Blue Owl Capital (NYSE:OWL) Issues Earnings Results

Blue Owl Capital (NYSE:OWL) posted its earnings results on Thursday. The company reported $0.19 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $0.19, FiscalAI reports. The company had revenue of $699.88 million for the quarter, compared to analysts’ expectations of $687.23 million. Blue Owl Capital had a return on equity of 21.61% and a net margin of 2.96%.

Here are the key takeaways from Blue Owl Capital’s conference call:

• Reported strong quarter: FRE $0.25, DE $0.19, revenues +13% YoY, FRE +14% and DE +11% versus Q1 2025, and declared a $0.23 quarterly dividend while reaffirming a $0.92 dividend commitment for 2026.
• Fundraising momentum remains solid — $57 billion raised over the last 12 months and $11 billion in Q1 — with institutional investors driving ~2/3 of equity and successful closes like the $3 billion BOSE GP Strategic Capital fund.
• Underlying performance and underwriting are resilient: direct lending and credit strategies delivered attractive recent returns (e.g., 8.5% direct lending 12?month, 9.1% OCIC since inception), with a low average loss rate (~12 bps) and stable watchlist/non?accrual metrics.
• Deployment runway and fee growth visible — ~$30 billion of AUM not yet paying fees (?$350 million expected annualized fees), accelerating deployment in real assets and digital infrastructure (large pipelines: ~$50B net lease, ~$100B digital infra) and meaningful originations/repayments activity.
• Retail redemption noise was modest (?$170 million net outflows from OCIC/OTIC, concentrated among few investors) and management flagged rising software LTVs (low?30s ? low?40s) but said equity cushions and portfolio behavior remain manageable while they modestly reduce software exposure.

Blue Owl Capital Stock Up 2.3%

Blue Owl Capital stock traded up $0.22 during midday trading on Friday, hitting $9.97. The company’s stock had a trading volume of 53,125,180 shares, compared to its average volume of 28,566,256. The stock’s 50-day moving average price is $9.40 and its 200-day moving average price is $13.06. Blue Owl Capital has a 12 month low of $7.95 and a 12 month high of $21.08. The company has a market capitalization of $15.50 billion, a PE ratio of 99.74, a price-to-earnings-growth ratio of 1.06 and a beta of 1.19.

Blue Owl Capital Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, May 27th. Shareholders of record on Wednesday, May 13th will be given a $0.23 dividend. This represents a $0.92 annualized dividend and a yield of 9.2%. This is a boost from Blue Owl Capital’s previous quarterly dividend of $0.23. The ex-dividend date is Wednesday, May 13th. Blue Owl Capital’s dividend payout ratio (DPR) is presently 900.00%.

Trending Headlines about Blue Owl Capital

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

• Positive Sentiment: Management disclosed it sold roughly half of its SpaceX stake at a ~$1.25 trillion valuation and said the investment returned ~10x, which materially improves realized gains and near-term distributable earnings. Blue Owl sold about half its SpaceX holding
• Positive Sentiment: Q1 results beat on revenue and fee-related metrics (distributable earnings up, AUM ~ $315B; fee-paying AUM and new commitments remained strong), reassuring investors worried about private-credit weakness. Blue Owl’s profit beats on higher fee-related earnings
• Positive Sentiment: Board/management raised the quarterly dividend and announced share repurchases, signalling confidence in cash generation and supporting yield-sensitive buyers. (Dividend announced April 28; quarterly payout increased marginally.)
• Positive Sentiment: Blue Owl raised $3 billion through its private-wealth distribution channel despite industry private-credit turbulence — diversification of distribution helps future fee growth and liquidity. Blue Owl Raises $3B in Wealth Channel
• Neutral Sentiment: Investor flows show a mixed picture: management reported $11B of new commitments but retail/wealth inflows are softer — supports longer-term fee runway but implies near-term growth variability. Seeking Alpha analysis
• Neutral Sentiment: Unusually heavy call-option volume was noted around the earnings move, suggesting short-term bullish positioning that can amplify intraday moves but also adds volatility risk.
• Negative Sentiment: Brown University reportedly cut its stake in a Blue Owl private-credit fund, a sign that some institutional investors are trimming exposure amid private-credit scrutiny. Brown University slashed stake in Blue Owl Private Credit Fund
• Negative Sentiment: A shareholder lawsuit alleges $414M in excessive fees charged by Blue Owl’s adviser, introducing regulatory/legal risk that could pressure sentiment and create headline volatility. Stockholder sues Blue Owl adviser
• Negative Sentiment: Some sell-side skepticism remains: JPMorgan recently lowered its price target, and media coverage has flagged elevated scrutiny and “doomsday” narratives around private credit — factors that can cap upward momentum. Price target lowered to $10.50 at JPMorgan

Analysts Set New Price Targets

A number of equities research analysts have issued reports on OWL shares. Barclays raised their target price on Blue Owl Capital from $9.00 to $10.00 and gave the company an “equal weight” rating in a research note on Friday. TD Cowen cut their target price on Blue Owl Capital from $16.00 to $14.00 and set a “buy” rating on the stock in a research note on Monday, March 23rd. Zacks Research cut Blue Owl Capital from a “hold” rating to a “strong sell” rating in a research note on Tuesday, January 27th. Evercore set a $14.00 target price on Blue Owl Capital in a research note on Friday, February 6th. Finally, UBS Group lifted their price objective on shares of Blue Owl Capital from $9.00 to $9.50 and gave the company a “neutral” rating in a research note on Friday. One research analyst has rated the stock with a Strong Buy rating, eight have given a Buy rating, seven have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $15.03.

Institutional Investors Weigh In On Blue Owl Capital

Several hedge funds and other institutional investors have recently bought and sold shares of the business. Bank of America Corp DE raised its position in 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 worth $382,008,000 after acquiring an additional 1,751,024 shares in the last quarter. Boston Partners raised its position in Blue Owl Capital by 16.2% in the fourth quarter. Boston Partners now owns 14,123,877 shares of the company’s stock worth $211,270,000 after acquiring an additional 1,970,101 shares in the last quarter. State Street Corp raised its position in Blue Owl Capital by 6.0% in the fourth quarter. State Street Corp now owns 10,947,907 shares of the company’s stock worth $163,562,000 after acquiring an additional 617,769 shares in the last quarter. Beck Mack & Oliver LLC increased its stake in Blue Owl Capital by 13.3% in the 4th quarter. Beck Mack & Oliver LLC now owns 7,766,893 shares of the company’s stock worth $116,037,000 after purchasing an additional 910,304 shares in the last quarter. Finally, Advent International L.P. increased its stake in Blue Owl Capital by 22.1% in the 4th quarter. Advent International L.P. now owns 6,686,817 shares of the company’s stock worth $99,901,000 after purchasing an additional 1,209,910 shares in the last quarter. 35.85% of the stock is currently owned by institutional investors.

Blue Owl Capital Company Profile

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.