Blue Owl Capital rides SpaceX success to record revenue growth in Q1
Blue Owl Capital, often called OWL, has seen a strong start to the year despite market fluctuations. The firm’s revenue and earnings grew in the first quarter, while its stock shows signs of recovery. A major investment in SpaceX has also boosted investor confidence in its private market strategy. In the first quarter, Blue Owl’s revenue reached about $754 million. Fee-related earnings rose by 14% compared to the same period last year, hitting nearly $394 million. Distributable earnings also climbed 11% year-over-year, reaching $0.19 per share.
The company’s stock performance has been mixed. While shares remain nearly 40% below their year-to-date peak, they have recently broken above both the 20-day and 50-day moving averages. This shift suggests growing bullish momentum among investors. OWL’s stake in SpaceX, now valued at $1.75 trillion, has played a key role in its success. The firm’s original investment in the aerospace company has delivered a tenfold return, reinforcing confidence in its private market approach. Analysts now see a potential 45% upside for the stock from its current price. Capital inflows have also remained strong. Over the past 12 months, Blue Owl raised $57 billion in client funds—the second-highest total in its history. This growth aligns with rising demand for digital infrastructure and triple-net lease investments, driven partly by Big Tech’s AI spending plans exceeding $700 billion annually.
Blue Owl’s first-quarter results highlight steady financial growth and investor interest. The firm’s SpaceX stake continues to support its valuation, while recent stock movement points to recovering confidence. With strong capital raises and a favourable market outlook, OWL’s position in private credit and infrastructure remains solid.
