-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:
We keep our 12-month target at $185 on a forward P/E of 29.8x our 2026 distributable earnings (DE) estimate and 2027's forward P/E at 24.2x. These valuation metrics compare to the three-year historical average at 27.8x and five-year at 25.2x. Our downgrade is a result of our tempered enthusiasm on negative brand issues within the private credit market. We were too optimistic on the DE outlook. We reduce our 2026 DE estimate by $0.50 to $6.20 (consensus $6.13) and lower 2027's by $0.30 to $7.60. Our 2026 revenue projection is $16.0B (prior $16.3B), with 2027's at $19.2B ($19.8B). Our premium valuation to the historic average reflects our view that BX and the ALT industry will show momentum into 2027 within the private market investment cycle. In 2026, we think this translates into increased incentive fees and monetization in Private Equity as well as higher management and advisory fees across all business segments. Private Credit & Insurance showed solid results and attractive fundraising from institutions.