Blue Owl Capital Target of Unusually High Options Trading (NYSE:OWL)

Blue Owl Capital Inc. (NYSE:OWL) was the target of unusually large options trading activity on Monday. Traders bought 185,771 put options on the stock. This represents an increase of approximately 222% compared to the typical volume of 57,693 put options.

Wall Street Analysts Forecast Growth

OWL has been the subject of several research reports. Oppenheimer dropped their price target on shares of Blue Owl Capital from $17.00 to $16.00 and set an “outperform” rating for the company in a research note on Monday, April 13th. TD Cowen restated a “buy” rating and issued a $14.00 price target on shares of Blue Owl Capital in a research note on Monday, May 18th. The Goldman Sachs Group dropped their price target on shares of Blue Owl Capital from $14.00 to $9.00 and set a “neutral” rating for the company in a research note on Tuesday, April 7th. Raymond James Financial restated a “strong-buy” rating on shares of Blue Owl Capital in a research note on Thursday, February 19th. Finally, Zacks Research upgraded shares of Blue Owl Capital from a “strong sell” rating to a “hold” rating in a research note on Wednesday, May 27th. One investment analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating and seven have issued a Hold rating to the stock. Based on data from MarketBeat, Blue Owl Capital currently has an average rating of “Moderate Buy” and an average target price of $14.04.

Blue Owl Capital Price Performance

Shares of OWL opened at $9.63 on Tuesday. Blue Owl Capital has a 1-year low of $7.95 and a 1-year high of $21.08. The stock has a market cap of $14.96 billion, a PE ratio of 80.22, a price-to-earnings-growth ratio of 1.02 and a beta of 1.20. The firm has a fifty day moving average price of $9.61 and a 200 day moving average price of $11.84.

Blue Owl Capital (NYSE:OWL) last announced its quarterly earnings results on Thursday, April 30th. The company reported $0.19 earnings per share for the quarter, meeting analysts’ consensus estimates of $0.19. Blue Owl Capital had a net margin of 2.96% and a return on equity of 21.97%. The firm had revenue of $699.88 million during the quarter, compared to analysts’ expectations of $687.23 million. As a group, equities analysts expect that Blue Owl Capital will post 0.88 EPS for the current fiscal year.

Blue Owl Capital Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Wednesday, May 27th. Investors of record on Wednesday, May 13th were given a $0.23 dividend. This represents a $0.92 dividend on an annualized basis and a yield of 9.6%. This is a boost from Blue Owl Capital’s previous quarterly dividend of $0.23. The ex-dividend date of this dividend was Wednesday, May 13th. Blue Owl Capital’s dividend payout ratio is presently 766.67%.

Institutional Investors Weigh In On Blue Owl Capital

A number of institutional investors and hedge funds have recently made changes to their positions in the business. Parallel Advisors LLC raised its holdings in shares of Blue Owl Capital by 333.9% in the first quarter. Parallel Advisors LLC now owns 34,786 shares of the company’s stock valued at $318,000 after buying an additional 26,769 shares during the last quarter. NewEdge Advisors LLC raised its holdings in shares of Blue Owl Capital by 21.2% in the first quarter. NewEdge Advisors LLC now owns 428,949 shares of the company’s stock valued at $3,916,000 after buying an additional 74,926 shares during the last quarter. Caerus Investment Advisors LLC purchased a new stake in shares of Blue Owl Capital in the first quarter valued at about $161,000. Essential Partners LLC raised its holdings in shares of Blue Owl Capital by 739.7% in the first quarter. Essential Partners LLC now owns 3,216 shares of the company’s stock valued at $29,000 after buying an additional 2,833 shares during the last quarter. Finally, Western Wealth Management LLC purchased a new stake in shares of Blue Owl Capital in the first quarter valued at about $51,000. 35.85% of the stock is owned by hedge funds and other institutional investors.

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.