Blue Owl Capital Corporation (NYSE:OBDC) Given Average Recommendation of "Moderate Buy" by Analysts

Key Points

• Blue Owl Capital Corporation (NYSE: OBDC) has a consensus analyst rating of "Moderate Buy" from eight covering firms, with an average 12-month price target of $13.00.
• Recent analyst updates were mixed, including target-price cuts from Wells Fargo, Keefe, Bruyette & Woods, and Truist Financial, while Wall Street Zen downgraded the stock from hold to sell.
• The company recently reported Q1 earnings below expectations, posting EPS of $0.31 versus the $0.35 estimate, and revenue of $391 million versus the $422.02 million consensus.

Shares of Blue Owl Capital Corporation (NYSE:OBDC - Get Free Report) have earned a consensus rating of "Moderate Buy" from the eight research firms that are currently covering the stock, Marketbeat Ratings reports. Three investment analysts have rated the stock with a hold recommendation, four have issued a buy recommendation and one has assigned a strong buy recommendation to the company. The average 12 month price target among analysts that have issued a report on the stock in the last year is $13.00.

A number of equities research analysts recently commented on OBDC shares. Wells Fargo & Company decreased their target price on Blue Owl Capital from $12.00 to $11.00 and set an "equal weight" rating on the stock in a research report on Friday, May 8th. Keefe, Bruyette & Woods cut their price target on Blue Owl Capital from $12.50 to $12.00 and set a "market perform" rating for the company in a report on Thursday, April 16th. Wall Street Zen downgraded Blue Owl Capital from a "hold" rating to a "sell" rating in a research note on Sunday, July 12th. Finally, Truist Financial reduced their price objective on Blue Owl Capital from $15.00 to $13.00 and set a "buy" rating on the stock in a research note on Tuesday, May 19th.

Institutional Investors Weigh In On Blue Owl Capital

A number of hedge funds have recently bought and sold shares of the business. Spire Wealth Management boosted its stake in shares of Blue Owl Capital by 29.1% during the 4th quarter. Spire Wealth Management now owns 3,680 shares of the company's stock worth $46,000 after purchasing an additional 830 shares during the period. Golden State Equity Partners raised its position in Blue Owl Capital by 1.8% in the 4th quarter. Golden State Equity Partners now owns 46,405 shares of the company's stock worth $577,000 after purchasing an additional 836 shares during the period. IFP Advisors Inc raised its position in Blue Owl Capital by 79.6% in the 3rd quarter. IFP Advisors Inc now owns 2,096 shares of the company's stock worth $27,000 after purchasing an additional 929 shares during the period. The Manufacturers Life Insurance Company lifted its stake in Blue Owl Capital by 6.9% in the fourth quarter. The Manufacturers Life Insurance Company now owns 14,878 shares of the company's stock worth $185,000 after purchasing an additional 964 shares during the last quarter. Finally, BlueStem Wealth Partners LLC lifted its stake in Blue Owl Capital by 2.8% in the fourth quarter. BlueStem Wealth Partners LLC now owns 35,443 shares of the company's stock worth $441,000 after purchasing an additional 978 shares during the last quarter. Hedge funds and other institutional investors own 42.83% of the company's stock.

Blue Owl Capital Stock Performance

Shares of NYSE OBDC opened at $10.99 on Friday. The company has a debt-to-equity ratio of 1.18, a quick ratio of 1.24 and a current ratio of 1.24. The company has a market cap of $5.46 billion, a P/E ratio of 15.71 and a beta of 0.62. The firm's fifty day moving average is $11.02 and its two-hundred day moving average is $11.44. Blue Owl Capital has a 52-week low of $10.52 and a 52-week high of $15.19.

Blue Owl Capital (NYSE:OBDC - Get Free Report) last released its quarterly earnings data on Wednesday, May 6th. The company reported $0.31 EPS for the quarter, missing the consensus estimate of $0.35 by ($0.04). The company had revenue of $391.00 million for the quarter, compared to the consensus estimate of $422.02 million. Blue Owl Capital had a net margin of 20.21% and a return on equity of 9.76%. As a group, analysts anticipate that Blue Owl Capital will post 1.27 EPS for the current fiscal year.

Blue Owl Capital Cuts Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, July 15th. Investors of record on Tuesday, June 30th were issued a $0.31 dividend. The ex-dividend date of this dividend was Tuesday, June 30th. This represents a $1.24 dividend on an annualized basis and a dividend yield of 11.3%. Blue Owl Capital's dividend payout ratio (DPR) is 177.14%.

Blue Owl Capital Company Profile

Blue Owl Capital Corporation NYSE: OBDC is a publicly traded business development company sponsored by Blue Owl Capital, a global alternative asset manager. Launched in 2020, the firm provides customized financing solutions to middle-market companies across various industries. As an externally managed BDC, Blue Owl Capital Corporation leverages the deep credit‐investment capabilities of its sponsor to deliver flexible capital tailored to the needs of growing businesses.

The company's investment activities span a range of private credit products, including first‐lien senior secured loans, unitranche facilities, second‐lien financings, mezzanine debt, and minority equity co-investments.

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