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1. Company Snapshot

1.a. Company Description

Apollo Global Management, Inc.is a private equity firm specializing in investments in credit, private equity and real estate markets.The firm's private equity investments include traditional buyouts, recapitalization, distressed buyouts and debt investments in real estate, corporate partner buyouts, distressed asset, corporate carve-outs, middle market, growth capital, turnaround, bridge, corporate restructuring, special situation, acquisition, and industry consolidation transactions.


The firm provides its services to endowment and sovereign wealth funds, as well as other institutional and individual investors.It manages client focused portfolios.The firm launches and manages hedge funds for its clients.


It also manages real estate funds and private equity funds for its clients.The firm invests in the fixed income and alternative investment markets across the globe.Its fixed income investments include income-oriented senior loans, bonds, collateralized loan obligations, structured credit, opportunistic credit, non-performing loans, distressed debt, mezzanine debt, and value oriented fixed income securities.


The firm seeks to invest in chemicals, commodities, consumer and retail, oil and gas, metals, mining, agriculture, commodities, distribution and transportation, financial and business services, manufacturing and industrial, media distribution, cable, entertainment and leisure, telecom, technology, natural resources, energy, packaging and materials, and satellite and wireless industries.It seeks to invest in companies based in across Africa, North America with a focus on United States, and Europe.The firm also makes investments outside North America, primarily in Western Europe and Asia.


It employs a combination of contrarian, value, and distressed strategies to make its investments.The firm seeks to make investments in the range of $10 million and $1500 million.The firm seeks to invest in companies with Enterprise value between $750 million to $2500 million.


The firm conducts an in-house research to create its investment portfolio.It seeks to acquire minority and majority positions in its portfolio companies.Apollo Global Management, Inc.


was founded in 1990 and is headquartered in New York, New York with additional offices in North America, Asia and Europe.

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1.b. Last Insights on APO

Breaking News: Apollo Global Management Inc is set to report Q4 results with earnings expected to decline year over year. Higher expenses are likely to offset AUM growth. An investigation by Pomerantz Law Firm on behalf of investors is also underway. In comparison, Carlyle Group Inc reported strong Q4 results, beating market expectations. Apollo's high yields of 11-13% may be getting too cheap, making it a potential buying opportunity. Recommendation to buy is given by some analysts.

1.c. Company Highlights

2. Apollo Global Management's Strong Q4 2025 Earnings

Apollo Global Management reported an exceptional year with record combined fee-related earnings and spread-related earnings of $5.9 billion, driving adjusted net income of $5.2 billion, up 14% year over year. The company's EPS came out at $2.47, beating analyst estimates of $2.04. Revenue growth is expected to continue, with analysts estimating a 15.5% increase next year.

Publication Date: Feb -10

📋 Highlights
  • Record 2025 Earnings: Apollo achieved $5.9B combined fee/spread-related earnings, driving $5.2B adjusted net income (+14% YoY).
  • 2026 Growth Outlook: Asset Management FRE growth targeted at 20%+; Retirement Services expects $85B inflows, including $5B from new markets.
  • Origination Scale: 2025 origination volumes reached $305B, with spreads of 290 bps over treasuries (IG: 220 bps; sub-IG: 200 bps over corporates).
  • Retirement Demand: Organic inflows rose to $182B in 2025, fueled by diversified demand sources like 401(k)s and wealth strategies (+50% YoY global wealth fundraising).
  • Strategic Positioning: ARI transaction to add 50-75 bps of spread; $9B commercial mortgage acquisition targets durable SRE growth and 10%+ average SRE growth through 2029.

Financial Performance

The company's strong financial performance was driven by broad-based strength across its business, with origination record volume exceeding $300 billion and capital formation setting a record with $228 billion in inflows. Apollo's asset management segment generated 25% year-over-year growth in AUM and fee-generating AUM, driving record fee-related earnings of $2.5 billion in 2025.

Valuation Metrics

To understand what's priced into Apollo's stock, we can look at its valuation metrics. The company's P/E Ratio is 18.65, P/B Ratio is 3.41, and P/S Ratio is 2.83. Additionally, the EV/EBITDA ratio is 8.64, indicating a reasonable valuation. The ROE is 21.78%, indicating strong profitability. With a Dividend Yield of 1.49% and Free Cash Flow Yield of 3.31%, Apollo offers a relatively attractive return to investors.

Business Outlook

Looking ahead to 2026, Apollo expects 20% plus FRE growth in Asset Management, driven by continued demand for retirement income and the global retirement crisis. The company's Retirement Services segment expects approximately $85 billion in inflows, with more than $5 billion coming from a new market. As Marc Rowan emphasized, Apollo's business is well-positioned to meet the growing demand for long-term security, with a strong earnings flywheel and sustained execution against its long-term strategy.

Growth Drivers

Apollo's growth is driven by its origination capabilities, balance sheet, and global wealth business. The company's origination volumes totaled $305 billion in 2025, with $282 billion in debt, comprised of 80% IG with an average rating of single A and 20% sub-investment grade rating with a rating of single B. The global wealth business had an excellent year, with fundraising totaling $18 billion, up nearly 50% year over year.

