX) has been catching some investor eyes lately, not because of a headline-grabbing deal or market-moving announcement, but simply due to the steady rhythm of its recent price swings. Moves like these often prompt investors to pause as they weigh whether the market has missed something in Blackstone’s math or if the shares are already reflecting all the growth that is yet to come. Taking a step back, momentum has generally been in Blackstone’s favor this year. While the most recent week showed a dip, shares have gained just over 21% in the past month and are up 16% for the year. Looking further back, Blackstone’s five-year return is impressive, and its growth in annual revenue and net income continues to fuel curiosity about what is next. So after these moves, is this just business as usual for a financial heavyweight, or is the market starting to price in more ambitious expectations for Blackstone’s future?

Most Popular Narrative: 3.5% Undervalued

According to the most widely followed narrative, Blackstone is currently seen as slightly undervalued based on analyst consensus. This narrative highlights the company's strong position in private markets and its ability to attract increased investor capital, which is expected to drive structural growth.

Strategic alliances and innovations in private credit and wealth management are intended to boost revenue through expanded market reach and larger spreads. Economic and geopolitical uncertainties, including tariffs and trade negotiations, pose risks to Blackstone's revenues, real estate values, earnings, and overall financial performance.

Want to uncover the growth formula behind this bullish view? Analysts are betting on Blackstone beating industry growth rates, with future success depending on a combination of revenue, earnings, and margin expansion. Wonder what ambitious financial assumptions are fueling this fair value? Discover the figures that are setting the bar for Blackstone's next chapter.

Result: Fair Value of $181.68 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, ongoing market volatility and trade uncertainties could quickly shift investor sentiment and put pressure on Blackstone’s growth outlook.

Find out about the key risks to this Blackstone narrative.

Another View: The Market’s Current Multiple

While the consensus price target points to Blackstone being undervalued, a look at its current price-to-earnings ratio compared to the industry average tells a different story. Is the market already accounting for years of ambition?

See what the numbers say about this price — find out in our valuation breakdown.

NYSE:BX PE Ratio as at Sep 2025
NYSE:BX PE Ratio as at Sep 2025

Stay updated when valuation signals shift by adding Blackstone to your watchlist or portfolio. Alternatively, explore our screener to discover other companies that fit your criteria.

Build Your Own Blackstone Narrative

If you see things differently or want to dig deeper, you can decide for yourself in just a few minutes. Do it your way

A great starting point for your Blackstone research is our analysis highlighting 2 key rewards and 3 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.