Blue Owl Capital (NYSE:OBDC) Rating Increased to Hold at Wall Street Zen

Wall Street Zen upgraded shares of Blue Owl Capital (NYSE:OBDC) from a sell rating to a hold rating in a research note released on Saturday morning.

Other equities analysts have also issued research reports about the stock. Truist Financial cut their price objective on shares of Blue Owl Capital from $16.00 to $15.00 and set a “buy” rating on the stock in a report on Monday, February 23rd. Keefe, Bruyette & Woods reduced their price target on shares of Blue Owl Capital from $13.50 to $12.50 and set a “market perform” rating on the stock in a research report on Monday, February 23rd. Royal Bank Of Canada cut their price objective 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. Finally, Zacks Research upgraded shares of Blue Owl Capital from a “strong sell” rating to a “hold” rating in a research report on Monday, February 23rd. Two equities research analysts have rated the stock with a Strong Buy rating, five have given a Buy rating and three have issued a Hold rating to the company. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $14.06.

Blue Owl Capital Price Performance

Shares of NYSE:OBDC opened at $11.18 on Friday. The business has a fifty day simple moving average of $11.75 and a 200-day simple moving average of $12.52. Blue Owl Capital has a 52 week low of $10.70 and a 52 week high of $15.36. The company has a market cap of $5.58 billion, a P/E ratio of 9.01 and a beta of 0.67. The company has a quick ratio of 1.17, a current ratio of 1.17 and a debt-to-equity ratio of 1.26.

Blue Owl Capital (NYSE:OBDC) last announced its quarterly earnings data on Wednesday, February 18th. The company reported $0.36 earnings per share for the quarter, topping the consensus estimate of $0.35 by $0.01. The business had revenue of $439.50 million for the quarter, compared to analyst estimates of $454.38 million. Blue Owl Capital had a net margin of 33.89% and a return on equity of 10.07%. Equities research analysts forecast that Blue Owl Capital will post 1.71 EPS for the current year.

Blue Owl Capital declared that its board has initiated a share repurchase program on Wednesday, February 18th that permits the company to buyback $300.00 million in outstanding shares. This buyback authorization permits the company to repurchase up to 5.1% of its shares through open market purchases. Shares buyback programs are usually an indication that the company’s leadership believes its shares are undervalued.

Blue Owl Capital Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, April 15th. Investors of record on Tuesday, March 31st will be paid a dividend of $0.37 per share. The ex-dividend date of this dividend is Tuesday, March 31st. This represents a $1.48 annualized dividend and a yield of 13.2%. Blue Owl Capital’s dividend payout ratio (DPR) is currently 119.35%.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of OBDC. Van ECK Associates Corp raised its holdings 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 worth $170,663,000 after buying an additional 757,203 shares during the period. Bank of America Corp DE boosted its position in Blue Owl Capital by 6.5% during the 3rd quarter. Bank of America Corp DE now owns 13,275,411 shares of the company’s stock worth $169,527,000 after acquiring an additional 811,973 shares during the period. UBS Group AG boosted its holdings in shares of Blue Owl Capital by 40.6% during the fourth quarter. UBS Group AG now owns 8,528,672 shares of the company’s stock worth $106,011,000 after purchasing an additional 2,463,080 shares during the period. Ameriprise Financial Inc. grew its holdings in shares of Blue Owl Capital by 13.7% during the 3rd quarter. Ameriprise Financial Inc. now owns 5,454,128 shares of the company’s stock valued at $69,005,000 after acquiring an additional 659,025 shares in the last quarter. Finally, Sound Income Strategies LLC increased its stake in shares of Blue Owl Capital by 11.4% in the fourth quarter. Sound Income Strategies LLC now owns 3,779,901 shares of the company’s stock worth $47,665,000 after acquiring an additional 387,347 shares during the last quarter. 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.