Buy Blackstone Tomorrow?
The headline: Private Equity Giant Blackstone Group Set To Begin Trading Tomorrow Under The Symbol (BX)
Blackstone’s IPO is priced at $31, which is at the top of the expected range. CNBC reporter Melissa Lee says that even though the IPO is considered to be oversubscribed, it’s still “going to be hot.” She says expect the price range to move higher during the trading day tomorrow.
There’s little risk that Blackstone becomes a broken IPO, Jeff Macke says. Just because it’s oversubscribed doesn’t mean it isn’t hot – but he wouldn’t be a buyer. He thinks the firm could be going public as a way to cash out because they want liquidity. “Don’t buy what the smart guys are selling,” he says.
Eric Bolling is a buyer of Blackstone at the open because of the international desire for the stock. China put $3 billion into it, countries in the Middle East are looking at it and it has an overwhelming following all over the world, he says. Own it at the open and own it on the dip.