Data-center financing among key themes in upcoming asset manager earnings, brokerage says
BX•Piper Sandler expects increased scrutiny of data-center financing during third-quarter earnings for alternative asset managers, as investors question whether AI spending will generate returns quickly enough. Blackstone reports this week, followed next week by Ares Management and Blue Owl Capital.
1. Financing under scrutiny
Piper Sandler expects increased scrutiny on data-center financing as Wall Street heads into third-quarter earnings season for alternative asset managers. The brokerage said the AI selloff could sharpen scrutiny on asset managers that are key lenders and financiers in digital infrastructure and AI.
2. Earnings ahead
Digital infrastructure will likely be a long-term positive for asset managers, but Piper Sandler sees potential headline risk in coming weeks and quarters. The analysts said management teams will likely have to “disprove the negative,” as they have in recent quarters on direct-lending credit quality, which has largely held up contrary to many external expectations. Blackstone kicks off earnings season this week, while Ares Management and Blue Owl Capital report next week.
