Keefe, Bruyette & Woods Cuts Blue Owl Capital (NYSE:OBDC) Price Target to $12.50

Blue Owl Capital (NYSE:OBDC) had its target price trimmed by Keefe, Bruyette & Woods from $13.50 to $12.50 in a report published on Monday,Benzinga reports. The brokerage currently has a market perform rating on the stock.

Several other research analysts have also commented on OBDC. Truist Financial decreased their target price on Blue Owl Capital from $16.00 to $15.00 and set a “buy” rating for the company in a research report on Monday. Royal Bank Of Canada decreased their price objective on shares of Blue Owl Capital from $14.00 to $13.00 and set an “outperform” rating for the company in a report on Friday, February 20th. Citizens Jmp lowered their target price on shares of Blue Owl Capital from $17.00 to $15.00 and set a “market outperform” rating for the company in a research note on Friday, November 7th. Finally, Wells Fargo & Company dropped their price objective on shares of Blue Owl Capital from $13.00 to $12.00 and set an “equal weight” rating on the stock in a research note on Friday, November 7th. Two investment analysts have rated the stock with a Strong Buy rating, five have assigned a Buy rating and three have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, Blue Owl Capital currently has a consensus rating of “Moderate Buy” and an average price target of $14.06.

Blue Owl Capital Price Performance

Shares of OBDC stock opened at $11.93 on Monday. The firm has a fifty day moving average of $12.17 and a two-hundred day moving average of $12.86. The firm has a market cap of $5.96 billion, a P/E ratio of 9.62 and a beta of 0.67. Blue Owl Capital has a 1-year low of $10.70 and a 1-year high of $15.58. The company has a debt-to-equity ratio of 1.26, a current ratio of 1.17 and a quick ratio of 1.17.

Blue Owl Capital (NYSE:OBDC) last issued its quarterly earnings results on Wednesday, February 18th. The company reported $0.36 EPS 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 analysts’ expectations of $454.38 million. Blue Owl Capital had a net margin of 33.89% and a return on equity of 10.07%. As a group, research analysts anticipate that Blue Owl Capital will post 1.71 earnings per share for the current fiscal year.

Blue Owl Capital declared that its Board of Directors has initiated a share repurchase program on Wednesday, February 18th that allows the company to repurchase $300.00 million in shares. This repurchase authorization allows the company to repurchase up to 5.1% of its shares through open market purchases. Shares repurchase programs are generally a sign that the company’s board of directors believes its stock is undervalued.

Blue Owl Capital Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, April 15th. Stockholders of record on Tuesday, March 31st will be given a dividend of $0.37 per share. The ex-dividend date is Tuesday, March 31st. This represents a $1.48 annualized dividend and a dividend yield of 12.4%. Blue Owl Capital’s payout ratio is currently 119.35%.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in OBDC. IFP Advisors Inc raised its stake in shares of Blue Owl Capital by 79.6% during the third quarter. IFP Advisors Inc now owns 2,096 shares of the company’s stock valued at $27,000 after purchasing an additional 929 shares in the last quarter. Caitong International Asset Management Co. Ltd increased its stake in Blue Owl Capital by 166.0% during the 3rd quarter. Caitong International Asset Management Co. Ltd now owns 2,115 shares of the company’s stock valued at $27,000 after buying an additional 1,320 shares during the period. Atlantic Union Bankshares Corp bought a new stake in shares of Blue Owl Capital during the 3rd quarter worth about $28,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC acquired a new position in shares of Blue Owl Capital during the third quarter valued at approximately $30,000. Finally, Assetmark Inc. bought a new stake in Blue Owl Capital during the third quarter worth approximately $38,000. Institutional investors and hedge funds 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.