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Financial Review: GCM Grosvenor (NASDAQ:GCMGW) Versus Blue Owl Capital (NYSE:OWL)

Defense World ·  2023/04/03 02:03

GCM Grosvenor (NASDAQ:GCMGW – Get Rating) and Blue Owl Capital (NYSE:OWL – Get Rating) are both finance companies, but which is the better stock? We will contrast the two companies based on the strength of their dividends, earnings, analyst recommendations, profitability, institutional ownership, valuation and risk.

Dividends

GCM Grosvenor pays an annual dividend of $0.44 per share and has a dividend yield of 78.0%. Blue Owl Capital pays an annual dividend of $0.52 per share and has a dividend yield of 4.7%. Blue Owl Capital pays out -1,733.3% of its earnings in the form of a dividend.

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Insider and Institutional Ownership

29.7% of Blue Owl Capital shares are held by institutional investors. 31.2% of Blue Owl Capital shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Valuation & Earnings

This table compares GCM Grosvenor and Blue Owl Capital's revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
GCM Grosvenor $446.53 million N/A N/A N/A N/A
Blue Owl Capital $1.37 billion 11.38 -$9.29 million ($0.03) -369.33

GCM Grosvenor has higher earnings, but lower revenue than Blue Owl Capital.

Profitability

This table compares GCM Grosvenor and Blue Owl Capital's net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
GCM Grosvenor N/A N/A N/A
Blue Owl Capital -0.68% 13.14% 8.62%

Analyst Ratings

This is a breakdown of current recommendations for GCM Grosvenor and Blue Owl Capital, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
GCM Grosvenor 0 0 0 0 N/A
Blue Owl Capital 0 4 3 0 2.43

Blue Owl Capital has a consensus target price of $15.18, indicating a potential upside of 36.99%. Given Blue Owl Capital's higher probable upside, analysts clearly believe Blue Owl Capital is more favorable than GCM Grosvenor.

Summary

Blue Owl Capital beats GCM Grosvenor on 8 of the 10 factors compared between the two stocks.

About Blue Owl Capital

(Get Rating)

Blue Owl Capital Inc. operates as an asset manager. It offers permanent capital base solutions that enables it to offer a holistic platform to middle market companies, large alternative asset managers, and corporate real estate owners and tenants. The company provides direct lending products that offer private credit products comprising diversified, technology, first lien, and opportunistic lending to middle-market companies; GP capital solutions products, which offers capital solutions, including GP minority equity investments, GP debt financing, and professional sports minority investments to large private capital managers; and real estate products that focuses on structuring sale-leaseback transactions, which includes triple net leases. It offers its solutions through permanent capital vehicles, as well as long-dated private funds. The company is headquartered in New York, New York.

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