Blue Owl Technology Finance Corp. (OTF) AI Stock Analysis

• Market Cap: $6.30B
• Dividend Yield: 5.3%
• Average Volume (3M): 1.37M
• Price to Earnings (P/E): 7.7
• Beta (1Y): 0.76
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: N/A
• Sector: Technology
• Sector Strength: 88
• Industry: Asset Management
• EPS (TTM): 0.32
• Shares Outstanding: 468,089,400
• 10 Day Avg. Volume: 1,270,847
• 30 Day Avg. Volume: 1,368,993
• PEG Ratio: -0.70
• Price to Book (P/B): 0.96
• Price to Sales (P/S): 6.47
• P/FCF Ratio: 15.66
• Enterprise Value/Market Cap: 1.72
• Enterprise Value/Revenue: 11.95
• Enterprise Value/Gross Profit: 16.97
• Enterprise Value/Ebitda: 12.42
• 1Y Price Target: $15.78
• Price Target Upside: 19.00% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 9
• EPS Forecast (FY): 1.33
• Revenue Forecast (FY): $1.40B

• Rating: 73 Outperform
• Price Target: $15.50 ▲(16.89% Upside)

The score is driven primarily by strong current financial performance (high profitability and improved leverage) and attractive valuation (low P/E and high dividend yield). Offsetting this, technicals are currently soft (below key moving averages with slightly negative MACD), while corporate events are broadly positive due to refinancing and improved funding terms.

Positive Factors

High profitability and revenue momentum

Sustained high TTM profitability and solid top-line momentum imply strong underwriting economics and pricing power in the firm’s specialty lending niche. High margins support internal cash generation for reinvestment, dividend distribution and loss absorption, strengthening long-term earnings resilience.

Improved capital structure and leverage

A lower debt-to-equity ratio and materially larger equity base enhance balance-sheet flexibility versus prior periods. Reduced leverage lowers refinancing and covenant stress, improving capacity to originate loans and withstand asset volatility while maintaining a steady ~9% ROE profile over the medium term.

Proactive refinancing and extended funding

Issuance of long-dated unsecured notes and multiple facility amendments extend maturities and lower spreads, structurally improving the firm’s funding profile. These actions reduce near-term refinancing risk and lock in capacity for origination, supporting durable earnings and portfolio growth over coming years.

Negative Factors

Historic cash-flow volatility

Material multi-year swings in operating and free cash flow indicate timing and business-model sensitivities that impair predictability of distributable cash. Such variability complicates planning for dividends, buybacks and loss provisioning, raising execution risk during market stress or credit cycles.

High absolute debt burden

While leverage ratios improved, the large nominal debt stock increases exposure to rising funding costs and asset value deterioration. Significant outstanding obligations can constrain strategic flexibility, magnify covenant or liquidity risk, and heighten sensitivity to adverse credit or interest-rate scenarios.

Phased lift of transfer restrictions increasing share supply

Waiving lock-ups and permitting phased share releases over months raises the potential for increased share supply and elevated trading activity. Over the medium term this can pressure NAV per share and complicate capital allocation choices between repurchases and reinvestment, affecting long‑term shareholder returns.

Blue Owl Technology Finance Corp. Business Overview & Revenue Model

Company Description

Blue Owl Technology Finance Corp. is a business development company specializes in upper middle-market, making debt and equity investments such as senior secured or unsecured loans, subordinated loans or mezzanine loans and equity-related securities including common equity, warrants, preferred stock and similar forms of senior equity. The firm prefers to invest in technology-related and software companies. It primarily makes investments in the United States. Blue Owl Technology Finance Corp. is founded in 2018 and is based in New York, New York.

How the Company Makes Money

Blue Owl Technology Finance Corp. Financial Statement Overview

Summary

Strong TTM fundamentals with ~19% revenue growth and very high profitability (net margin ~68%), plus improved leverage metrics vs. 2024. The main drag is historical volatility in revenue and especially cash flow (including negative periods in 2021–2022), which reduces confidence in consistency despite the strong TTM snapshot.

Income Statement

TTM (Trailing-Twelve-Months) results show strong top-line momentum (revenue up ~19%) and very high profitability, with net income of ~$615M on ~$908M revenue (net margin ~68%). Margins are also higher than 2024, supporting an improving earnings profile. The main offset is volatility in the revenue trend historically (2024 revenue declined vs. 2023, and earlier years show large swings), which reduces confidence in consistency despite the current strength.

