Blue Owl Capital Inc. (NYSE:OWL) Receives Average Recommendation of "Moderate Buy" from Brokerages

Key Points

• Consensus: "Moderate Buy" — 17 brokerages cover Blue Owl with an average 1‑year price target of $15.03, though several firms have recently cut targets (Deutsche Bank to $10, Goldman to $9), leaving sentiment mixed.
• Operational positives: Blue Owl beat Q1 revenue and fee‑related earnings with AUM around $315B, and management sold roughly half its SpaceX stake (realizing ~10x) while increasing the quarterly dividend to $0.23 (a 9.2% yield) and authorizing buybacks, boosting near‑term distributable earnings.
• Key risks: a shareholder lawsuit alleging $414M in excessive fees, reports of institutional trimming (e.g., Brown University) and continued sell‑side skepticism could pressure the stock and add volatility.

Shares of Blue Owl Capital Inc. (NYSE:OWL - Get Free Report) have been given a consensus recommendation of "Moderate Buy" by the seventeen brokerages that are currently covering the stock, Marketbeat Ratings reports. One research analyst has rated the stock with a sell rating, seven have issued a hold rating, eight have issued a buy rating and one has assigned a strong buy rating to the company. The average 1-year price objective among analysts that have issued ratings on the stock in the last year is $15.0313.

OWL has been the topic of a number of research analyst reports. Deutsche Bank Aktiengesellschaft lowered shares of Blue Owl Capital from a "buy" rating to a "hold" rating and decreased their price target for the stock from $15.00 to $10.00 in a report on Tuesday, February 24th. The Goldman Sachs Group decreased their price target on shares of Blue Owl Capital from $14.00 to $9.00 and set a "neutral" rating on the stock in a report on Tuesday, April 7th. Piper Sandler decreased their price target on shares of Blue Owl Capital from $15.00 to $12.50 and set an "overweight" rating on the stock in a report on Tuesday, April 7th. Raymond James Financial reiterated a "strong-buy" rating on shares of Blue Owl Capital in a report on Thursday, February 19th. Finally, Oppenheimer cut their price objective on Blue Owl Capital from $17.00 to $16.00 and set an "outperform" rating for the company in a report on Monday, April 13th.

Blue Owl Capital Stock Down 0.1%

NYSE:OWL opened at $9.97 on Monday. The business's 50-day moving average price is $9.40 and its two-hundred day moving average price is $13.02. Blue Owl Capital has a twelve month low of $7.95 and a twelve month high of $21.08. The stock has a market cap of $15.50 billion, a P/E ratio of 83.11, a PEG ratio of 1.10 and a beta of 1.19.

Blue Owl Capital (NYSE:OWL - Get Free Report) last released its quarterly earnings results on Thursday, April 30th. The company reported $0.19 earnings per share for the quarter, meeting the consensus estimate of $0.19. The firm had revenue of $699.88 million for the quarter, compared to analysts' expectations of $687.23 million. Blue Owl Capital had a return on equity of 21.61% and a net margin of 2.96%. On average, equities research analysts expect that Blue Owl Capital will post 0.89 EPS for the current fiscal year.

Blue Owl Capital Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, May 27th. Stockholders of record on Wednesday, May 13th will be issued a $0.23 dividend. This represents a $0.92 dividend on an annualized basis and a dividend yield of 9.2%. The ex-dividend date is Wednesday, May 13th. This is an increase from Blue Owl Capital's previous quarterly dividend of $0.23. Blue Owl Capital's dividend payout ratio (DPR) is currently 750.00%.

Key Stories Impacting Blue Owl Capital

Here are the key news stories impacting Blue Owl Capital this week:

• Positive Sentiment: Management disclosed it sold roughly half of its SpaceX stake at a ~$1.25 trillion valuation and said the investment returned ~10x, which materially improves realized gains and near-term distributable earnings. Blue Owl sold about half its SpaceX holding
• Positive Sentiment: Q1 results beat on revenue and fee-related metrics (distributable earnings up, AUM ~ $315B; fee-paying AUM and new commitments remained strong), reassuring investors worried about private-credit weakness. Blue Owl's profit beats on higher fee-related earnings
• Positive Sentiment: Board/management raised the quarterly dividend and announced share repurchases, signalling confidence in cash generation and supporting yield-sensitive buyers. (Dividend announced April 28; quarterly payout increased marginally.)
• Positive Sentiment: Blue Owl raised $3 billion through its private-wealth distribution channel despite industry private-credit turbulence — diversification of distribution helps future fee growth and liquidity. Blue Owl Raises $3B in Wealth Channel
• Neutral Sentiment: Investor flows show a mixed picture: management reported $11B of new commitments but retail/wealth inflows are softer — supports longer-term fee runway but implies near-term growth variability. Seeking Alpha analysis
• Neutral Sentiment: Unusually heavy call-option volume was noted around the earnings move, suggesting short-term bullish positioning that can amplify intraday moves but also adds volatility risk.
• Negative Sentiment: Brown University reportedly cut its stake in a Blue Owl private-credit fund, a sign that some institutional investors are trimming exposure amid private-credit scrutiny. Brown University slashed stake in Blue Owl Private Credit Fund
• Negative Sentiment: A shareholder lawsuit alleges $414M in excessive fees charged by Blue Owl’s adviser, introducing regulatory/legal risk that could pressure sentiment and create headline volatility. Stockholder sues Blue Owl adviser
• Negative Sentiment: Some sell-side skepticism remains: JPMorgan recently lowered its price target, and media coverage has flagged elevated scrutiny and “doomsday” narratives around private credit — factors that can cap upward momentum. Price target lowered to $10.50 at JPMorgan

Hedge Funds Weigh In On Blue Owl Capital

Hedge funds and other institutional investors have recently modified their holdings of the company. Capital World Investors lifted its holdings in shares of Blue Owl Capital by 5.9% in the 4th quarter. Capital World Investors now owns 90,245,690 shares of the company's stock worth $1,348,272,000 after acquiring an additional 5,029,134 shares during the last quarter. Vanguard Group Inc. lifted its holdings in shares of Blue Owl Capital by 1.0% in the 4th quarter. Vanguard Group Inc. now owns 68,608,868 shares of the company's stock worth $1,025,016,000 after acquiring an additional 691,980 shares during the last quarter. Capital International Investors lifted its holdings in shares of Blue Owl Capital by 4.3% in the 4th quarter. Capital International Investors now owns 65,402,615 shares of the company's stock worth $977,118,000 after acquiring an additional 2,676,281 shares during the last quarter. Bank of America Corp DE lifted its holdings in shares of Blue Owl Capital by 8.4% in the 3rd quarter. Bank of America Corp DE now owns 22,563,953 shares of the company's stock worth $382,008,000 after acquiring an additional 1,751,024 shares during the last quarter. Finally, Boston Partners lifted its holdings in shares of Blue Owl Capital by 16.2% in the 4th quarter. Boston Partners now owns 14,123,877 shares of the company's stock worth $211,270,000 after acquiring an additional 1,970,101 shares during the last quarter. 35.85% of the stock is currently owned by hedge funds and other institutional investors.

About Blue Owl Capital

Blue Owl Capital is a global alternative asset manager that focuses on private credit, direct lending and equity-related strategies for institutional investors. Headquartered in New York, the firm develops and manages a range of private markets products designed to provide capital solutions to middle-market and larger corporate borrowers, as well as liquidity and partnership arrangements with private equity firms and other alternative managers.

Its core activities include direct lending and credit strategies that provide senior, unitranche and other structured loan products to companies across industries.

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