Critical Comparison: Blue Owl Technology Finance (OTF) & Its Peers

Blue Owl Technology Finance (NYSE:OTF) is one of 1,265 public companies in the “Asset Management” industry, but how does it weigh in compared to its peers? We will compare Blue Owl Technology Finance to similar companies based on the strength of its analyst recommendations, dividends, institutional ownership, profitability, valuation, risk and earnings.

Earnings and Valuation

This table compares Blue Owl Technology Finance and its peers gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Blue Owl Technology Finance	$779.34 million	$720.37 million	7.01
Blue Owl Technology Finance Competitors	$464.30 million	$205.03 million	-7.77

Blue Owl Technology Finance has higher revenue and earnings than its peers. Blue Owl Technology Finance is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Dividends

Blue Owl Technology Finance pays an annual dividend of $1.40 per share and has a dividend yield of 11.7%. Blue Owl Technology Finance pays out 82.4% 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, “Asset Management” companies pay a dividend yield of 3.2% and pay out 36.6% of their earnings in the form of a dividend.

Analyst Ratings

This is a summary of current ratings for Blue Owl Technology Finance and its peers, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Blue Owl Technology Finance	0	2	2	0	2.50
Blue Owl Technology Finance Competitors	1115	4925	6434	109	2.44

Blue Owl Technology Finance presently has a consensus price target of $14.00, indicating a potential upside of 17.45%. As a group, “Asset Management” companies have a potential upside of 55.82%. Given Blue Owl Technology Finance’s peers higher probable upside, analysts clearly believe Blue Owl Technology Finance has less favorable growth aspects than its peers.

Insider & Institutional Ownership

23.8% of shares of all “Asset Management” companies are owned by institutional investors. 15.8% of shares of all “Asset Management” companies are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares Blue Owl Technology Finance and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Blue Owl Technology Finance	62.89%	6.91%	4.07%
Blue Owl Technology Finance Competitors	261.95%	17.02%	3.11%

Summary

Blue Owl Technology Finance peers beat Blue Owl Technology Finance on 8 of the 14 factors compared.

Blue Owl Technology Finance Company Profile

Blue Owl Technology Finance Corp. is a specialty finance company focused on making debt and equity investments to U.S. technology-related companies, with a strategic focus on software. Blue Owl Technology Finance Corp. is based in NEW YORK.