Blue Owl Technology Finance (NYSE:OTF) Reaches New 1-Year Low Following Analyst Downgrade

Blue Owl Technology Finance Corp. (NYSE:OTF)’s share price reached a new 52-week low on Friday after Wells Fargo & Company lowered their price target on the stock from $15.00 to $13.00. Wells Fargo & Company currently has an overweight rating on the stock. Blue Owl Technology Finance traded as low as $11.65 and last traded at $11.73, with a volume of 2700117 shares trading hands. The stock had previously closed at $12.31.

Separately, Zacks Research raised Blue Owl Technology Finance from a “strong sell” rating to a “hold” rating in a research note on Monday, January 26th. One investment analyst has rated the stock with a Buy rating and one has issued a Hold rating to the company’s stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $13.00.

Key Blue Owl Technology Finance News

Here are the key news stories impacting Blue Owl Technology Finance this week:

• Positive Sentiment: Board approved a substantial share repurchase program — $300 million authorization to buy back up to ~5.1% of shares, signaling management thinks shares are undervalued and reducing float. Stock Repurchase Plan Approved by Blue Owl Technology Finance (NYSE:OTF) Board
• Positive Sentiment: Large dividend increase — company declared a quarterly dividend of $0.35 (annualized yield ~11.4%), a big step-up from prior $0.05, which should attract income-focused investors. (Ex-dividend date: Mar 31)
• Neutral Sentiment: Wells Fargo lowered its price target from $15 to $13 but kept an “overweight” rating — this reduces upside expectations numerically while still signaling fundamental support from the analyst. Benzinga
• Neutral Sentiment: Company-hosted earnings commentary reported a “strong quarter” narrative in the call highlights, but details matter to investors — see call summary for operational color and management commentary. Blue Owl Technology Finance Corp (OTF) Q4 2025 Earnings Call Highlights
• Negative Sentiment: One of Blue Owl’s private-credit retail funds halted redemptions — a liquidity action that raises investor concern about asset-level stress and makes the market more cautious about the firm’s credit exposure and fund liquidity. Blue Owl Halts Redemptions On Private Credit Retail Fund
• Negative Sentiment: Recent quarter missed consensus: EPS and revenue slightly below expectations (reported EPS $0.30 vs. est. $0.32; revenue ~$320.6M vs. est. ~$326.3M), which likely pressured sentiment despite strong margins.
• Negative Sentiment: Industry/analyst sentiment is mixed — broader coverage points to conflicting analyst views on the company and peers, which can increase volatility and keep some investors sidelined. Analysts Have Conflicting Sentiments on These Technology Companies

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in OTF. Newbridge Financial Services Group Inc. bought a new stake in shares of Blue Owl Technology Finance in the fourth quarter valued at approximately $44,000. Clearstead Advisors LLC acquired a new position in Blue Owl Technology Finance during the 4th quarter valued at $124,000. Kestra Advisory Services LLC bought a new stake in Blue Owl Technology Finance in the 4th quarter valued at $128,000. Cornerstone Partners Capital Management LLC acquired a new stake in Blue Owl Technology Finance in the 4th quarter worth $146,000. Finally, Onyx Bridge Wealth Group LLC bought a new position in shares of Blue Owl Technology Finance during the 4th quarter worth about $150,000.

Blue Owl Technology Finance Trading Down 5.5%

The stock has a market cap of $5.41 billion and a P/E ratio of 6.84.

Blue Owl Technology Finance (NYSE:OTF) last announced its quarterly earnings results on Wednesday, February 18th. The company reported $0.30 earnings per share for the quarter, missing analysts’ consensus estimates of $0.32 by ($0.02). Blue Owl Technology Finance had a return on equity of 6.91% and a net margin of 62.89%.The firm had revenue of $320.58 million for the quarter, compared to the consensus estimate of $326.27 million.

Blue Owl Technology Finance Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, April 15th. Stockholders of record on Tuesday, March 31st will be given a dividend of $0.35 per share. This is an increase from Blue Owl Technology Finance’s previous quarterly dividend of $0.05. This represents a $1.40 dividend on an annualized basis and a dividend yield of 12.0%. The ex-dividend date of this dividend is Tuesday, March 31st. Blue Owl Technology Finance’s payout ratio is 82.35%.

Blue Owl Technology Finance declared that its Board of Directors has initiated a stock buyback plan on Wednesday, February 18th that allows the company to repurchase $300.00 million in shares. This repurchase authorization allows the company to repurchase up to 5.1% of its stock through open market purchases. Stock repurchase plans are generally a sign that the company’s board believes its shares are 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.