Zacks Research Issues Pessimistic Outlook for OBDC Earnings

Key Points

• Zacks Research cut its Q2 2026 EPS estimate for Blue Owl Capital to $0.31 from $0.33 and kept a Hold rating on the stock.
• Blue Owl Capital’s latest earnings report also disappointed, with $0.31 EPS versus the expected $0.35 and revenue of $391 million versus the $422.02 million estimate.
• The stock has faced mixed sentiment: several analysts lowered price targets, while the company also announced a $300 million share buyback and a quarterly dividend of $0.31 per share.

Blue Owl Capital Corporation (NYSE:OBDC - Free Report) - Stock analysts at Zacks Research dropped their Q2 2026 earnings per share (EPS) estimates for Blue Owl Capital in a research report issued on Monday, May 18th. Zacks Research analyst Team now expects that the company will post earnings of $0.31 per share for the quarter, down from their previous estimate of $0.33. Zacks Research currently has a "Hold" rating on the stock. The consensus estimate for Blue Owl Capital's current full-year earnings is $1.29 per share. Zacks Research also issued estimates for Blue Owl Capital's FY2026 earnings at $1.25 EPS, Q3 2027 earnings at $0.32 EPS and FY2027 earnings at $1.28 EPS.

Blue Owl Capital (NYSE:OBDC - Get Free Report) last issued 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). The business had revenue of $391.00 million for the quarter, compared to analysts' expectations of $422.02 million. Blue Owl Capital had a return on equity of 9.76% and a net margin of 20.21%.

A number of other equities analysts also recently issued reports on OBDC. Truist Financial decreased their price objective on Blue Owl Capital from $16.00 to $15.00 and set a "buy" rating for the company in a report on Monday, February 23rd. Royal Bank Of Canada cut their target price on Blue Owl Capital from $14.00 to $13.00 and set an "outperform" rating on the stock in a research note on Friday, February 20th. Wall Street Zen cut Blue Owl Capital from a "hold" rating to a "sell" rating in a research note on Saturday, May 9th. Wells Fargo & Company dropped their price objective on Blue Owl Capital from $12.00 to $11.00 and set an "equal weight" rating on the stock in a research report on Friday, May 8th. Finally, Keefe, Bruyette & Woods dropped their price objective 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. One analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating and three have given a Hold rating to the company's stock. According to MarketBeat.com, Blue Owl Capital currently has an average rating of "Moderate Buy" and an average target price of $13.33.

Blue Owl Capital Stock Down 1.7%

Shares of OBDC opened at $11.03 on Tuesday. The firm has a market cap of $5.47 billion, a P/E ratio of 15.75 and a beta of 0.64. Blue Owl Capital has a 1 year low of $10.52 and a 1 year high of $15.19. The company has a debt-to-equity ratio of 1.18, a current ratio of 1.24 and a quick ratio of 1.24. The stock has a 50 day simple moving average of $11.24 and a two-hundred day simple moving average of $11.96.

Blue Owl Capital announced that its Board of Directors has initiated a stock repurchase plan on Wednesday, February 18th that allows the company to buyback $300.00 million in outstanding shares. This buyback authorization allows the company to reacquire up to 5.1% of its shares through open market purchases. Shares buyback plans are often a sign that the company's management believes its shares are undervalued.

Blue Owl Capital Cuts Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 15th. Stockholders of record on Tuesday, June 30th will be paid a $0.31 dividend. The ex-dividend date of this dividend is Tuesday, June 30th. This represents a $1.24 annualized dividend and a dividend yield of 11.2%. Blue Owl Capital's dividend payout ratio (DPR) is 211.43%.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the stock. Dynamic Technology Lab Private Ltd bought a new stake in Blue Owl Capital during the 3rd quarter valued at approximately $1,208,000. Van ECK Associates Corp raised its stake in Blue Owl Capital by 6.0% during the 3rd quarter. Van ECK Associates Corp now owns 13,364,378 shares of the company's stock valued at $170,663,000 after purchasing an additional 757,203 shares during the period. Caz Investments LP bought a new stake in Blue Owl Capital during the 3rd quarter valued at approximately $14,357,000. Border to Coast Pensions Partnership Ltd raised its stake in Blue Owl Capital by 19.2% during the 3rd quarter. Border to Coast Pensions Partnership Ltd now owns 1,550,000 shares of the company's stock valued at $19,793,000 after purchasing an additional 250,000 shares during the period. Finally, Tectonic Advisors LLC raised its stake in Blue Owl Capital by 13.0% during the 4th quarter. Tectonic Advisors LLC now owns 1,043,827 shares of the company's stock valued at $12,975,000 after purchasing an additional 119,798 shares during the period. Institutional investors own 42.83% of the company's stock.

About Blue Owl Capital

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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