Blue Owl Capital Inc. (NYSE:OWL) shares are dropping Thursday after reports that Oracle sent the company a “force majeure” notice tied to a large data center project in New Mexico. Here’s what you should know.
- Blue Owl Capital stock is showing notable weakness. Why are OWL shares down?
Oracle Sends Blue Owl a Force Majeure Notice Over Project Jupiter
Reuters, relaying Bloomberg reporting, said that Oracle Corp. (NYSE:ORCL) notified Blue Owl of a force majeure claim tied to Project Jupiter, a sprawling New Mexico data center build where Blue Owl holds both debt and equity stakes, according to people familiar with the matter.
Per that reporting, Oracle’s goal isn’t to walk away as Project Jupiter’s anchor tenant but rather to buy itself room to push back payments if the facility misses its planned 2028 completion. Force majeure clauses generally give companies an escape hatch from contract obligations when circumstances outside their control get in the way. Both Oracle and Blue Owl stayed quiet when reporters sought comment.
Blue Owl’s Chart Shows a Stock Deep in Oversold Territory
The technical picture here still skews bearish looking further out, with shares running 14.3% under the 20-day average, nearly 15% beneath the 50-day mark, and over 17% below the 200-day line. That stacking, where each shorter average sits beneath the next longer one, points to a pattern of failed bounces and a downtrend that hasn’t broken yet.
Where things get more interesting is momentum: RSI has dropped to 26.82, firmly in oversold territory, hinting that selling pressure has stretched further than usual and could set up a quick bounce even without a real trend change.
On the charts, $10.50 stands out as resistance, roughly matching the 20-day exponential average around $10.45, a zone where past recoveries have run out of steam. Below current levels, $8.50 marks support, sitting above the 52-week low near $7.95, a spot where buyers have previously tried to prevent further downside.
OWL Shares Are Sliding
OWL Price Action: Blue Owl Capital shares were down 4.69% at $9.15 at the time of publication on Thursday, according to Benzinga Pro data.
Image: T. Schneider/Shutterstock
Login to comment