Balance Sheet

Leverage looks reasonable for the business profile: TTM (Trailing-Twelve-Months) debt-to-equity is ~0.62, improved from ~0.80 in 2024, and equity expanded meaningfully (to ~$8.1B). Return on equity is steady around ~9% (TTM and 2024), signaling consistent profitability on the capital base. The key watch-out is absolute debt is high and has risen (to ~$5.0B TTM), which can pressure flexibility if earnings or asset values weaken.

Cash Flow

TTM (Trailing-Twelve-Months) cash generation is solid with operating cash flow and free cash flow of ~$520M, and cash flow is comfortably above reported earnings (about 1.19x net income). However, cash flow has been historically volatile, including very large negative operating/free cash flow in 2021 and negative cash flow in 2022, which suggests timing or business-model-driven swings. While TTM shows strong improvement (free cash flow growth >150%), the multi-year variability keeps the score more moderate.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	908.05M	536.94M	587.43M	176.15M	537.05M	170.26M
Gross Profit	639.19M	353.46M	401.24M	49.98M	452.55M	136.07M
EBITDA	873.21M	514.17M	564.46M	153.04M	514.23M	156.31M
Net Income	615.25M	319.23M	369.14M	19.00M	424.81M	122.12M
Balance Sheet
Total Assets	13.40B	6.72B	6.65B	6.66B	6.29B	3.16B
Cash, Cash Equivalents and Short-Term Investments	397.13M	257.00M	469.02M	203.29M	107.03M	82.24M
Total Debt	4.97B	2.91B	2.95B	3.16B	2.64B	1.61B
Total Liabilities	5.35B	3.10B	3.12B	3.28B	2.76B	1.66B
Stockholders Equity	8.06B	3.63B	3.53B	3.39B	3.53B	1.50B
Cash Flow
Free Cash Flow	520.17M	221.80M	708.36M	-295.28M	-2.62B	58.45M
Operating Cash Flow	520.17M	221.80M	708.36M	-295.28M	-2.62B	58.45M
Investing Cash Flow	-67.68M	-157.65M	0.00	0.00	0.00	-1.51B
Financing Cash Flow	-241.83M	-276.17M	-442.63M	391.55M	2.64B	1.39B

Blue Owl Technology Finance Corp. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
OTF	73 Outperform	$6.30B	7.71	10.58%	5.30%	―	―
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
ASTI	48 Neutral	$29.26M	-1.44	-241.51%	―	36.85%	98.78%
UAVS	45 Neutral	$53.13M	-0.30	-110.92%	―	-6.34%	98.60%
SURG	44 Neutral	$29.99M	-0.59	-313.72%	―	-39.75%	-89.61%
PHUN	43 Neutral	$39.16M	-3.18	-18.69%	―	―	―

Blue Owl Technology Finance Corp. Corporate Events

Blue Owl Technology Finance Announces $400 Million Notes Issuance

On January 23, 2026, Blue Owl Technology Finance Corp. entered into a supplemental indenture with Deutsche Bank Trust Company Americas covering a new $400 million issuance of 6.125% unsecured notes due January 23, 2031, which pay interest semiannually starting July 23, 2026 and feature make-whole and par-call redemption options, as well as change-of-control repurchase protections tied to credit ratings. The transaction, which closed on January 23, 2026 following an underwriting agreement signed on January 20, 2026, is expected to be used primarily to pay down existing debt, including borrowings under the company’s senior secured revolving credit facility maturing in 2029, effectively refinancing a portion of its balance sheet while operating under indenture covenants linked to investment company leverage limits and ongoing financial disclosure obligations.

The most recent analyst rating on (OTF) stock is a Buy with a $17.00 price target. To see the full list of analyst forecasts on Blue Owl Technology Finance Corp. stock, see the OTF Stock Forecast page.

