Blackstone Earnings: Weak Operating Environment Offsets Triumph of Surpassing $1 Trillion in AUM

There was little in narrow-moat Blackstone's second-quarter results that would alter our long-term view of the firm. We are leaving our $105 per share fair value estimate in place, and we view the shares as being fairly valued right now. Blackstone closed out the June quarter with $731.1 billion in fee-earning assets under management, or AUM, down 0.1% sequentially but still up 6.9% year over year. Total AUM finally surpassed the $1 trillion mark, as the company closed out the period with $1.001 trillion in assets, up 1.0% sequentially and 6.4% on a year-over-year basis.