Blackstone Inc.

Methodology

Blackstone's alternative asset management earnings come from management fees on growing AUM plus performance fees from investment realizations across private equity, real estate, credit, and hedge funds. The company's fee-related earnings provide stability while performance fees create volatility. Normalizing earnings around fee-related earnings rather than lumpy performance carry provides more reliable fair value estimates for this diversified alternative asset manager.

Methodology

Blackstone's PEG ratio can fluctuate based on fundraising success and performance fee realizations in a given period. The company's diversification across alternatives strategies and expansion into retail wealth channels provides multiple growth drivers. Compare to peers like Apollo, KKR, and Ares to assess whether Blackstone's scale advantages and real estate/credit platforms justify current valuation premiums in alternative asset management.

Methodology

Blackstone's dividend yield (typically 2.0-4.0%) includes both recurring management fee distributions and variable performance fee payouts. The company's conversion to C-corp structure improved dividend consistency focused on predictable fee revenues. PEGY is relevant for Blackstone investors seeking income from alternatives exposure, though understanding the split between stable management fees and volatile performance carry is crucial for assessing distribution sustainability.