Blackstone, headquartered in New York City, provides investment and fund management services across four segments: Real Estate, Private Equity, Credit & Insurance, and Hedge Fund Solutions. The company employs 4,735 people and went public on June 22, 2007.
Based on our analysis, Blackstone has received an overvalued rating of 1 out of 5 stars from Cashu due to several key financial ratios that indicate it may be overpriced relative to its sector.
One significant metric is the Price-to-Earnings (PE) Ratio, which stands at 67.24, significantly higher than the sector average of 12.19. A high PE ratio often suggests that a company’s stock is overvalued, as investors are paying much more for each dollar of earnings than they do for similar companies in the sector.
Another concerning ratio is the Price-to-Book (PB) Ratio of 25.46 compared to the sector average of 1.12. This indicates that investors are valuing Blackstone's shares at more than 25 times its book value, which is considerably higher than the sector norm. Such a disparity raises questions about the sustainability of the company’s perceived value.
Additionally, Blackstone’s Dividend Yield is 2.98%, slightly below the sector average of 3.30%. This lower yield may deter income-focused investors, as they receive less return on their investment through dividends compared to what is typical in the sector.
While Blackstone does outperform the sector in Net Profit Margin, Return on Equity (ROE), and Return on Assets, these strengths do not sufficiently compensate for the elevated valuation indicated by the PE and PB ratios.
This is not a comprehensive overview of our valuation, and should not be viewed as financial advice. Always do your own research before considering an investment.
📡️ Financials
Overvalued
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