Blackstone Secured Lending Fund (BXSL) AI Stock Analysis

• Market Cap: $6.06B
• Dividend Yield: 11.55%
• Average Volume (3M): 2.10M
• Price to Earnings (P/E): 9.8
• Beta (1Y): 0.49
• Revenue Growth: 10.95%
• EPS Growth: -25.98%
• Country: US
• Employees: N/A
• Sector: Financial
• Sector Strength: 70
• Industry: Asset Management
• EPS (TTM): 0.82
• Shares Outstanding: 231,220,380
• 10 Day Avg. Volume: 1,606,012
• 30 Day Avg. Volume: 2,099,369
• PEG Ratio: -1.71
• Price to Book (P/B): 1.07
• Price to Sales (P/S): 6.21
• P/FCF Ratio: -2.58
• Enterprise Value/Market Cap: 2.21
• Enterprise Value/Revenue: 13.38
• Enterprise Value/Gross Profit: 20.75
• Enterprise Value/Ebitda: 21.78
• 1Y Price Target: $29.50
• Price Target Upside: 12.21% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 10
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 74 Outperform
• Price Target: ―

The overall score is influenced by strong financial performance and attractive valuation, with supportive earnings call insights. Key strengths include robust revenue growth and a high dividend yield. However, financial stresses like declining net profit margin and negative cash flow, combined with bearish technical signals, temper the positive outlook. Strategic improvements in cash flow management and maintaining operational efficiency will be crucial for future performance.

Positive Factors

Revenue Growth

Sustained revenue growth indicates effective market penetration and demand for BXSL's credit solutions, supporting long-term business expansion.

Strong Credit Performance

Maintaining high credit quality reduces risk and enhances the stability of income streams, crucial for long-term financial health.

Increased Liquidity Position

Enhanced liquidity provides BXSL with greater flexibility to capitalize on investment opportunities, supporting strategic growth initiatives.

Negative Factors

Declining Net Profit Margin

A sharp decline in net profit margin suggests rising costs or inefficiencies, which could impact profitability if not addressed.

Negative Cash Flow

Negative cash flow can strain financial resources, limiting the company's ability to invest in growth and manage debt effectively.

Slow Start for New M&A Activity

A slow M&A environment could hinder BXSL's ability to expand its portfolio and capture new growth opportunities in the near term.

Blackstone Secured Lending Fund Business Overview & Revenue Model

Company Description

Blackstone Secured Lending Fund (BXSL) is a business development company that operates in the financial services sector, primarily focusing on providing credit solutions to middle-market companies. The company invests primarily in secured debt instruments, including first and second lien loans, and seeks to offer flexible financing solutions to its clients. BXSL is managed by Blackstone Credit, a division of Blackstone, a leading global investment firm.

How the Company Makes Money

Blackstone Secured Lending Fund makes money primarily through interest income and fees associated with its lending activities. The company generates revenue by providing secured loans to middle-market companies, which pay interest on the borrowed amounts. Additionally, BXSL may earn income through origination fees, prepayment penalties, and other loan-related charges. The company's financial performance is largely influenced by the credit quality of its portfolio, interest rate trends, and macroeconomic conditions. Partnerships and networks established by Blackstone Credit enhance BXSL's ability to source attractive investment opportunities, contributing to its revenue generation.

Blackstone Secured Lending Fund Financial Statement Overview

Summary

Blackstone Secured Lending Fund demonstrates robust revenue growth and operational efficiency with high EBIT margins. However, the decline in net profit margin and negative cash flow highlight potential financial stresses. The strong equity base and absence of debt reduce risk, but low ROE and negative free cash flow pose concerns. Continued focus on improving net income conversion and cash flow management is essential for sustained financial health.

Income Statement

The company has shown strong revenue growth with a 16% increase from 2023 to 2024. Gross profit margins remain solid at 100% due to the nature of the revenue model. However, net profit margin dropped significantly from 53.5% in 2023 to 1.1% in 2024, indicating increased expenses or other financial pressures. EBIT margin is exceptionally high at 99.4%, showcasing operational efficiency, but the absence of EBITDA data limits further analysis.

Balance Sheet

The balance sheet reflects a strong equity position with an equity ratio of 45.1%. The company has no total debt in 2024, highlighting a low-risk leverage profile. However, a return on equity of only 0.2% in 2024 signals inefficiency in generating profits from shareholders’ equity. The consistent growth in total assets is positive, but the low ROE is concerning.

Cash Flow

The cash flow statement shows volatility with negative operating cash flow in 2024, a reversal from positive cash flow in 2023. Free cash flow has declined significantly, reflecting potential liquidity challenges. The operating cash flow to net income ratio is negative, indicating cash flow issues relative to reported profits. The company must address these cash flow discrepancies to stabilize financial health.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.00B	1.05B	874.72M	584.09M	587.46M	238.40M
Gross Profit	646.53M	731.26M	618.74M	386.65M	472.46M	323.18M
EBITDA	615.80M	708.62M	628.75M	405.94M	462.86M	0.00
Net Income	599.78M	694.10M	611.95M	404.56M	460.42M	218.64M
Balance Sheet
Total Assets	14.26B	13.47B	10.13B	9.91B	10.18B	5.95B
Cash, Cash Equivalents and Short-Term Investments	249.89M	229.61M	154.86M	131.27M	102.88M	217.99M
Total Debt	0.00	7.06B	4.91B	5.53B	5.50B	2.50B
Total Liabilities	7.99B	7.40B	5.18B	5.75B	5.73B	2.68B
Stockholders Equity	6.27B	6.08B	4.95B	4.16B	4.45B	3.27B
Cash Flow
Free Cash Flow	-1.13B	-2.53B	458.81M	672.95M	-3.83B	-2.32B
Operating Cash Flow	-1.13B	-2.53B	458.81M	672.95M	-3.83B	-2.32B
Investing Cash Flow	0.00	0.00	0.00	0.00	0.00	0.00
Financing Cash Flow	1.20B	2.60B	-432.16M	-648.18M	3.71B	2.47B

Blackstone Secured Lending Fund Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 26.29
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BXSL, the sentiment is Negative. The current price of 26.29 is below the 20-day moving average (MA) of 26.54, below the 50-day MA of 26.47, and below the 200-day MA of 28.90, indicating a bearish trend. The MACD of -0.04 indicates Negative momentum. The RSI at 46.01 is Neutral, neither overbought nor oversold. The STOCH value of 45.93 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for BXSL.

Blackstone Secured Lending Fund Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MAIN	75 Outperform	$5.23B	9.69	19.07%	7.40%	11.60%	9.38%
ARCC	74 Outperform	$14.09B	9.89	10.06%	9.33%	10.34%	-24.16%
BXSL	74 Outperform	$6.06B	9.84	10.02%	11.55%	10.95%	-25.98%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
FSK	58 Neutral	$4.37B	16.05	4.24%	18.29%	-13.67%	-48.49%
PNNT	48 Neutral	$405.49M	28.84	2.89%	15.29%	-35.46%	-67.15%
STEP	45 Neutral	$7.18B	―	-750.11%	2.29%	92.02%	-1386.34%