Reviewing Blue Owl Capital (OWL) and Its Peers

Blue Owl Capital (NYSE:OWL) is one of 1,745 public companies in the “Capital Markets” industry, but how does it weigh in compared to its competitors? We will compare Blue Owl Capital to related businesses based on the strength of its analyst recommendations, dividends, risk, institutional ownership, profitability, valuation and earnings.

Dividends

Blue Owl Capital pays an annual dividend of $0.92 per share and has a dividend yield of 8.9%. Blue Owl Capital pays out 766.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. As a group, “Capital Markets” companies pay a dividend yield of 3.2% and pay out 30.1% of their earnings in the form of a dividend. Blue Owl Capital has raised its dividend for 4 consecutive years.

Profitability

This table compares Blue Owl Capital and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Blue Owl Capital	2.71%	23.14%	11.01%
Blue Owl Capital Competitors	304.57%	79.21%	3.63%

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Blue Owl Capital and its competitors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Blue Owl Capital	0	9	7	1	2.53
Blue Owl Capital Competitors	5526	20067	22390	638	2.37

Blue Owl Capital currently has a consensus price target of $13.27, suggesting a potential upside of 28.02%. As a group, “Capital Markets” companies have a potential upside of 25.98%. Given Blue Owl Capital’s stronger consensus rating and higher possible upside, research analysts plainly believe Blue Owl Capital is more favorable than its competitors.

Institutional & Insider Ownership

35.9% of Blue Owl Capital shares are owned by institutional investors. Comparatively, 30.5% of shares of all “Capital Markets” companies are owned by institutional investors. 25.7% of Blue Owl Capital shares are owned by insiders. Comparatively, 13.0% of shares of all “Capital Markets” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares Blue Owl Capital and its competitors gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Blue Owl Capital	$2.87 billion	$78.83 million	86.38
Blue Owl Capital Competitors	$2.38 billion	$395.48 million	15.68

Blue Owl Capital has higher revenue, but lower earnings than its competitors. Blue Owl Capital is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Volatility & Risk

Blue Owl Capital has a beta of 1.35, meaning that its share price is 35% more volatile than the S&P 500. Comparatively, Blue Owl Capital’s competitors have a beta of 0.81, meaning that their average share price is 19% less volatile than the S&P 500.

Summary

Blue Owl Capital beats its competitors on 10 of the 15 factors compared.

Blue Owl Capital Company Profile

Blue Owl Capital Inc. operates as an asset manager in the United States. The company offers permanent capital base solutions that enables it to offer holistic framework of capital solutions to middle market companies, large alternative asset managers, and corporate real estate owners and tenants. It also provides direct lending products that offer private credit products comprising diversified, technology, first lien, and opportunistic lending to middle-market companies; liquid credit; GP strategic capital products, which offers capital solutions, including GP minority stakes, GP debt financing, and professional sports minority stakes; and real estate products that focuses on acquiring triple net lease real estate by investment grade or creditworthy tenants. It offers its solutions through permanent capital vehicles, as well as long-dated private funds. Blue Owl Capital Inc. is headquartered in New York, New York.