Blue Owl Capital Q1 2026: Revenue Up 10% Despite 50% Stock Decline

Blue Owl Capital reported Q1 2026 earnings showing revenue of $753.8 million, up 10% year-over-year, and assets under management (AUM) of $314.9 billion, up 15% year-over-year, according to the company’s earnings release. The company’s stock has declined approximately 50% from its peak, yet the earnings report shows continued growth across core metrics.

Q1 2026 Earnings Performance

The company reported fee-related earnings of $393.6 million, up 14% year-over-year, with fee-related earnings (FRE) margins expanding to 58.4%. Distributable earnings per share reached $0.19, beating the consensus estimate of $0.18. The company added 33 new institutional clients in the quarter and deepened relationships with 14 existing clients.

Blue Owl disclosed $30 billion in undeployed cash and $29.9 billion in AUM that is committed but not yet paying fees. According to the company, once this committed capital is deployed, it will unlock approximately $349 million in additional annualized management fees.

The company raised $57 billion in the last 12 months, described as the company’s second-best fundraising year on record.

Meta Data Center Deal

In late 2025, Blue Owl financed a $29 billion infrastructure deal for Meta to build a 5-gigawatt, 2,250-acre AI data center in Louisiana (Hyperion), scaling to 4 million square feet of buildings through 2030. According to the source, this is the largest private capital deal on record. Blue Owl’s funds own 80% of the joint venture, while Meta retains 20% and handles construction.

Digital Infrastructure and Real Assets Growth

Blue Owl’s digital infrastructure pipeline exceeds $100 billion, representing only 6% of current AUM. The company also closed a $12 billion deal financing Amazon data center infrastructure.

Real assets AUM reached $85 billion in Q1 2026, up 27% year-over-year, with net lease AUM up 38%. Management is guiding for mid-single-digit quarterly growth in real assets revenue as data center projects reach completion and begin generating fees.

SpaceX Investment

Blue Owl invested $27 million in SpaceX in 2021 as a loan, which later converted to an equity stake. In May 2026, the company sold approximately half of its SpaceX position at a $1.25 trillion valuation, realizing approximately a 10x return. Blue Owl retains the other half of its SpaceX position.

Company Leadership and Background

Doug Ostrover co-founded GSO Capital Partners, which became Blackstone Credit, one of the largest credit platforms. Marc Lipschultz spent over two decades at Kohlberg Kravis Roberts (KKR) & Co. as Global Head of Energy and Infrastructure.

Market Context

Private credit accounts for less than 25% of the overall leveraged credit market, according to the source, with three quarters of the market not yet shifted to private credit vehicles. The company raised $57 billion during what is described as the worst sentiment environment private credit has seen in a decade.