BLUE OWL CAPITAL INC (OWL) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:OWL - US09581B1035 - Common Stock
15.14 USD
-0.55 (-3.51%)
14.9 USD
-0.24 (-1.59%)
Overall OWL gets a fundamental rating of 4 out of 10. We evaluated OWL against 237 industry peers in the Capital Markets industry. OWL has a bad profitability rating. Also its financial health evaluation is rather negative. OWL is growing strongly while it is still valued neutral. This is a good combination!
1. Profitability
1.1 Basic Checks
- OWL had positive earnings in the past year.
- In the past year OWL had a positive cash flow from operations.
- In multiple years OWL reported negative net income over the last 5 years.
- OWL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- With a Return On Assets value of 0.42%, OWL is not doing good in the industry: 75.11% of the companies in the same industry are doing better.
- OWL's Return On Equity of 2.26% is on the low side compared to the rest of the industry. OWL is outperformed by 70.04% of its industry peers.
- OWL has a Return On Invested Capital (3.76%) which is comparable to the rest of the industry.
- OWL had an Average Return On Invested Capital over the past 3 years of 3.29%. This is below the industry average of 7.27%.
- The 3 year average ROIC (3.29%) for OWL is below the current ROIC(3.76%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.42% | ||
| ROE | 2.26% | ||
| ROIC | 3.76% |
ROA(3y)0.5%
ROA(5y)-13.4%
ROE(3y)2.71%
ROE(5y)N/A
ROIC(3y)3.29%
ROIC(5y)N/A
1.3 Margins
- OWL has a worse Profit Margin (1.89%) than 73.42% of its industry peers.
- OWL's Profit Margin has declined in the last couple of years.
- Looking at the Operating Margin, with a value of 17.27%, OWL is in line with its industry, outperforming 41.77% of the companies in the same industry.
- OWL's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.27% | ||
| PM (TTM) | 1.89% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5Y15.64%
PM growth 3YN/A
PM growth 5Y-16.9%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- OWL has more shares outstanding than it did 1 year ago.
- OWL has more shares outstanding than it did 5 years ago.
- OWL has a worse debt/assets ratio than last year.
2.2 Solvency
- Based on the Altman-Z score of 1.54, we must say that OWL is in the distress zone and has some risk of bankruptcy.
- The Altman-Z score of OWL (1.54) is better than 64.14% of its industry peers.
- The Debt to FCF ratio of OWL is 2.81, which is a good value as it means it would take OWL, 2.81 years of fcf income to pay off all of its debts.
- With a decent Debt to FCF ratio value of 2.81, OWL is doing good in the industry, outperforming 79.75% of the companies in the same industry.
- A Debt/Equity ratio of 1.41 is on the high side and indicates that OWL has dependencies on debt financing.
- Looking at the Debt to Equity ratio, with a value of 1.41, OWL is doing worse than 69.20% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.41 | ||
| Debt/FCF | 2.81 | ||
| Altman-Z | 1.54 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
- A Current Ratio of 0.71 indicates that OWL may have some problems paying its short term obligations.
- OWL's Current ratio of 0.71 is on the low side compared to the rest of the industry. OWL is outperformed by 65.40% of its industry peers.
- OWL has a Quick Ratio of 0.71. This is a bad value and indicates that OWL is not financially healthy enough and could expect problems in meeting its short term obligations.
- OWL's Quick ratio of 0.71 is on the low side compared to the rest of the industry. OWL is outperformed by 64.98% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.71 | ||
| Quick Ratio | 0.71 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 9.46% over the past year.
- Measured over the past years, OWL shows a very strong growth in Earnings Per Share. The EPS has been growing by 26.74% on average per year.
- Looking at the last year, OWL shows a very strong growth in Revenue. The Revenue has grown by 27.24%.
- OWL shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 64.44% yearly.
EPS 1Y (TTM)9.46%
EPS 3YN/A
EPS 5Y26.74%
EPS Q2Q%10%
Revenue 1Y (TTM)27.24%
Revenue growth 3Y40.71%
Revenue growth 5Y64.44%
Sales Q2Q%20.88%
3.2 Future
- Based on estimates for the next years, OWL will show a quite strong growth in Earnings Per Share. The EPS will grow by 14.17% on average per year.
- OWL is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 16.06% yearly.
EPS Next Y7.98%
EPS Next 2Y13.16%
EPS Next 3Y14.71%
EPS Next 5Y14.17%
Revenue Next Year22.62%
Revenue Next 2Y20.69%
Revenue Next 3Y18.96%
Revenue Next 5Y16.06%
3.3 Evolution
- Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
- Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 18.69 indicates a rather expensive valuation of OWL.
- OWL's Price/Earnings is on the same level as the industry average.
- OWL is valuated rather cheaply when we compare the Price/Earnings ratio to 27.21, which is the current average of the S&P500 Index.
- Based on the Price/Forward Earnings ratio of 15.36, the valuation of OWL can be described as correct.
- OWL's Price/Forward Earnings is on the same level as the industry average.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.98, OWL is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.69 | ||
| Fwd PE | 15.36 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, OWL is valued a bit cheaper than 65.40% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, OWL is valued a bit cheaper than 63.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.55 | ||
| EV/EBITDA | 31.62 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- A more expensive valuation may be justified as OWL's earnings are expected to grow with 14.71% in the coming years.
PEG (NY)2.34
PEG (5Y)0.7
EPS Next 2Y13.16%
EPS Next 3Y14.71%
5. Dividend
5.1 Amount
- OWL has a Yearly Dividend Yield of 5.74%, which is a nice return.
- OWL's Dividend Yield is a higher than the industry average which is at 5.87.
- OWL's Dividend Yield is rather good when compared to the S&P500 average which is at 1.81.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.74% |
5.2 History
- OWL has been paying a dividend for over 5 years, so it has already some track record.
- OWL has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
- 973.75% of the earnings are spent on dividend by OWL. This is not a sustainable payout ratio.
DP973.75%
EPS Next 2Y13.16%
EPS Next 3Y14.71%
BLUE OWL CAPITAL INC / OWL FAQ
What is the fundamental rating for OWL stock?
ChartMill assigns a fundamental rating of 4 / 10 to OWL.
Can you provide the valuation status for BLUE OWL CAPITAL INC?
ChartMill assigns a valuation rating of 4 / 10 to BLUE OWL CAPITAL INC (OWL). This can be considered as Fairly Valued.
Can you provide the profitability details for BLUE OWL CAPITAL INC?
BLUE OWL CAPITAL INC (OWL) has a profitability rating of 3 / 10.
What is the financial health of BLUE OWL CAPITAL INC (OWL) stock?
The financial health rating of BLUE OWL CAPITAL INC (OWL) is 2 / 10.
Can you provide the dividend sustainability for OWL stock?
The dividend rating of BLUE OWL CAPITAL INC (OWL) is 5 / 10 and the dividend payout ratio is 973.75%.