Morgan Stanley says Blackstone share reaction to BREIT redemption cap ‘overdone’

After Blackstone announced on December 1 that redemption requests from BREIT investors for November would only be partially filled, Morgan Stanley analyst Michael Cyprys acknowledged that BREIT flows may be challenged in the near-term, but he called yesterday’s reaction in the share price "overdone." A strong performance track record at BREIT, as well as supportive market fundamentals and scope for an improved macro backdrop as the market approaches peak rates should help alleviate potential outflow pressure and he sees "an attractive entry point," added Cyprys, who has an Overweight rating and $113 price target on Blackstone shares.