Blue Owl Capital (OWL) Gets Price Target Cut Despite Record Q4 Earnings

Company Overview - Blue Owl Capital Inc (NYSE:OWL) is a global alternative asset manager with $307.4 billion in assets under management as of December 2025. The company operates in three segments: Private Credit, GP Strategic Capital, and Real Estate [4]. Recent Performance and Analyst Ratings - On February 6, following the announcement of quarterly results, Piper Sandler analyst Crispin Love reduced the price target for Blue Owl Capital Inc. from $21 to $15 while maintaining an Outperform rating. Despite weaker share price performance across the alternative asset management sector, OWL was noted as a relative outperformer [1]. - Earlier, on January 20, Piper Sandler reaffirmed its Buy rating on Blue Owl Capital Inc. with a $21 price target. However, on January 26, UBS analysts warned about the company's lending activities, suggesting that these could pressure the company's finances [2]. Credit Rating Upgrade - On January 22, Moody's Ratings upgraded Blue Owl Capital's long-term issuer and unsecured ratings from Baa3 to Baa2. Moody's expects the company to reduce its gross debt-to-equity ratio, which was 1.27x as of September 30, 2025, potentially increasing the asset coverage ratio from 19% to 20% [3]. Revenue Growth and Margin Projections - Piper Sandler anticipates that revenue growth estimates for Blue Owl Capital will fall below targets set during the investor day. However, the company's projections still indicate improved margins due to better cost management [1].