BLUE OWL CAPITAL INC (OWL) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:OWL - US09581B1035 - Common Stock
14.545 USD
-0.06 (-0.44%)
Overall OWL gets a fundamental rating of 4 out of 10. We evaluated OWL against 237 industry peers in the Capital Markets industry. OWL may be in some trouble as it scores bad on both profitability and health. OWL is not priced too expensively while it is growing strongly. Keep and eye on this one!
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.
- The reported net income has been mixed in the past 5 years: OWL reported negative net income in multiple years.
- Each year in the past 5 years OWL had a positive operating cash flow.
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 has a Return On Equity of 2.26%. This is in the lower half of the industry: OWL underperforms 70.04% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 3.76%, OWL is in line with its industry, outperforming 53.16% of the companies in the same 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 last Return On Invested Capital (3.76%) for OWL is above the 3 year average (3.29%), which is a sign of increasing profitability.
| 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
- Looking at the Profit Margin, with a value of 1.89%, OWL is doing worse than 73.42% of the companies in the same industry.
- In the last couple of years the Profit Margin of OWL has declined.
- The Operating Margin of OWL (17.27%) is comparable to the rest of the industry.
- In the last couple of years the Operating Margin of OWL has grown nicely.
| 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.
- Compared to 1 year ago, OWL has a worse debt to assets ratio.
2.2 Solvency
- Based on the Altman-Z score of 1.49, we must say that OWL is in the distress zone and has some risk of bankruptcy.
- Looking at the Altman-Z score, with a value of 1.49, OWL is in the better half of the industry, outperforming 64.14% of the companies in the same industry.
- OWL has a debt to FCF ratio of 2.81. This is a good value and a sign of high solvency as OWL would need 2.81 years to pay back of all of its debts.
- OWL's Debt to FCF ratio of 2.81 is fine compared to the rest of the industry. OWL outperforms 79.75% of its industry peers.
- OWL has a Debt/Equity ratio of 1.41. This is a high value indicating a heavy dependency on external 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 | 1.49 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
- OWL has a Current 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.
- Looking at the Current ratio, with a value of 0.71, OWL is doing worse than 65.40% of the companies in the same industry.
- 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 has a Quick ratio of 0.71. This is in the lower half of the industry: OWL underperforms 64.98% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.71 | ||
| Quick Ratio | 0.71 |
3. Growth
3.1 Past
- OWL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 9.46%, which is quite good.
- OWL shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 26.74% yearly.
- 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.
- Based on estimates for the next years, OWL will show a quite strong growth in Revenue. The Revenue will grow by 16.06% on average per year.
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.
- The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
- OWL is valuated rather expensively with a Price/Earnings ratio of 17.96.
- Compared to the rest of the industry, the Price/Earnings ratio of OWL is on the same level as its industry peers.
- Compared to an average S&P500 Price/Earnings ratio of 27.25, OWL is valued a bit cheaper.
- OWL is valuated correctly with a Price/Forward Earnings ratio of 14.75.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of OWL is on the same level as its industry peers.
- The average S&P500 Price/Forward Earnings ratio is at 25.98. OWL is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.96 | ||
| Fwd PE | 14.75 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of OWL indicates a somewhat cheap valuation: OWL is cheaper than 65.40% of the companies listed in the same industry.
- Based on the Price/Free Cash Flow ratio, OWL is valued a bit cheaper than the industry average as 63.29% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.74 | ||
| EV/EBITDA | 30.64 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates OWL does not grow enough to justify the current Price/Earnings ratio.
- OWL's earnings are expected to grow with 14.71% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.25
PEG (5Y)0.67
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 1.82.
| 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
- OWL pays out 973.75% of its income as dividend. 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%.