this is the one I agree with the most...
The year-end 2014 rally in United States equities continues as the market rises for a strong performance in 2015. A growing economy, fueled by housing and capital spending and favorable earnings, enables the Standard & Poor’s 500 to increase 15% during the year, outperforming equities in most major industrialized countries throughout the world.
You have good reason, Sam. With all the revenue in BX's pipeline, I see no reason what so ever that it cannot continue with it's earnings growth.
I did a comparison of BX to SSO and BX has had the same return as SSO since 6/22/07 when SSO first traded. SSO is an ETF that matches the return of the S&P 500 X 2.
Good Luck Longs!
How does BX oversees 284 billions?. If it makes 10% return, does it mean it will earn 28.4 billions a year or collect a percentage of management fees? Please enlighten me.
Blackstone Commits Up to $500 Million for Oil Drilling With Linn
By Devin Banerjee Jan 2, 2015 8:13 AM PT 0 Comments Email Print
* Price chart for BLACKSTONE GROUP LP/THE. Click flags for important stories.
Three weeks after Chairman Steve Schwarzman said it’s going to be the best time in years to invest in energy, Blackstone Group LP (BX) is putting money to work.
Blackstone’s $70 billion credit arm, GSO Capital Partners, committed as much as $500 million to fund oil and natural gas development for Linn Energy LLC (LINE), according to a statement today from the Houston-based energy producer. The company has lost almost 70 percent of its value in six months as crude prices plummeted.
Private equity firms, while taking steps to shore up energy companies in their portfolios, are hunting for investments in oil and gas producers after Brent tumbled more than 50 percent since June. Energy presents the best opportunity for Blackstone in many years, especially for the New York-based firm’s credit unit, Schwarzman said at a Dec. 11 conference.
“There are a lot of people who borrowed a lot of money based on higher price levels, and they’re going to need more capital,” he said at the conference in New York. “There are going to be restructurings to do. There’s going to be a fallout. It’s going to be one of the best opportunities we’ve had in many, many years.”
Under the five-year agreement with Linn, Blackstone would fund drilling programs at locations selected by Linn for an 85 percent working interest in the wells, according to the statement. If the projects produce a 15 percent annualized return for Blackstone, its stake will drop to 5 percent.
The plunge in oil may usher in a new era for investing in distressed debt, according to Howard Marks, the billionaire co-founder of Oaktree Capital Group LLC. In a letter to clients last month, Marks said his Los Angeles-based firm is becoming more aggressive as companies that borrowed heavily in the low-interest rate environment now come under pressure.
“We knew great buying opportunities wouldn’t arrive until a negative ‘igniter’ caused the tide to go out, exposing the debt’s weaknesses,” Marks wrote. “The current oil crisis is an example of something with the potential to grow into that role.”
Linn, a master-limited partnership, is the latest producer to cut spending on expectations of lower oil and gas prices. The company said today it expects oil to average $60 a barrel in 2015, although it has hedged about 70 percent of its expected output at higher prices. Brent fell 2.4 percent to $55.98 a barrel at 10:14 a.m. in New York.
The agreement with Blackstone, which is non-binding, is “designed to allow Linn to be an active developer of assets with growth capital,” Mark Ellis, Linn’s chief executive officer, said in the statement. “This agreement creates a dynamic alliance.”
GSO, which Blackstone acquired in 2008, is run by Bennett Goodman, Tripp Smith and Doug Ostrover. The unit produced 9.5 percent of Blackstone’s profit in the first nine months of last year. Blackstone, the world’s largest alternative-asset manager, oversees $284 billion.
Sentiment: Strong Buy
It's hard to say but I think it will pick up again if the market continues to do well, The nice thing is that if the price goes sideways, at least we're getting the 6% dividend with the stealth effect.
Private equity deal-making may have accounted for less than 20% of the overall mergers and acquisitions market during the year, but buyout firms were hardly sitting on their hands.
Rather, they spent a good portion of the year prepping assets for market as corporate acquirers finally sidled up to the auction block after years of hoarding cash. The result was a record year for exits via sales, according to data provider Dealogic.
The year proved particularly lucrative for firms that had software, services and security assets to sell. Buyout firms sold some 85 technology companies for roughly $28.2 billion during the year.
Thoma Bravo scored one such sale when Belden Inc.(BDC) agreed in December to buy cybersecurity software developer Tripwire Inc. for $710 million-a deal that is expected to close in the first quarter of 2015.
Meanwhile, Vista Equity Partners'$4.3 billion take private-deal for data management and analytics software maker Tibco Software Inc., which ranked as one of the largest private equity deals of the year, ended up being a bit of a bargain as a calculating error meant that the firm's offer was some $100 million less than shareholders were entitled to.
PricewaterhouseCoopers chalked the activity in the technology space up to pressure on large and medium-cap companies brought on by "disruptive" innovations in the cloud, social and mobile spaces.
