Blackstone Mortgage initiated with a Peer Perform at Wolfe Research

Wolfe Research analyst Keegan Carl initiated coverage of Blackstone Mortgage with a Peer Perform rating. The company’s dividend yield is attractive, particularly if investors believe that it is well-covered via distributable earnings in the near-term, but the firm recommends to proceed with caution, preferring for the broader commercial real estate space to work through further periods of refinancing and operational challenges, the analyst tells investors in a research note. Blackstone loan portfolio also tends to be tied to larger assets, which could lead to more lumpy originations over time, the firm added.