10:58 AM EDT, 07/18/2025 (MT Newswires) -- Blue Owl Technology Finance ( OTF ) offers limited upside at current levels, with shares already pricing in much of the expected return profile, Oppenheimer said in a note Friday.

The firm expects Blue Owl to earn $1.38 and $1.51 per share in 2025 and 2026 respectively, translating to return on equity of 8.1% and 9%. To achieve 9% ROE, Blue Owl would need to increase both portfolio yield and leverage, Oppenheimer said.

The firm noted that shares may face technical pressure as lock-up periods expire for private investors following the company's June 2025 listing.

Oppenheimer said the stock has traded near fair value since listing, and the possibility of additional selling could weigh on sentiment, even as fundamentals remain stable.

Oppenheimer initiated its coverage of Blue Owl at a perform rating, with a price target of $16.

Price: 15.55, Change: -0.17, Percent Change: -1.08