Wall Street Zen Downgrades Blue Owl Capital (NYSE:OBDC) to Sell

Blue Owl Capital (NYSE:OBDC - Get Free Report) was downgraded by equities research analysts at Wall Street Zen from a "hold" rating to a "sell" rating in a research note issued on Saturday.

A number of other analysts have also issued reports on OBDC. Keefe, Bruyette & Woods dropped their target price on Blue Owl Capital from $12.50 to $12.00 and set a "market perform" rating on the stock in a research report on Thursday, April 16th. Royal Bank Of Canada dropped their target price on Blue Owl Capital from $14.00 to $13.00 and set an "outperform" rating on the stock in a research report on Friday, February 20th. Truist Financial dropped their target price on Blue Owl Capital from $16.00 to $15.00 and set a "buy" rating on the stock in a research report on Monday, February 23rd. Wells Fargo & Company decreased their price target on Blue Owl Capital from $12.00 to $11.00 and set an "equal weight" rating for the company in a research note on Friday. Finally, Zacks Research upgraded Blue Owl Capital from a "strong sell" rating to a "hold" rating in a research note on Monday, February 23rd. Two investment analysts have rated the stock with a Strong Buy rating, four have issued a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $13.57.

Blue Owl Capital Trading Down 0.3%

Shares of OBDC opened at $11.36 on Friday. The company has a current ratio of 1.24, a quick ratio of 1.17 and a debt-to-equity ratio of 1.18. The firm has a market capitalization of $5.64 billion, a P/E ratio of 16.22 and a beta of 0.64. The stock's fifty day simple moving average is $11.30 and its 200 day simple moving average is $12.05. Blue Owl Capital has a twelve month low of $10.52 and a twelve month 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). Blue Owl Capital had a net margin of 20.21% and a return on equity of 9.76%. The company had revenue of $391.00 million during the quarter, compared to analysts' expectations of $422.02 million. On average, equities research analysts forecast that Blue Owl Capital will post 1.36 earnings per share for the current year.

Blue Owl Capital declared that its Board of Directors has approved a share buyback plan on Wednesday, February 18th that authorizes the company to repurchase $300.00 million in shares. This repurchase authorization authorizes the company to purchase up to 5.1% of its stock through open market purchases. Stock repurchase plans are typically an indication that the company's leadership believes its stock is undervalued.

Hedge Funds Weigh In On Blue Owl Capital

A number of hedge funds and other institutional investors have recently bought and sold shares of the stock. Bulldog Investors LLP boosted its stake in Blue Owl Capital by 42.0% in the first quarter. Bulldog Investors LLP now owns 338,369 shares of the company's stock valued at $3,742,000 after acquiring an additional 100,094 shares during the period. Johnson Financial Group Inc. boosted its stake in Blue Owl Capital by 43.0% in the first quarter. Johnson Financial Group Inc. now owns 569,764 shares of the company's stock valued at $6,497,000 after acquiring an additional 171,374 shares during the period. Next Capital Management LLC boosted its stake in Blue Owl Capital by 610.9% in the first quarter. Next Capital Management LLC now owns 1,418,819 shares of the company's stock valued at $15,789,000 after acquiring an additional 1,219,235 shares during the period. Catalyst Capital Advisors LLC acquired a new position in Blue Owl Capital in the first quarter valued at approximately $96,000. Finally, Independent Financial Group LLC acquired a new position in shares of Blue Owl Capital during the first quarter worth approximately $1,925,000. 42.83% of the stock is currently owned by institutional investors and hedge funds.

More Blue Owl Capital News

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

• Negative Sentiment: Wells Fargo lowered its price target on Blue Owl Capital Corporation (OBDC) from $12.00 to $11.00 and kept an “equal weight” rating, signaling limited upside from current levels. Benzinga
• Negative Sentiment: The company’s Q1 2026 earnings missed estimates, with EPS of $0.31 versus $0.35 expected and revenue of $391.0 million versus $422.0 million expected, reinforcing concerns about weaker net investment income. Zacks
• Negative Sentiment: Market commentary said lower base rates and tighter spreads weighed on results, and new commitments nearly halved, suggesting slower near-term business momentum. Seeking Alpha
• Negative Sentiment: Blue Owl also said it will reduce private credit exposure to software, which may reflect a more cautious underwriting stance in a sector investors have been watching closely. MSN
• Neutral Sentiment: The company declared a quarterly dividend of $0.31 per share and signaled significant liquidity, which helps support the investment case but does not fully offset earnings concerns. MSN
• Neutral Sentiment: Moody’s upgrade for Blue Owl’s BDCs to Baa2 could improve funding costs over time, potentially helping margins if credit conditions remain stable. BBN Times

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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