Apollo Global Management Inc. (NYSE:APO) Receives Consensus Rating of "Moderate Buy" from Analysts

Key Points

• Analysts maintain a “Moderate Buy” consensus: Of 17 analysts covering Apollo Global Management, 12 recommend buying, four rate it a hold and one gives a strong-buy rating. The average 12-month price target is $149.08, above the stock’s reported $119.94 opening price.
• Recent results were mixed: Apollo reported quarterly EPS of $1.94, exceeding the $1.89 consensus estimate, while revenue of $5.06 billion fell short of expectations and declined 8.8% year over year. The company raised its quarterly dividend to $0.5625 per share, equivalent to a 1.9% annualized yield.
• Growth opportunities face valuation and risk concerns: Apollo is reportedly considering a roughly $1.5 billion investment in an offshore-energy asset fund with Keppel, but investors also face elevated valuation, bond-market volatility, cautious earnings expectations and legal or reputational risks.

Shares of Apollo Global Management Inc. (NYSE:APO - Get Free Report) have been given an average rating of "Moderate Buy" by the seventeen ratings firms that are currently covering the firm, Marketbeat.com reports. Four investment analysts have rated the stock with a hold recommendation, twelve have assigned a buy recommendation and one has issued a strong buy recommendation on the company. The average twelve-month target price among brokerages that have issued a report on the stock in the last year is $149.0769.

A number of analysts have recently weighed in on the company. UBS Group increased their price target on Apollo Global Management from $138.00 to $158.00 and gave the stock a "buy" rating in a research report on Friday, May 8th. Wall Street Zen downgraded Apollo Global Management from a "sell" rating to a "strong sell" rating in a research note on Saturday, July 25th. Keefe, Bruyette & Woods raised Apollo Global Management to a "hold" rating in a research report on Monday, July 20th. Deutsche Bank Aktiengesellschaft reiterated a "buy" rating on shares of Apollo Global Management in a research note on Thursday, May 7th. Finally, TD Cowen lowered their price target on shares of Apollo Global Management from $155.00 to $146.00 and set a "buy" rating for the company in a research report on Monday, May 18th.

Insider Buying and Selling

In other Apollo Global Management news, insider John P. Zito sold 48,644 shares of the firm's stock in a transaction that occurred on Wednesday, May 27th. The shares were sold at an average price of $130.66, for a total value of $6,355,825.04. Following the sale, the insider owned 3,063,696 shares in the company, valued at approximately $400,302,519.36. This trade represents a 1.56% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Company insiders own 8.30% of the company's stock.

Hedge Funds Weigh In On Apollo Global Management

Several hedge funds and other institutional investors have recently made changes to their positions in the business. Kohmann Bosshard Financial Services LLC acquired a new stake in Apollo Global Management in the 4th quarter valued at approximately $29,000. MBM Wealth Consultants LLC acquired a new position in Apollo Global Management during the 1st quarter worth $29,000. Steigerwald Gordon & Koch Inc. boosted its position in Apollo Global Management by 484.1% during the 1st quarter. Steigerwald Gordon & Koch Inc. now owns 257 shares of the financial services provider's stock worth $29,000 after acquiring an additional 213 shares during the period. Osbon Capital Management LLC bought a new position in shares of Apollo Global Management in the fourth quarter worth $36,000. Finally, Physician Wealth Advisors Inc. grew its stake in shares of Apollo Global Management by 57.8% in the fourth quarter. Physician Wealth Advisors Inc. now owns 262 shares of the financial services provider's stock worth $38,000 after purchasing an additional 96 shares in the last quarter. 77.06% of the stock is currently owned by institutional investors and hedge funds.

Key Stories Impacting Apollo Global Management

Here are the key news stories impacting Apollo Global Management this week:

• Positive Sentiment: Expansion into offshore energy: Apollo and Singapore’s Keppel plan to invest in a new offshore-energy asset fund, with reports indicating Apollo could commit approximately $1.5 billion. The initiative may help Apollo deploy permanent capital, diversify fee-generating assets and benefit from demand for energy infrastructure. Apollo and Singapore’s Keppel to Invest in New Offshore Energy Asset Fund
• Positive Sentiment: Potential asset monetization: Keppel is reportedly selling six legacy drilling rigs for $928 million, a transaction that could provide greater clarity on asset values and support the broader offshore-energy strategy involving Apollo. Keppel to Divest Six Legacy Drilling Rigs for $928 Million
• Neutral Sentiment: Valuation debate: Recent analysis questions whether APO is undervalued or already fully priced, suggesting investors are balancing Apollo’s growth opportunities against its elevated valuation and execution risks. Is Apollo Global Management Undervalued or Overpriced Today?
• Neutral Sentiment: Macro-market concerns: Apollo chief economist Torsten Slok said reduced Federal Reserve communication is contributing to a “yo-yo” bond market. Greater rate and fixed-income volatility can affect asset valuations, fundraising and investment activity across Apollo’s platform. Apollo’s Slok Says Fed’s New Silence Fuels ‘Yo-Yo’ Bond Market
• Negative Sentiment: Upcoming earnings caution: Zacks said Apollo does not currently show the combination of factors that typically supports a likely earnings beat, tempering expectations ahead of its next report. Apollo Reports Next Week: Wall Street Expects Earnings Growth
• Negative Sentiment: Reputational and legal risk: A Mississippi pension fund sued Apollo, alleging the firm downplayed ties to Jeffrey Epstein. The allegations could create legal costs, reputational damage and additional scrutiny of Apollo’s governance and disclosures. Mississippi Pension Fund Sues Apollo Global Management Over Downplayed Epstein Ties

Apollo Global Management Stock Down 3.8%

APO stock opened at $119.94 on Thursday. The firm has a market cap of $69.15 billion, a price-to-earnings ratio of 76.39, a PEG ratio of 1.09 and a beta of 1.50. Apollo Global Management has a 1-year low of $99.56 and a 1-year high of $153.29. The firm has a fifty day moving average price of $125.60 and a two-hundred day moving average price of $123.43. The company has a debt-to-equity ratio of 0.45, a current ratio of 1.73 and a quick ratio of 1.73.

Apollo Global Management (NYSE:APO - Get Free Report) last posted its quarterly earnings results on Wednesday, May 6th. The financial services provider reported $1.94 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.89 by $0.05. Apollo Global Management had a net margin of 3.62% and a return on equity of 14.43%. The company had revenue of $5.06 billion for the quarter, compared to the consensus estimate of $5.19 billion. During the same period last year, the firm posted $1.82 EPS. The company's revenue for the quarter was down 8.8% on a year-over-year basis. Research analysts predict that Apollo Global Management will post 8.19 EPS for the current year.

Apollo Global Management Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, May 29th. Shareholders of record on Tuesday, May 19th were paid a dividend of $0.5625 per share. This represents a $2.25 dividend on an annualized basis and a yield of 1.9%. The ex-dividend date of this dividend was Tuesday, May 19th. This is a positive change from Apollo Global Management's previous quarterly dividend of $0.51. Apollo Global Management's dividend payout ratio (DPR) is presently 143.31%.

About Apollo Global Management

Apollo Global Management, Inc NYSE: APO is a global alternative investment manager that specializes in private equity, credit and real assets. The firm originates, invests in and manages a broad set of strategies across distressed and opportunistic credit, direct lending, structured credit, buyouts and real estate. Apollo provides investment management and advisory services to institutional clients and individual investors through pooled funds, separate accounts and publicly listed investment vehicles.

Its private equity business pursues control and non-control investments across industries, often focusing on complex or distressed situations where operational improvement and capital solutions can create value.

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