Portfolio Adjustment: Exiting BlackRock to Increase Cardinal Health Stake
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 18 hours ago
0mins
Should l Buy BX?
Source: CNBC
- BlackRock Exit: We sold 35 shares of BlackRock at approximately $1,050 each to address pressures in the private markets, acknowledging that while BlackRock's private markets business isn't its primary revenue driver, recent industry weakness could hinder broader adoption among retail investors.
- Cardinal Health Increase: We purchased 90 shares of Cardinal Health at roughly $224 each, increasing our holdings to 260 shares and raising its portfolio weight from 1% to 1.5%, aiming to enhance the portfolio's defensive posture amid rising inflation concerns.
- Market Impact: The net result of these trades is neutral to our cash position, with the overall portfolio weight slightly exceeding 15%, reflecting our view that the market pullback presents an opportunity to invest in economically resilient healthcare companies like Cardinal Health.
- Strategic Shift: By exiting BlackRock while simultaneously increasing our stake in Cardinal Health, we demonstrate a strategic pivot towards more defensive healthcare suppliers in response to potential economic challenges posed by rising energy prices and an aging U.S. population.
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Analyst Views on BX
Wall Street analysts forecast BX stock price to rise
12 Analyst Rating
5 Buy
7 Hold
0 Sell
Moderate Buy
Current: 115.330
Low
166.00
Averages
176.60
High
205.00
Current: 115.330
Low
166.00
Averages
176.60
High
205.00
About BX
Blackstone Inc. is an alternative asset manager. Its asset management includes global investment strategies focused on real estate, private equity, infrastructure, life sciences, growth equity, credit, real assets, secondaries, and hedge funds. Its Real Estate segment comprises its management of opportunistic real estate funds, Core+ real estate funds, and real estate debt strategies. Its Private Equity segment includes its management of flagship Corporate Private Equity funds, sector and geographically focused Corporate Private Equity funds, core private equity funds, an investment platform, and others. Its Credit & Insurance segment consists of Blackstone Credit & Insurance, which is organized into three overarching strategies: private corporate credit, liquid corporate credit and infrastructure and asset-based credit. Its Multi-Asset Investing segment is organized into four investment platforms: Absolute Return, Multi-Strategy, Total Portfolio Management, and Public Real Assets.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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