OTF vs OBDC

For growth investors, Blue Owl Technology Finance Corp.

(OTF) is the stronger pick with 99. 8% revenue growth year-over-year, versus 52. 6% for Blue Owl Capital Corporation (OBDC). Blue Owl Technology Finance Corp. (OTF) offers the better valuation at 6. 7x trailing P/E (9. 1x forward), making it the more compelling value choice. Analysts rate Blue Owl Technology Finance Corp. (OTF) a "Buy" — based on 4 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Blue Owl Technology Finance Corp.

(OTF) is the cheapest at 6. 7x versus Blue Owl Capital Corporation at 9. 5x. On forward P/E, Blue Owl Capital Corporation is actually cheaper at 8. 6x — notably different from the trailing picture, reflecting expected earnings growth. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Blue Owl Technology Finance Corp. wins at 0. 39x versus Blue Owl Capital Corporation's 1. 95x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.

Over the past 5 years, Blue Owl Capital Corporation (OBDC) delivered a total return of +36.

4%, compared to -19. 8% for Blue Owl Technology Finance Corp. (OTF). Over 10 years, the gap is even starker: OBDC returned +43. 4% versus OTF's -19. 8%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Blue Owl Technology Finance Corp.

(OTF) is the lower-risk stock at 0. 72β versus Blue Owl Capital Corporation's 0. 84β — meaning OBDC is approximately 16% more volatile than OTF relative to the S&P 500. On balance sheet safety, Blue Owl Technology Finance Corp. (OTF) carries a lower debt/equity ratio of 78% versus 126% for Blue Owl Capital Corporation — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Blue Owl Technology Finance Corp.

(OTF) is pulling ahead at 99. 8% versus 52. 6% for Blue Owl Capital Corporation (OBDC). On earnings-per-share growth, the picture is similar: Blue Owl Technology Finance Corp. grew EPS 15. 8% year-over-year, compared to -19. 0% for Blue Owl Capital Corporation. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Blue Owl Technology Finance Corp.

(OTF) is the more profitable company, earning 67. 1% net margin versus 37. 4% for Blue Owl Capital Corporation — meaning it keeps 67. 1% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: OBDC leads at 73. 2% versus 67. 9% for OTF. At the gross margin level — before operating expenses — OBDC leads at 75. 3%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Blue Owl Technology Finance Corp. (OTF) is the more undervalued stock at a PEG of 0. 39x versus Blue Owl Capital Corporation's 1. 95x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, Blue Owl Capital Corporation (OBDC) trades at 8. 6x forward P/E versus 9. 1x for Blue Owl Technology Finance Corp. — 0. 5x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for OTF: 36. 4% to $16. 00.

All stocks in this comparison pay dividends.

Blue Owl Capital Corporation (OBDC) offers the highest yield at 12. 6%, versus 8. 2% for Blue Owl Technology Finance Corp. (OTF).

For long-horizon retirement investors, Blue Owl Technology Finance Corp.

(OTF) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 72), 8. 2% yield). Both have compounded well over 10 years (OTF: -19. 8%, OBDC: +43. 4%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Financial Services sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.