The advisory firm predicts divestitures, spinoffs and take-privates will be the dominate themes in the technology sector in 2015, along with consolidation in the semiconductor segment and transactions in the securit
Sentiment: Strong Buy
The Blackstone Group L.P. Receives Consensus Rating of “Buy” from Brokerages (NYSE:BX)
Posted by Hossein Forouzandeh on Dec 30th, 2014 // No Comments
The Blackstone Group L.P. (NYSE:BX) has received an average recommendation of “Buy” from the twelve brokerages that are currently covering the company, American Banking News reports. One analyst has rated the stock with a hold recommendation and eleven have issued a buy recommendation on the company. The average 1-year pricetarget among brokers that have covered the stock in the last year is $40.00.
Shares of The Blackstone Group L.P. (NYSE:BX) opened at 33.89 on Friday. The Blackstone Group L.P. has a one year low of $26.56 and a one year high of $36.08. The stock has a 50-day moving average of $33.18 and a 200-day moving average of $32.56. The company has a market cap of $19.979 billion and a price-to-earnings ratio of 12.45. The Blackstone Group L.P. also saw a large growth in short interest in the month of December. As of December 15th, there was short interest totalling 11,269,556 shares, a growth of 45.3% from the November 28th total of 7,756,045 shares. Based on an average trading volume of 5,093,877 shares, the short-interest ratio is presently 2.2 days. Approximately 2.2% of the company’s stock are sold short.
The Blackstone Group L.P. (NYSE:BX) last issued its quarterly earnings data on Thursday, October 16th. The company reported $0.41 EPS for the quarter, missing the Thomson Reuters consensus estimate of $0.86 by $0.45. The company had revenue of $1.65 billion for the quarter, compared to the consensus estimate of $1.60 billion. During the same quarter in the prior year, the company posted $0.56 earnings per share. The company’s quarterly revenue was up 34.9% on a year-over-year basis. On average, analysts predict that The Blackstone Group L.P. will post $3.20 earnings per share for the current fiscal year.
BX has been the subject of a number of recent research reports. Analysts at Morgan Stanley initiated coverage on shares of The Blackstone Group L.P. in a research note on Monday, December 15th. They set an “overweight” rating and a $45.00 price target on the stock. Separately, analysts at Deutsche Bank raised their price target on shares of The Blackstone Group L.P. from $35.00 to $38.00 in a research note on Friday, December 12th. They now have a “buy” rating on the stock. Finally, analysts at Zacks downgraded shares of The Blackstone Group L.P. from an “outperform” rating to a “neutral” rating in a research note on Friday, December 12th. They now have a $35.00 price target on the stock.
The Blackstone Group L.P. (NYSE:BX) is a manager of private capital and provider of financial advisory services.
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With its quality assets BX , will BX be a acquisition target itself? Big co. are paying BX to manage assets. I guess it has recurring revenue stream and has acquired cheap distress assets. it should reap a lot of capital appreciation in 2015 and beyond
Sentiment: Strong Buy
who cares about your political opinions????? stock markets have done much better under democrats....that is a fact..not an opinion...
To date, Hillary's ONLY criticism of Obama, and all the things that he has done, was on his Syria Policy.
That's IT! She hasn't criticized Obama on any other policy matter. She has pretty much been Just Fine with everything else that Mr. Obama has done.
She did, however make a statement in support of Obama's Famous "You Didn't Build That" Quote.
Obama's point in saying that, was that Business Owners and Companies were not responsible for their own success. He may have just as well said: "It Takes A Village".
Hillary's recent refrain was: "Don't Let Anybody Tell You that Corporations or Businesses Create Jobs" (google it. She actually SAID that).
Hillary's insinuation: That only Government creates jobs.
There should be little question in anybodys mind, that 8 years of Hillary would be the equivalent of 8 more years of Barack Obama.
Freescale Semiconductor (FSL): It was a newfound buy, he writes, as chip fundamentals are getting better: “Again on that theme of change, we recently turned more positive on sector fundamentals (upgrading FSL as a result) and while we believe selectivity is key, we like the sector into 2015.”
Sentiment: Strong Buy
Hi Sandy - look at IRS Pub 550, page 55 Holding Period. Trade date determines cap gain/loss.
You are a cash method, calendar
year taxpayer. You sold stock at a gain on December
30, 2013. According to the rules of the
stock exchange, the sale was closed by
delivery of the stock and payment of the sale
price in January 2014. You received payment of
the sale price on that same day. Report your
gain on your 2013 return, even though you received
the payment in 2014. The gain is long
term or short term depending on whether you
held the stock more than 1 year. Your holding
period ended on December 30. If you had sold
the stock at a loss, you would also report it on
your 2013 return.
I give it a 'so what' - not a negative at all. This stuff happens. The arrow is still in the BX quiver and is probably bigger then it was back then - it's a stronger company with reduced OH - growing demand/economy. As you noted - just look at it's price/value now - much higher and on net about equal to the bid.