Chad Rice 
Blue Owl Capital Corporation ended 2025 with a net asset value of $14.81 per share. By early March 2026, the stock was trading around $11.25 to $11.50, roughly 76 cents on the dollar relative to that stated book value (https://finance.yahoo.com/quote/OBDC/history/). For a BDC managing $16.5 billion in investments, that gap amounts to billions in market value that the stock price says doesn’t exist.
NAV discounts aren’t unusual in the BDC space. What makes this one worth examining is the quality of the signals sitting underneath the share price.
Credit Metrics Behind the Discount
OBDC’s fourth-quarter numbers didn’t look like a portfolio under strain. Non-accruals fell to 1.1% at fair value, improving from 1.3% the prior quarter. GAAP net investment income of $0.38 per share exceeded the $0.37 regular dividend. Portfolio company revenue grew 8% year over year, and EBITDA expanded 11% (https://www.prnewswire.com/news-releases/blue-owl-capital-corporation-announces-december-31-2025-financial-results-302692010.html).
Moody’s upgraded both OBDC and OCIC to Baa2 in January 2026, approximately six weeks before the stock hit its widest discount. The rating agency and the equity market arrived at opposite conclusions about the same portfolio during the same period.
Sector Repricing vs. Portfolio Reality
Bloomberg’s US Leveraged Loan Index fell 1.34% in February 2026, with software-linked loans leading the decline. PitchBook reported the software sub-index down more than 7% year-to-date by early March. The broader market was treating all private credit exposure, regardless of underlying quality, as though the sector’s weakest names defined its best ones.
Blue Owl Capital’s stock absorbed that same sector discount. But the firm’s portfolio was performing in a different direction: borrower revenue growing, EBITDA expanding, non-accruals declining, and institutional secondary buyers paying near-par for the underlying loans. Whether the market’s 24% to 28% discount reflects genuine risk or indiscriminate repricing is a question the underlying data makes hard to answer in the market’s favor.
