Blue Owl Capital Corporation (NYSE:OBDC) Stock to Pay Quarterly Dividend of $0.01

Key Points

• Blue Owl Capital cut its quarterly dividend 96.8%, from $0.31 to $0.01 per share, equivalent to $0.04 annually and a 0.4% yield. Shareholders of record November 30 are scheduled to be paid December 15.
• The company reported quarterly earnings of $0.33 per share, beating the $0.32 consensus estimate, and revenue of $392.06 million, above expectations of $383.82 million.
• Blue Owl’s reported payout ratio is 81.6%; analysts expect next-year EPS of $1.28, though the article also cites a projected $1.24 annual dividend and a 96.9% future payout ratio.

Blue Owl Capital Corporation (NYSE:OBDC - Get Free Report) announced a quarterly dividend on Tuesday, November 3rd. Investors of record on Monday, November 30th will be paid a dividend of $0.01 per share on Tuesday, December 15th. This represents a $0.04 annualized dividend and a yield of 0.4%. The ex-dividend date is Monday, November 30th. This is a 96.8% decrease from Blue Owl Capital's previous quarterly dividend of $0.31.

Blue Owl Capital has a payout ratio of 81.6% indicating that its dividend is currently covered by earnings, but may not be in the future if the company's earnings fall. Equities analysts expect Blue Owl Capital to earn $1.28 per share next year, which means the company should continue to be able to cover its $1.24 annual dividend with an expected future payout ratio of 96.9%.

Blue Owl Capital Trading Up 2.6%

NYSE:OBDC opened at $10.77 on Thursday. The company has a current ratio of 0.65, a quick ratio of 0.65 and a debt-to-equity ratio of 1.12. Blue Owl Capital has a 12 month low of $9.81 and a 12 month high of $13.57. The company has a market cap of $5.31 billion, a PE ratio of 19.24 and a beta of 0.66. The company has a 50 day simple moving average of $10.66 and a two-hundred day simple moving average of $11.14.

Blue Owl Capital (NYSE:OBDC - Get Free Report) last released its quarterly earnings results on Wednesday, November 4th. The company reported $0.33 earnings per share for the quarter, beating the consensus estimate of $0.32 by $0.01. Blue Owl Capital had a return on equity of 9.49% and a net margin of 16.99%. The firm had revenue of $392.06 million for the quarter, compared to analysts' expectations of $383.82 million. Research analysts forecast that Blue Owl Capital will post 1.30 earnings per share for the current year.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in OBDC. Sound Income Strategies LLC increased its position in shares of Blue Owl Capital by 32.0% during the 3rd quarter. Sound Income Strategies LLC now owns 5,549,823 shares of the company's stock valued at $56,442,000 after purchasing an additional 1,345,081 shares during the last quarter. OMERS ADMINISTRATION Corp lifted its position in Blue Owl Capital by 71.3% in the first quarter. OMERS ADMINISTRATION Corp now owns 3,085,234 shares of the company's stock worth $34,123,000 after buying an additional 1,284,222 shares during the last quarter. Next Capital Management LLC boosted its stake in Blue Owl Capital by 610.9% during the first quarter. Next Capital Management LLC now owns 1,418,819 shares of the company's stock worth $15,789,000 after buying an additional 1,219,235 shares during the period. Rivernorth Capital Management LLC boosted its stake in Blue Owl Capital by 181.6% during the first quarter. Rivernorth Capital Management LLC now owns 1,426,822 shares of the company's stock worth $15,781,000 after buying an additional 920,180 shares during the period. Finally, Sona Asset Management US LLC bought a new position in Blue Owl Capital during the first quarter valued at $9,799,000. 42.83% of the stock is currently owned by institutional investors.

About Blue Owl Capital

Blue Owl Capital Corporation NYSE: OBDC is a business development company focused on providing financing to middle-market companies. The company is externally managed by Blue Owl Credit Advisors LLC, an affiliate of Blue Owl Capital Inc, and seeks to generate income and capital appreciation through investments in privately negotiated transactions.

OBDC primarily invests in senior secured loans, including first-lien and unitranche debt, as well as second-lien loans and, to a lesser extent, equity investments and other securities.

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