Piper Sandler lowers Blackstone stock price target to $173 on alternatives sentiment shift

Investing.com - Piper Sandler has reduced its price target on The Blackstone Group (NYSE:BX) to $173.00 from $181.00 while maintaining a Neutral rating on the stock. The new target aligns closely with InvestingPro’s Fair Value calculation, which suggests the stock is currently fairly valued. With a market capitalization of nearly $200 billion and a P/E ratio of 44, Blackstone commands a premium valuation in the financial sector.

The price target adjustment comes amid what the firm describes as a recent sentiment shift in the alternatives investment space, though Piper Sandler expects upcoming third-quarter 2025 results to address some investor concerns.

The research firm specifically identified Blackstone and Blue Owl as two companies worth monitoring during the 3Q25 earnings season given the changing sentiment in the alternatives sector.

For Blackstone specifically, Piper Sandler anticipates an optimistic outlook regarding deal activity in the upcoming quarterly report and earnings call.

The firm also expects Blackstone’s commentary on its credit portfolio to emphasize the company’s senior position in the capital stack, with defaults remaining below 1%.

In other recent news, Blackstone Group has been the focus of several significant developments. BMO Capital initiated coverage on Blackstone with an Outperform rating, setting a price target of $190.00. The firm highlighted Blackstone’s balance-sheet-light model and its potential to capitalize on stabilizing real estate markets and easing interest rates. Additionally, Blackstone Credit & Insurance is leading a $7 billion investment in Sempra Infrastructure Partners’ Port Arthur LNG Phase 2 project, acquiring a 49.9% minority equity stake. In leadership changes, Blackstone appointed Katie Keenan as the new CEO of Blackstone Real Estate Income Trust (BREIT) and Global Head of Core+ Real Estate. Keenan succeeds Wesley LePatner, who tragically passed away in July. Meanwhile, Medline, a medical supplies company, is planning a potential IPO filing in late October, which could raise about $5 billion. If the IPO proceeds, it could become the largest U.S. listing of 2025.

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