Blue Owl Technology Finance (NYSE:OTF) Hits New 12-Month Low After Analyst Downgrade

Blue Owl Technology Finance Corp. (NYSE:OTF) reached a new 52-week low during trading on Tuesday after Keefe, Bruyette & Woods lowered their price target on the stock from $13.00 to $12.00. Keefe, Bruyette & Woods currently has a market perform rating on the stock. Blue Owl Technology Finance traded as low as $10.67 and last traded at $10.76, with a volume of 167256 shares traded. The stock had previously closed at $10.76.

A number of other equities research analysts have also recently commented on OTF. Truist Financial decreased their target price on shares of Blue Owl Technology Finance from $17.00 to $16.00 and set a “buy” rating on the stock in a research note on Monday, February 23rd. Zacks Research raised Blue Owl Technology Finance from a “strong sell” rating to a “hold” rating in a report on Monday, January 26th. Citizens Jmp cut their target price on Blue Owl Technology Finance from $17.00 to $16.00 and set a “market outperform” rating for the company in a research report on Wednesday, April 22nd. Finally, Wells Fargo & Company lowered their target price on shares of Blue Owl Technology Finance from $13.00 to $12.00 and set an “overweight” rating on the stock in a report on Friday. Three investment analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $14.00.

Insider Buying and Selling

In other Blue Owl Technology Finance news, Director Chris Temple purchased 5,000 shares of Blue Owl Technology Finance stock in a transaction on Wednesday, February 25th. The stock was bought at an average cost of $11.49 per share, with a total value of $57,450.00. Following the transaction, the director owned 5,000 shares of the company’s stock, valued at $57,450. This represents a ∞ increase in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. 0.05% of the stock is currently owned by corporate insiders.

Institutional Trading of Blue Owl Technology Finance

A number of hedge funds have recently added to or reduced their stakes in the company. Apollon Wealth Management LLC increased its position in shares of Blue Owl Technology Finance by 260.2% during the fourth quarter. Apollon Wealth Management LLC now owns 72,751 shares of the company’s stock worth $1,058,000 after purchasing an additional 52,551 shares in the last quarter. Pallas Capital Advisors LLC grew its stake in shares of Blue Owl Technology Finance by 642.4% in the 4th quarter. Pallas Capital Advisors LLC now owns 85,480 shares of the company’s stock valued at $1,243,000 after buying an additional 73,966 shares during the period. Denali Advisors LLC purchased a new stake in Blue Owl Technology Finance in the fourth quarter valued at $1,576,000. Sanctuary Advisors LLC boosted its position in shares of Blue Owl Technology Finance by 195.4% during the 4th quarter. Sanctuary Advisors LLC now owns 149,377 shares of the company’s stock worth $2,172,000 after purchasing an additional 98,812 shares during the period. Finally, Blue Trust Inc. lifted its stake in Blue Owl Technology Finance by 141.6% during the 4th quarter. Blue Trust Inc. now owns 126,897 shares of the company’s stock worth $1,845,000 after acquiring an additional 74,370 shares in the last quarter.

Blue Owl Technology Finance Stock Performance

The firm has a market capitalization of $5.01 billion and a P/E ratio of 12.03. The business’s 50-day moving average is $11.72.

Blue Owl Technology Finance (NYSE:OTF) last posted its quarterly earnings results on Wednesday, May 6th. The company reported $0.29 EPS for the quarter, missing the consensus estimate of $0.31 by ($0.02). Blue Owl Technology Finance had a return on equity of 7.43% and a net margin of 32.78%.The firm had revenue of $325.94 million for the quarter. During the same period in the previous year, the business earned $0.41 EPS. On average, equities analysts predict that Blue Owl Technology Finance Corp. will post 1.31 earnings per share for the current fiscal year.

Blue Owl Technology Finance Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 15th. Stockholders of record on Tuesday, June 30th will be given a dividend of $0.35 per share. The ex-dividend date of this dividend is Tuesday, June 30th. This represents a $1.40 annualized dividend and a dividend yield of 12.9%. This is an increase from Blue Owl Technology Finance’s previous quarterly dividend of $0.05. Blue Owl Technology Finance’s payout ratio is currently 155.56%.

Blue Owl Technology Finance declared that its board has approved a share repurchase plan on Wednesday, February 18th that allows the company to repurchase $300.00 million in outstanding shares. This repurchase authorization allows the company to reacquire up to 5.1% of its stock through open market purchases. Stock repurchase plans are often an indication that the company’s board believes its stock is undervalued.

Blue Owl Technology Finance Company Profile

Blue Owl Technology Finance (NYSE: OTF) is a publicly traded business development company (BDC) sponsored by alternative asset manager Blue Owl. The firm focuses on providing customized debt and structured capital solutions to technology and technology-enabled companies, with an emphasis on growth-stage and middle-market borrowers. As a BDC, its primary activities include originating, structuring and managing private credit investments tailored to the financing needs of fast-growing businesses.

Its investment approach typically centers on direct lending and credit-oriented products, including senior secured loans, unitranche and subordinated debt, as well as selective equity-linked instruments and structured financings.