Blue Owl Technology Finance (NYSE:OTF) Reaches New 12-Month Low – Should You Sell?

Shares of Blue Owl Technology Finance Corp. (NYSE:OTF) reached a new 52-week low during trading on Monday . The stock traded as low as $10.47 and last traded at $10.4870, with a volume of 2110624 shares traded. The stock had previously closed at $10.66.

Wall Street Analyst Weigh In

OTF has been the topic of several research analyst reports. Zacks Research upgraded shares of Blue Owl Technology Finance from a “strong sell” rating to a “hold” rating in a research note on Wednesday, June 10th. Keefe, Bruyette & Woods cut their price objective on Blue Owl Technology Finance from $13.00 to $12.00 and set a “market perform” rating for the company in a research report on Tuesday, May 12th. Royal Bank Of Canada cut their price objective on Blue Owl Technology Finance from $14.00 to $12.00 and set a “sector perform” rating for the company in a research report on Monday, May 18th. Wells Fargo & Company reduced their target price on Blue Owl Technology Finance from $13.00 to $12.00 and set an “overweight” rating on the stock in a report on Friday, May 8th. Finally, Truist Financial decreased their target price on Blue Owl Technology Finance from $16.00 to $15.00 and set a “buy” rating on the stock in a research report on Tuesday, May 19th. Three equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. According to MarketBeat, Blue Owl Technology Finance has an average rating of “Moderate Buy” and an average target price of $13.40.

Blue Owl Technology Finance Stock Down 1.6%

The business has a 50 day moving average of $11.16. The company has a market capitalization of $4.85 billion and a P/E ratio of 11.65.

Blue Owl Technology Finance (NYSE:OTF) last released its quarterly earnings results on Wednesday, May 6th. The company reported $0.29 earnings per share for the quarter, missing the consensus estimate of $0.31 by ($0.02). The company had revenue of $222.12 million for the quarter. Blue Owl Technology Finance had a net margin of 32.78% and a return on equity of 7.43%. During the same quarter in the previous year, the firm earned $0.41 EPS. As a group, analysts anticipate that Blue Owl Technology Finance Corp. will post 1.26 earnings per share for the current fiscal year.

Blue Owl Technology Finance Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, July 15th. Stockholders of record on Tuesday, June 30th will be issued a $0.35 dividend. The ex-dividend date is Tuesday, June 30th. This is a positive change from Blue Owl Technology Finance’s previous quarterly dividend of $0.05. This represents a $1.40 annualized dividend and a dividend yield of 13.3%. Blue Owl Technology Finance’s dividend payout ratio (DPR) is currently 155.56%.

Insider Buying and Selling

In related news, Director Melissa Weiler bought 10,000 shares of the stock in a transaction dated Wednesday, May 13th. The stock was purchased at an average cost of $10.90 per share, with a total value of $109,000.00. Following the completion of the purchase, the director owned 10,000 shares of the company’s stock, valued at $109,000. This trade represents a ∞ increase in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, Director Chris Temple bought 7,000 shares of the stock in a transaction dated Friday, May 22nd. The shares were bought at an average cost of $10.71 per share, with a total value of $74,970.00. Following the completion of the purchase, the director directly owned 12,000 shares of the company’s stock, valued at approximately $128,520. This trade represents a 140.00% increase in their position. The SEC filing for this purchase provides additional information. Insiders have purchased a total of 18,000 shares of company stock valued at $194,710 over the last three months. 0.05% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Blue Owl Technology Finance

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Newbridge Financial Services Group Inc. purchased a new stake in Blue Owl Technology Finance during the fourth quarter worth $44,000. Clearstead Advisors LLC purchased a new position in shares of Blue Owl Technology Finance in the 4th quarter valued at $124,000. Abel Hall LLC purchased a new position in shares of Blue Owl Technology Finance in the 1st quarter valued at $124,000. Kestra Advisory Services LLC bought a new position in shares of Blue Owl Technology Finance in the 4th quarter worth $128,000. Finally, Cornerstone Partners Capital Management LLC bought a new position in shares of Blue Owl Technology Finance in the 4th quarter worth $146,000.

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.