Blue Owl Technology Finance Completes Major CLO Refinancing

On December 16, 2025, Blue Owl Technology Finance Corp., through its consolidated subsidiary Athena CLO II, LLC, completed a $615.1 million term debt securitization refinancing via a collateralized loan obligation backed by middle market loans and related participation interests, with the new secured debt maturing on January 18, 2039. As part of the refinancing, the issuer placed multiple classes of floating-rate secured notes, borrowed $250 million under new Class A-LR loans, issued approximately $52.8 million of additional subordinated preferred shares all purchased by the company, and expanded the pool of collateral by selling and contributing about $217.963 million in additional middle market loans under an amended loan sale agreement, thereby reinforcing regulatory risk-retention requirements and providing long-dated, secured financing capacity for general corporate purposes while maintaining the adviser’s role as collateral manager under updated fee arrangements.

The most recent analyst rating on (OTF) stock is a Hold with a $15.00 price target. To see the full list of analyst forecasts on Blue Owl Technology Finance Corp. stock, see the OTF Stock Forecast page.

Blue Owl Technology Finance Amends and Extends Credit Facility

On December 17, 2025, Blue Owl Technology Finance Corp.’s subsidiary ORTF Funding I LLC amended its existing secured credit facility with Goldman Sachs Bank USA and other parties, extending the reinvestment period to November 16, 2028 and the scheduled maturity date to November 16, 2030, while also reducing the interest spread from 2.400% to 2.00%. These changes are expected to enhance the subsidiary’s funding flexibility and lower its borrowing costs, potentially improving the company’s competitive position in technology-focused lending and benefiting stakeholders through more efficient capital deployment over a longer horizon.

The most recent analyst rating on (OTF) stock is a Hold with a $15.00 price target. To see the full list of analyst forecasts on Blue Owl Technology Finance Corp. stock, see the OTF Stock Forecast page.

Blue Owl Technology Finance Expands Credit Agreement

On December 11, 2025, Athena Funding I LLC executed the Sixth Amendment to its Credit Agreement, originally dated July 15, 2022. This amendment increases the total commitment from $925 million to $1.1 billion, reduces the interest spread from 2.50% to 2.05%, and extends both the Reinvestment Period and the Stated Maturity by several years, potentially enhancing Athena Funding I’s financial flexibility and operational capacity.

The most recent analyst rating on (OTF) stock is a Buy with a $15.00 price target. To see the full list of analyst forecasts on Blue Owl Technology Finance Corp. stock, see the OTF Stock Forecast page.

Blue Owl Technology Sees Significant Insider Stock Purchases

In November, Blue Owl Technology Finance Corp. saw over $15 million in its common stock purchased by executives and employees of Blue Owl Capital Inc. or through its existing share repurchase program. This activity is part of OTF’s authorized plan to repurchase up to $200 million of its common stock, indicating strong internal confidence in the company’s value and potential positive implications for its market positioning.

The most recent analyst rating on (OTF) stock is a Hold with a $14.00 price target. To see the full list of analyst forecasts on Blue Owl Technology Finance Corp. stock, see the OTF Stock Forecast page.

Blue Owl Technology Finance Waives Stock Transfer Restrictions

On November 4, 2025, Blue Owl Technology Finance Corp.‘s board of directors waived transfer restrictions on its common stock, allowing phased releases of shares from lock-up periods starting November 13, 2025, through June 12, 2026. The company also announced its third-quarter financial results for 2025, highlighting a net investment income per share of $0.28 and an adjusted NII per share of $0.32. The net asset value per share increased to $17.27, driven by unrealized gains, and the company declared dividends for the fourth quarter. The board also approved an amended lock-up release schedule, releasing approximately 11% of shares subject to transfer restrictions each month, impacting shareholder liquidity and potentially enhancing market activity.

The most recent analyst rating on (OTF) stock is a Buy with a $17.00 price target. To see the full list of analyst forecasts on Blue Owl Technology Finance Corp. stock, see the OTF Stock Forecast page.

Blue Owl Technology Finance Amends Credit Facility Agreements

On October 30, 2025, Blue Owl Technology Finance Corp.‘s subsidiary, Athena Funding II LLC, entered into a significant amendment of its credit facility agreements, enhancing its financial structure. The amendments include a reduction in interest rates, an extension of the reinvestment period and maturity date, and an increase in the commitment amount, which is expected to strengthen the company’s financial operations and market positioning.

The most recent analyst rating on (OTF) stock is a Buy with a $15.00 price target. To see the full list of analyst forecasts on Blue Owl Technology Finance Corp. stock, see the OTF Stock Forecast page.