Blue Owl Capital Corporation (NYSE:OBDC) Receives Average Recommendation of “Moderate Buy” from Brokerages

Blue Owl Capital Corporation (NYSE:OBDC) has received a consensus recommendation of “Moderate Buy” from the nine ratings firms that are presently covering the company, MarketBeat reports. Three equities research analysts have rated the stock with a hold recommendation, five have assigned a buy recommendation and one has issued a strong buy recommendation on the company. The average 1 year target price among brokers that have covered the stock in the last year is $13.5714.

A number of research analysts recently weighed in on the company. Wells Fargo & Company reduced their price objective on Blue Owl Capital from $12.00 to $11.00 and set an “equal weight” rating for the company in a research report on Friday. Wall Street Zen lowered Blue Owl Capital from a “hold” rating to a “sell” rating in a research report on Saturday. Keefe, Bruyette & Woods reduced their price objective on Blue Owl Capital from $12.50 to $12.00 and set a “market perform” rating for the company in a research report on Thursday, April 16th. Zacks Research raised Blue Owl Capital from a “strong sell” rating to a “hold” rating in a research report on Monday, February 23rd. Finally, Truist Financial reduced their price objective on Blue Owl Capital from $16.00 to $15.00 and set a “buy” rating for the company in a research report on Monday, February 23rd.

Institutional Trading of Blue Owl Capital

Institutional investors have recently added to or reduced their stakes in the business. Dynamic Technology Lab Private Ltd purchased a new stake in Blue Owl Capital during the 3rd quarter valued at $1,208,000. Van ECK Associates Corp boosted 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 last quarter. Caz Investments LP purchased a new stake in Blue Owl Capital during the 3rd quarter valued at $14,357,000. Border to Coast Pensions Partnership Ltd boosted 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 last quarter. Finally, Tectonic Advisors LLC boosted 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 last quarter. 42.83% of the stock is currently owned by hedge funds and other institutional investors.

Blue Owl Capital Stock Down 2.0%

Shares of NYSE:OBDC opened at $11.13 on Tuesday. Blue Owl Capital has a 52-week low of $10.52 and a 52-week high of $15.19. The firm has a market capitalization of $5.52 billion, a P/E ratio of 15.89 and a beta of 0.64. The stock has a 50 day moving average price of $11.27 and a 200-day moving average price of $12.03. The company has a debt-to-equity ratio of 1.18, a quick ratio of 1.24 and a current ratio of 1.24.

Blue Owl Capital (NYSE:OBDC) last announced its earnings results on Wednesday, May 6th. The company reported $0.31 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.35 by ($0.04). Blue Owl Capital had a return on equity of 9.76% and a net margin of 20.21%.The firm had revenue of $391.00 million during the quarter, compared to the consensus estimate of $422.02 million. As a group, equities research analysts anticipate that Blue Owl Capital will post 1.31 EPS for the current fiscal year.

Blue Owl Capital declared that its board has authorized a share buyback plan on Wednesday, February 18th that authorizes the company to buyback $300.00 million in shares. This buyback authorization authorizes the company to reacquire up to 5.1% of its shares through open market purchases. Shares buyback plans are generally an indication that the company’s leadership 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. Investors of record on Tuesday, June 30th will be given a dividend of $0.31 per share. This represents a $1.24 dividend on an annualized basis and a yield of 11.1%. The ex-dividend date of this dividend is Tuesday, June 30th. Blue Owl Capital’s dividend payout ratio (DPR) is 211.43%.

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.