Traders Buy High Volume of Blue Owl Capital Call Options (NYSE:OWL)

Key Points

• Traders bought an unusually large number of options on Blue Owl—75,130 call options traded on Wednesday (about 53% above average)—and there was also a surge in put buying (~64,863), indicating heavy speculative and hedging activity.
• Major institutional investors raised their stakes—eg, Capital World Investors, Vanguard and Capital International increased holdings—and institutional ownership stands at 35.85%, signaling continued accumulation by big funds.
• Positive funding developments (including PIMCO’s full $400 million BDC bond purchase and a $2.9 billion fund close) helped shares jump about 8% to $9.91, though analysts have trimmed price targets and the consensus rating remains a “Moderate Buy” with a $15.97 target.

Blue Owl Capital Inc. (NYSE:OWL - Get Free Report) saw unusually large options trading activity on Wednesday. Stock investors bought 75,130 call options on the stock. This is an increase of 53% compared to the average volume of 49,185 call options.

Hedge Funds Weigh In On Blue Owl Capital

A number of hedge funds have recently bought and sold shares of the company. Capital World Investors boosted its stake in 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 purchasing an additional 5,029,134 shares in the last quarter. Vanguard Group Inc. boosted its stake in 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 purchasing an additional 691,980 shares in the last quarter. Capital International Investors boosted its stake in 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 purchasing an additional 2,676,281 shares in the last quarter. Bank of America Corp DE boosted its stake in 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 purchasing an additional 1,751,024 shares in the last quarter. Finally, Boston Partners boosted its stake in 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 purchasing an additional 1,970,101 shares in the last quarter. Institutional investors own 35.85% of the company's stock.

Blue Owl Capital News Summary

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

• Positive Sentiment: PIMCO bought the full $400 million BDC bond placement, providing a clear institutional backstop to Blue Owl’s recent private‑credit funding effort; that demand reduces near‑term refinancing/liquidity stress for the BDC vehicle and likely helped lift the stock. Pimco Buys All $400 Million of Bonds Sold by Blue Owl BDC
• Positive Sentiment: Blue Owl acquired a stake in financial‑services manager BlackFin, signaling strategic expansion and potential fee/asset growth benefits over time. Strategic M&A can support confidence in the firm’s growth pipeline. Blue Owl snaps up stake in financial-services manager BlackFin
• Positive Sentiment: Fundraising momentum: Blue Owl announced a $2.9 billion final close for an Asset Special Opportunities fund, underscoring continued capital-raising capability in private credit despite recent headlines. This supports long‑term fee generation. Blue Owl Capital jumps as investors look past redemption fears
• Neutral Sentiment: Piper Sandler reaffirmed an Overweight rating but lowered its price target (from $15 to $12.50), keeping a constructive view while acknowledging near‑term headwinds. Piper Sandler Reaffirms Overweight Rating for Blue Owl Capital
• Neutral Sentiment: Oppenheimer trimmed its price target to $16 (still an Outperform/positive rating), reflecting mixed analyst views — some see recovery potential but factor in fee timing and liquidity risks. Oppenheimer Lowers Blue Owl Capital Price Target
• Neutral Sentiment: Institutional positioning and insider buying have been notable (13G filings and management purchases), indicating some investors are accumulating while others reduce exposure — mixed signals for near‑term volatility. Blue Owl Capital jumps as investors look past redemption fears
• Negative Sentiment: Unusual options activity: a surge in put buying (about 64,863 puts) points to elevated hedging or outright bearish positioning, which can amplify downside if negative news continues. Blue Owl Capital Sees Unusually High Options Volume
• Negative Sentiment: Analyst and media coverage highlight sustained concerns—liquidity optics, fee timing, and elevated costs have driven a deep multi‑month share decline, and Zacks warns those structural issues keep sentiment pressured. Why Blue Owl Capital Stock Is Lagging

Analyst Upgrades and Downgrades

Several brokerages recently commented on OWL. Barclays decreased their target price on shares of Blue Owl Capital from $11.00 to $9.00 and set an "equal weight" rating on the stock in a research note on Wednesday, April 8th. BMO Capital Markets decreased their target price on shares of Blue Owl Capital from $15.00 to $11.00 and set an "outperform" rating on the stock in a research note on Tuesday, March 24th. UBS Group reduced their price objective on shares of Blue Owl Capital from $16.50 to $12.00 and set a "neutral" rating on the stock in a research report on Friday, February 20th. Zacks Research cut shares of Blue Owl Capital from a "hold" rating to a "strong sell" rating in a research report on Tuesday, January 27th. Finally, Wolfe Research set a $20.00 target price on shares of Blue Owl Capital in a research report on Wednesday, January 7th. One equities research analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating, seven have issued a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $15.97.

Blue Owl Capital Stock Up 8.0%

Shares of NYSE:OWL traded up $0.74 on Wednesday, hitting $9.91. The company had a trading volume of 42,268,788 shares, compared to its average volume of 28,895,313. Blue Owl Capital has a 1 year low of $7.95 and a 1 year high of $21.08. The firm has a market capitalization of $15.40 billion, a price-to-earnings ratio of 99.17, a P/E/G ratio of 0.92 and a beta of 1.21. The firm's 50-day simple moving average is $10.06 and its two-hundred day simple moving average is $13.60.

Blue Owl Capital (NYSE:OWL - Get Free Report) last announced its earnings results on Thursday, February 5th. The company reported $0.27 EPS for the quarter, beating analysts' consensus estimates of $0.22 by $0.05. Blue Owl Capital had a net margin of 2.75% and a return on equity of 20.93%. The firm had revenue of $701.47 million for the quarter, compared to analysts' expectations of $712.75 million. Equities research analysts anticipate that Blue Owl Capital will post 0.92 EPS for the current year.

Blue Owl Capital Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Monday, March 2nd. Stockholders of record on Friday, February 20th were issued a dividend of $0.225 per share. This represents a $0.90 dividend on an annualized basis and a dividend yield of 9.1%. The ex-dividend date was Friday, February 20th. Blue Owl Capital's payout ratio is 900.00%.

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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