Blue Owl Capital Target of Unusually High Options Trading (NYSE:OWL)

Key Points

• Unusual options activity: Investors traded 903,378 call options on Blue Owl Capital, roughly 2,384% above the average volume of 36,375 contracts.
• Stock and dividend: OWL shares closed at $12.23, with a market capitalization of $19.07 billion. The company declared a quarterly dividend of $0.23, representing a 7.5% annualized yield, though its payout ratio is unusually high at 766.67%.
• Analyst outlook: Analysts maintain a consensus “Moderate Buy” rating with an average price target of $13.44; recent ratings include one Strong Buy, seven Buys, and eight Holds.

Blue Owl Capital Inc. (NYSE:OWL - Get Free Report) was the target of some unusual options trading activity on Wednesday. Investors acquired 903,378 call options on the stock. This is an increase of approximately 2,384% compared to the average volume of 36,375 call options.

Blue Owl Capital Stock Performance

Shares of OWL stock traded down $0.09 on Wednesday, hitting $12.23. 16,925,945 shares of the company's stock traded hands, compared to its average volume of 26,611,232. The stock has a market capitalization of $19.07 billion, a price-to-earnings ratio of 101.93, a P/E/G ratio of 1.30 and a beta of 1.19. The company's fifty day simple moving average is $9.71 and its 200 day simple moving average is $10.15. Blue Owl Capital has a one year low of $7.95 and a one year high of $20.49.

Blue Owl Capital (NYSE:OWL - Get Free Report) last announced its quarterly earnings data on Thursday, July 30th. The company reported $0.22 earnings per share for the quarter, meeting the consensus estimate of $0.22. The firm had revenue of $693.56 million during the quarter, compared to the consensus estimate of $693.15 million. Blue Owl Capital had a return on equity of 23.14% and a net margin of 2.71%. As a group, sell-side analysts anticipate that Blue Owl Capital will post 0.88 earnings per share for the current fiscal year.

Blue Owl Capital Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, August 27th. Stockholders of record on Thursday, August 13th will be given a $0.23 dividend. This represents a $0.92 annualized dividend and a dividend yield of 7.5%. The ex-dividend date of this dividend is Thursday, August 13th. Blue Owl Capital's payout ratio is currently 766.67%.

Institutional Trading of Blue Owl Capital

Institutional investors have recently made changes to their positions in the stock. Arax Advisory Partners purchased a new position in Blue Owl Capital in the fourth quarter worth about $25,000. Toronto Dominion Bank purchased a new stake in Blue Owl Capital in the 4th quarter worth $26,000. Lavaca Capital LLC purchased a new stake in shares of Blue Owl Capital during the fourth quarter worth about $28,000. Essential Partners LLC grew its holdings in Blue Owl Capital by 739.7% during the 1st quarter. Essential Partners LLC now owns 3,216 shares of the company's stock valued at $29,000 after buying an additional 2,833 shares in the last quarter. Finally, CX Institutional increased its holdings in Blue Owl Capital by 881.5% in the 2nd quarter. CX Institutional now owns 3,396 shares of the company's stock valued at $30,000 after acquiring an additional 3,050 shares during the last quarter. Hedge funds and other institutional investors own 35.85% of the company's stock.

Analysts Set New Price Targets

Several equities analysts have weighed in on the company. The Goldman Sachs Group raised their price objective on Blue Owl Capital from $9.50 to $10.50 and gave the company a "neutral" rating in a research note on Monday, August 3rd. TD Cowen reissued a "buy" rating on shares of Blue Owl Capital in a report on Thursday, August 6th. Keefe, Bruyette & Woods upgraded shares of Blue Owl Capital to a "hold" rating in a research note on Monday, July 20th. Barclays lifted their price target on Blue Owl Capital from $9.00 to $10.00 and gave the company an "equal weight" rating in a research report on Friday, July 31st. Finally, Weiss Ratings reaffirmed a "hold (c-)" rating on shares of Blue Owl Capital in a report on Thursday, June 18th. One equities research analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating and eight have issued a Hold rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus price target of $13.44.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source