Blackstone's (BX) record fundraising cycle is expected to boost its management fee growth, RBC Capital Markets analysts said in a Friday note.
Analysts said that the company's Q2 financial results and fundraising beat analyst estimates, providing it with "solid go-forward earnings power."
RBC said it raised the company's estimates for 2026 and 2027 by 4% on average to reflect higher transaction fees and fee-related performance revenue.
Analysts said that in Blackstone's private wealth business, credit weakness was offset by strength in Private Equity, Infrastructure and Real Estate.
RBC said that key catalysts for the stock include new retail product launches, fundraises for Blackstone Real Estate Partners, Strategic Partners and Core Private Equity ahead of expectations, and fee-related earnings margin expansion toward and higher than 60%.
RBC retained an outperform rating on the stock and raised its price target to $169 from $161.
Price: $126.22, Change: $+1.72, Percent Change: +1.38%