3. NewsRoom

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Apollo Global Management, Inc. (APO) Presents at UBS Financial Services Conference 2026 Transcript

Feb -10

Source: seekingalpha.com

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Apollo Names Diego De Giorgi as Incoming Head of EMEA

Feb -10

Source: globenewswire.com

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Clear Channel Outdoor Holdings, Inc. Agrees to be Acquired by Mubadala Capital, in Partnership with TWG Global, for $6.2 Billion

Feb -09

Source: prnewswire.com

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Why BDC Dividend Cuts Aren't The Red Flag Investors Think

Feb -09

Source: seekingalpha.com

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Apollo Global Stock Up as Q4 Earnings Top Estimates, AUM Increases Y/Y

Feb -09

Source: zacks.com

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Apollo Global Management, Inc. (APO) Q4 2025 Earnings Call Transcript

Feb -09

Source: seekingalpha.com

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Apollo Global Sets the Pace with Record Growth, Surging Fee Income

Feb -09

Source: feeds.benzinga.com

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Apollo Global Management (APO) Reports Q4 Earnings: What Key Metrics Have to Say

Feb -09

Source: zacks.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (8.69%)

6. Segments

Retirement Services

Expected Growth: 8.5%

Apollo Global Management's Retirement Services growth of 8.5% is driven by increasing demand for alternative investment solutions, regulatory changes, and a rising need for retirement planning. The segment's expansion is also fueled by Apollo's expertise in private equity, real estate, and credit, which attracts institutional investors seeking diversified portfolios.

Asset Management

Expected Growth: 9.2%

Apollo Global Management's asset management growth of 9.2% is driven by strong performance in private equity, credit, and real estate investments. The firm's AUM growth, strategic acquisitions, and opportunistic investments in high-growth sectors have contributed to this expansion. Additionally, Apollo's diversified business model and expertise in alternative investments have enabled it to capitalize on market opportunities, driving growth.

Principal Investing

Expected Growth: 10.1%

Apollo Global Management's Principal Investing growth of 10.1% is driven by strong realizations from its private equity portfolio, strategic investments in high-growth sectors, and disciplined capital allocation. The segment's performance is also supported by favorable market conditions and effective asset management strategies.

7. Detailed Products

Private Equity

Apollo Global Management's private equity segment focuses on investing in and acquiring companies across various industries, with the goal of generating returns through strategic operational improvements and financial leverage.

Credit

Apollo's credit segment provides financing solutions to companies, including loans, bonds, and other debt instruments, to help them achieve their business objectives.

Real Assets

Apollo's real assets segment invests in and manages physical assets such as real estate, infrastructure, and natural resources, generating returns through rental income, capital appreciation, and other means.

Asset Management

Apollo's asset management segment provides investment management services to institutional clients, including pension funds, endowments, and sovereign wealth funds, across various asset classes.

8. Apollo Global Management, Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Apollo Global Management, Inc. operates in a highly competitive industry, but the threat of substitutes is moderate due to the specialized nature of its services.

Bargaining Power Of Customers

Apollo Global Management, Inc.'s customers have limited bargaining power due to the company's strong brand reputation and diversified client base.

Bargaining Power Of Suppliers

Apollo Global Management, Inc. has a moderate level of dependence on its suppliers, but the company's scale and diversification mitigate the bargaining power of its suppliers.

Threat Of New Entrants

The private equity industry is highly competitive, and new entrants can easily enter the market, posing a significant threat to Apollo Global Management, Inc.'s market share.

Intensity Of Rivalry

The private equity industry is highly competitive, and Apollo Global Management, Inc. faces intense rivalry from established players, which can lead to pricing pressure and reduced market share.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 36.56%
Debt Cost 3.95%
Equity Weight 63.44%
Equity Cost 12.03%
WACC 9.07%
Leverage 57.62%

11. Quality Control: Apollo Global Management, Inc. passed 4 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

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PNC Financial Services Group

A-Score: 6.5/10

Value: 5.7

Growth: 6.0

Quality: 6.7

Yield: 7.0

Momentum: 4.0

Volatility: 9.3

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M&T Bank

A-Score: 6.2/10

Value: 6.5

Growth: 5.6

Quality: 6.8

Yield: 6.0

Momentum: 3.5

Volatility: 8.7

1-Year Total Return ->

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Wells Fargo

A-Score: 6.1/10

Value: 5.6

Growth: 5.1

Quality: 5.7

Yield: 4.0

Momentum: 8.0

Volatility: 8.0

1-Year Total Return ->

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Prudential Financial

A-Score: 6.0/10

Value: 7.0

Growth: 3.4

Quality: 5.3

Yield: 8.0

Momentum: 3.0

Volatility: 9.0

1-Year Total Return ->

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Truist

A-Score: 5.7/10

Value: 4.7

Growth: 2.8

Quality: 5.7

Yield: 8.0

Momentum: 5.0

Volatility: 8.0

1-Year Total Return ->

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Apollo Global

A-Score: 5.2/10

Value: 3.4

Growth: 7.4

Quality: 8.2

Yield: 3.0

Momentum: 3.5

Volatility: 5.7

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

132.43$

Current Price

132.43$

Potential

-0.00%

Expected Cash-Flows