A Look Into Blackstone’s Largest Private Equity Fund

Morgan Stanley analysts Matthew Kelley and Thomas Whitehead affirm their Overweight rating on The Blackstone Group L.P. (NYSE:BX) and boost the price target on the stock from $35 to $37 based on their latest estimates of the company’s distributable earnings (DE), economic net income (ENI) and distributions for 2014 and 2015. They take a deep look at Blackstone’s largest private equity fund, BCP V. “We believe BX offers the best combination of fee-paying AuM growth (11% CAGR ’13-’17e) & rising distributions driven by Real Estate exits (where we estimate ~$7/unit value of future carry) & BCP V ($21B) crossing hurdle,”…