Blackstone BX is scheduled to announce third-quarter 2026 results on Oct. 22, before the opening bell. As a leading global alternative asset manager, the company’s results are expected to draw significant attention, offering insights into its capital deployment strategies and those of its peers amid macroeconomic volatility.
In the second quarter, BX reported a solid performance, with assets under management (AUM) and revenue growth. This time, the company is less likely to have recorded a similar performance. The Zacks Consensus Estimate for revenues is pegged at $3.36 billion, implying only a 1.9% year-over-year improvement.
In the past seven days, the consensus estimate for the company’s earnings has been revised 1.5% lower to $1.31. This indicates a 13.8% decline.
Estimate Revision Trend
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BX has an impressive earnings surprise history. The company’s earnings outpaced the Zacks Consensus Estimate in each of the trailing four quarters, with the average beat being 13.95%.
Earnings Surprise History
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Major Factors to Influence BX’s Q3 Earnings
Blackstone has been witnessing an increase in fee-earning AUM and total AUM driven by its diversified product and revenue mix, superior position in the alternative investments space and net inflows. Given the high market volatility and increased client activity in the third quarter, the company is expected to have recorded a rise in AUM as inflows grew. The Zacks Consensus Estimate for total AUM of $1.38 trillion indicates growth of 11.1% from the prior-year quarter. The consensus estimate for total fee-earning AUM of $981.7 billion suggests an increase of 8.3%.
The Zacks Consensus Estimate for total management and advisory fees (segment revenues) is pegged at $2.17 billion, which indicates a 6.3% increase. The consensus estimate for fee-related performance revenues (segment revenues) of $529.1 suggests a jump of 16.8% because of solid market performance in the third quarter.
Additionally, Blackstone expects profits from deal exits to have been subdued in the to-be-reported quarter. Per the company’s preliminary estimate, revenues from realization activities were more than $350 million between July 1 and Sept. 22, 2026.
The consensus estimate for realized performance revenues and realized principal investment income is pegged at $682.2 million and $47.4 million, respectively. In the third quarter of 2025, Blackstone generated $745 million of realized performance revenues and $62.5 million of principal investment income.
Blackstone’s expenses have been increasing over the past few years, mainly because of higher general, administrative and other expenses. As the company has continued to invest in franchises, expenses are expected to have risen to some extent in the third quarter.
What Our Model Unveils for Blackstone
Per our proven model, the chances of Blackstone beating the Zacks Consensus Estimate for earnings this time are low. This is because it doesn’t have the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold), which is required to be confident of an earnings beat.
BX has an Earnings ESP of -2.65%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Blackstone carries a Zacks Rank #4 (Sell) at present.
BX’s Price Performance
Blackstone shares have lost 12.5% in the third quarter compared with the industry’s fall of 3.8%. The stock has also underperformed Apollo Global APO and KKR & Co. KKR.
3Q26 Price Performance
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Apollo Global is slated to report quarterly results on Nov. 3, before the opening bell, while KKR & Co. is scheduled to report results on Nov. 9.
Over the past seven days, the Zacks Consensus Estimate for Apollo Global’s third-quarter 2026 earnings has been unchanged at $2.24. The consensus estimate for KKR & Co.’s third-quarter 2026 earnings has been revised upward to $1.61 over the past week. At present, both APO and KKR carry a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.
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This article originally published on Zacks Investment Research (zacks.com).