Analysts Assign $29.38 Consensus Price Target for Blackstone Fund
Shares of the Blackstone Secured Lending Fund (NYSE: BXSL) have received an average rating of “Moderate Buy” from nine research firms currently covering the investment vehicle. According to Marketbeat Ratings, three analysts have assigned a hold rating, while six others have issued buy ratings. The consensus twelve-month price target is currently set at $29.38.
Several financial institutions have recently adjusted their target prices for BXSL shares. The Royal Bank of Canada lowered its target from $32.00 to $29.00, maintaining an “outperform” rating in a report released on November 12, 2023. Similarly, UBS Group reduced its price objective from $31.00 to $28.00, designating a “neutral” rating on October 14, 2023.
Additionally, Wells Fargo & Company decreased its target from $28.00 to $26.00 while assigning an “equal weight” rating on November 11, 2023. JPMorgan Chase & Co. also adjusted its target from $30.50 to $29.00, giving it an “overweight” designation in a report from October 1, 2023. Lastly, B. Riley cut its target from $32.00 to $30.00, maintaining a “buy” rating on November 12, 2023.
Investor Activities and Fund Performance
In recent months, several institutional investors have made significant changes to their holdings in the Blackstone Secured Lending Fund. Notably, Bank of America Corp DE increased its stake by 11.9% during the second quarter, now owning 7,820,346 shares valued at approximately $240.48 million after acquiring an additional 832,179 shares.
In a remarkable increase, Marshall Wace LLP boosted its holdings by 1,160.9% in the third quarter, owning 869,964 shares worth $22.68 million after purchasing an additional 800,969 shares. Furthermore, Northeast Financial Consultants Inc raised its position by 33.1%, now holding 3,142,688 shares valued at $101.70 million after buying 781,394 shares.
Other notable increases include 1832 Asset Management L.P., which raised its holdings by 106.0%, and Qube Research & Technologies Ltd, which lifted its position by 121.2%. Together, institutional investors and hedge funds own 36.49% of the company’s stock.
On the trading front, BXSL shares opened at $28.10 on Friday. The stock has experienced a year low of $24.85 and a year high of $34.64. The firm has a market capitalization of $6.50 billion, a price-to-earnings ratio of 10.56, and a beta of 0.41.
Recent Earnings and Dividend Announcement
On November 10, 2023, the Blackstone Secured Lending Fund released its quarterly earnings results, reporting earnings per share (EPS) of $0.82, surpassing the consensus estimate of $0.80 by $0.02. The fund achieved a return on equity of 11.85% with a net margin of 42.38%. Revenue for the quarter totaled $358.56 million, exceeding analyst expectations of $353.55 million.
Looking ahead, analysts forecast that the Blackstone Secured Lending Fund will post an EPS of $3.54 for the current fiscal year. Additionally, the company announced a quarterly dividend of $0.77, scheduled to be paid on January 23, 2024, to investors on record as of December 31, 2023. This represents an annualized dividend of $3.08 with a yield of 11.0%. The ex-dividend date is also set for December 31, 2023. Currently, the fund’s dividend payout ratio stands at 115.79%.
The Blackstone Secured Lending Fund, established on March 26, 2018, operates as a business development company under the Investment Company Act of 1940, as amended.
