Blackstone Inc.

🇺🇸New York Stock Exchange
Back to all articles
Blackstone Inc. stock analysis BX overview
Slightly Bullish +25

Jim Cramer Says “I’m Interested in Buying More Blackstone”

📈 Jim Cramer expressed strong interest in buying more Blackstone Inc. (NYSE:BX) during his "Mad Money" episode.

💼 The host praised the company's management, specifically highlighting Jonathan Gray's recent discussions with David Faber.

📉 Cramer noted that Blackstone's stock previously fell from the $160s to the low $100s due to fears surrounding a private credit fund linked to Anthropic.

🤝 A key positive factor was the company's voluntary move to have employees buy into struggling funds to handle redemptions, distinguishing it from peers who gated funds.

🔄 Following these developments and the recovery of software stocks, Blackstone shares surged to $133 before settling around $128.50.

🤖 The stock rally was partly driven by Cramer's belief that fears regarding Anthropic were overblown after its own redemptions were managed well.

⚠️ The article concludes by stating that while Blackstone has potential, certain AI stocks currently offer greater upside with less downside risk.

📰 This commentary appeared during the April 21 episode of "Mad Money" and included a disclosure stating no conflicts of interest.

Bullish Signals
  • Jim Cramer expressed strong bullish sentiment, stating he 'likes Blackstone very much' and is 'interested in buying more Blackstone'.
  • Blackstone demonstrated exceptional resilience by voluntarily having employees step in to buy shares of its private credit funds during a redemption crisis.
  • The company successfully navigated negative headwinds regarding software investments and Anthropic, with the stock recovering to $133 and trading at $128.50.
  • Cramer highlighted that Blackstone avoided the fate of 'too many short sellers' by maintaining stability despite falling from the $160s in January.
  • The company's strategy proved effective as it recovered losses even after an initial drop of another 10 points following employee contributions.
Risk Factors
  • Cramer noted that Blackstone's stock fell significantly from the $160s in January to the low $100s, highlighting past market instability and negative sentiment.
  • The company faced a major redemption crisis in its private credit business line due to fears that software investments would be destroyed by Anthropic.
  • Blackstone resorted to voluntarily having employees purchase private credit funds to help recover redemptions, indicating severe internal pressure and cash flow strain.
  • After the employee buy-in plan was revealed, the stock dropped an additional 10 points before recovering, suggesting weak investor confidence in management's handling of the crisis.
  • Analysts believe that other investment options carry less downside risk compared to Blackstone, questioning its current valuation and risk profile.
Full Analysis
Jim Cramer of the CNBC show *Mad Money* expressed strong interest in purchasing more shares of Blackstone Inc. (NYSE: BX) during an episode aired on April 21, following a conversation with Jonathan Gray, the CEO of the alternative asset management firm. Cramer highlighted that the situation appears "really good," noting that Blackstone recently handled a redemption crisis in its private credit business line differently than peers. While other firms gated their funds or imposed limited redemptions after software investments by Anthropic faced fears of destruction, Blackstone voluntarily asked employees to contribute capital to cover fund redemptions without triggering a stock drop. The article details the stock's volatility around this period, noting that shares fell from the $160s in January to the low $100s before briefly roaring back to $133 following news that Anthropic was not the "kiss of death" for software stocks. The stock subsequently pulled back to $128.50 by the afternoon, yet Cramer remained convinced of its quality and suggested buying more despite the pullback. The piece references an earlier episode where concerns were raised about the private equity firm being crushed by its private credit business line, framing this recent employee buy-in as a sign of strength rather than weakness. However, the report concludes with an editorial disclaimer stating that while acknowledging Blackstone's potential, the writers believe other AI stocks offer greater upside and less downside risk, specifically citing benefits from Trump-era tariffs and onshoring trends. The article also includes standard promotional links to a free report on undervalued AI stocks and reads the next section suggesting 33 stocks that could double in three years, followed by a stock disclosure indicating none of the analysts hold positions in the companies mentioned.