Oppenheimer Cuts Blue Owl Capital (NYSE:OWL) Price Target to $17.00

Blue Owl Capital (NYSE:OWL) had its price objective reduced by Oppenheimer from $24.00 to $17.00 in a research report sent to investors on Wednesday,Benzinga reports. They currently have an outperform rating on the stock.

Other equities analysts have also recently issued reports about the company. Weiss Ratings reissued a “hold (c)” rating on shares of Blue Owl Capital in a report on Wednesday, January 21st. UBS Group lowered their price target on 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. Barclays reiterated an “equal weight” rating and set a $11.00 price objective (down from $15.00) on shares of Blue Owl Capital in a research note on Monday, March 2nd. Evercore set a $14.00 price objective on Blue Owl Capital in a report on Friday, February 6th. Finally, Raymond James Financial restated a “strong-buy” rating on shares of Blue Owl Capital in a research note on Thursday, February 19th. Two investment analysts have rated the stock with a Strong Buy rating, seven have given a Buy rating, seven have assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, Blue Owl Capital presently has an average rating of “Moderate Buy” and a consensus target price of $18.00.

Blue Owl Capital Stock Down 5.1%

NYSE:OWL opened at $9.89 on Wednesday. Blue Owl Capital has a 12-month low of $9.69 and a 12-month high of $21.88. The firm has a market capitalization of $15.37 billion, a PE ratio of 98.91, a price-to-earnings-growth ratio of 0.87 and a beta of 1.15. The firm has a 50-day moving average price of $13.43 and a 200 day moving average price of $15.46.

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

Blue Owl Capital Dividend Announcement

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 $0.225 dividend. This represents a $0.90 annualized dividend and a dividend yield of 9.1%. The ex-dividend date of this dividend was Friday, February 20th. Blue Owl Capital’s payout ratio is presently 900.00%.

Institutional Investors Weigh In On Blue Owl Capital

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Capital World Investors raised its position 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 valued at $1,348,272,000 after purchasing an additional 5,029,134 shares during the last quarter. Vanguard Group Inc. grew its holdings in shares of Blue Owl Capital by 1.0% during the fourth 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 during the last quarter. Capital International Investors grew its holdings in shares of Blue Owl Capital by 4.3% during the fourth 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 during the last quarter. Bank of America Corp DE increased its stake in shares of Blue Owl Capital by 8.4% in the third quarter. Bank of America Corp DE now owns 22,563,953 shares of the company’s stock valued at $382,008,000 after buying an additional 1,751,024 shares in the last quarter. Finally, Boston Partners raised its holdings in shares of Blue Owl Capital by 16.2% in the fourth quarter. Boston Partners now owns 14,123,877 shares of the company’s stock valued at $211,270,000 after buying an additional 1,970,101 shares during the last quarter. 35.85% of the stock is owned by institutional investors and hedge funds.

Key Headlines Impacting Blue Owl Capital

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

• Positive Sentiment: Blue Owl confirmed it received an unsolicited minority tender offer for up to 8,000,000 shares of Blue Owl Capital Corporation II (OBDC II) and said it will review the proposal — a formal review can prompt management responses or negotiations that sometimes limit downside. Blue Owl Capital Corporation II Confirms Receipt of Unsolicited Minority Tender Offer from Cox and Saba at Discount to NAV
• Neutral Sentiment: Barclays reiterated an Equal Weight rating on OWL, signaling analysts are currently neutral on the shares despite recent volatility. Blue Owl Capital’s (OWL) Equal Weight Rating Reiterated at Barclays
• Negative Sentiment: Reports say Blue Owl has roughly £36 million (reported) — about $48 million in some accounts — of exposure to a collapsed UK property lender; that direct loss/credit exposure is being cited as a trigger for selling pressure. Blue Owl Capital stock falls on UK property lender loss
• Negative Sentiment: Outside firms have launched deep-discount offers for shares in Blue Owl’s private credit vehicles, signaling stress/illiquidity in those fund share prices and creating valuation scrutiny across the firm’s retail-facing products. Outside firms start the deep discount offer for shares in Blue Owl Private Credit Fund
• Negative Sentiment: Sectorwide private-credit redemptions and negative headlines are hitting Blue Owl specifically — coverage notes OWL shares are down sharply year-to-date as liquidity and mark-to-market concerns expose risks in retailized private credit. OWL Stock Is Down Over 30% This Year— How Private Credit Meltdown Is Exposing ‘Cockroaches’ In The Market
• Negative Sentiment: Short interest has surged to record levels against Blue Owl as investors position for further weakness, which can accelerate downside and volatility in the near term. Blue Owl Draws Record Short Bets as Private Credit Remains Under Fire

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.