June 26, 2023 – Stonnington Group LLC, an investment management firm, has recently disclosed in a document filed with the Securities and Exchange Commission (SEC) their acquisition of a greater portion of Apollo Global Management’s shares. According to the said report, Stonnington increased their stake in Apollo Global Management by approximately a fifth or 22.2% during the first quarter of this year. The firm had bought around 1,500 additional shares of Apollo Global Management Inc. that boosted its holdings to about 8,250 shares or $535,000 in value as of the latest reporting period.
Apollo Global Management is a well-known global alternative investment manager company that pursues various asset classes like credit investments and private equity funds. On April 19th, an insider named Joshua Harris reportedly sold off almost two hundred thousand shares worth more than $12 million at an average rate of $65.65 each share transaction. After selling these shares, Harris still possesses over thirty-six million shares valued at around $2.3 billion according to legal filings made available on SEC’s website.
It should be noted that during the last quarter alone, insiders had already disposed over two million shares worth approximately $134 million collectively from within the same company holding. Company insiders still hold about fifteen percent or more significant portions of Apollo Global Management’s stock.
On June 24th, NYSE APO opened at $73 per share after showing a range of values between its one year low price mark of about $45 through to its high price point of roughly $78 per share over that same period thus far. The fifty-day moving average stands at around $66 while it rose to approximately $66.29 per share when considering the two hundred-day moving average rate.
The firm employs a diverse strategy throughout multiple asset classes globally and boasts a remarkable M&A history spanning from leading healthcare providers like LifePoint Health and RCCH Healthcare Partners to acquiring prominent real estate management businesses such as Century Communities and Redwood Capital Group. Apollo Global Management has established itself as one of the top alternative investment management companies worldwide, with a substantial market capitalization of approximately $41 billion. Its ability to finance strategic plays, establish partnerships with companies across various sectors, and generate notable returns for its clients makes it an ever-growing industry powerhouse moving forward.
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Apollo Global Management Poised for Growth Despite Lowered Q1 EPS and Mixed Analyst Reports
[stock_market_widget type=”chart” template=”basic” color=”#3946CE” assets=”APO” range=”1mo” interval=”1d” axes=”true” cursor=”true” range_selector=”true” api=”yf”]Apollo Global Management saw a range of activity from institutional investors in Q1 2023. Raymond James Financial Services Advisors boosted its stake by over 30%, while National Bank of Canada FI increased its stake by 1%. Baker Tilly Wealth Management and Tealwood Asset Management both also made slight gains. However, Vontobel Holding increased its holdings by a staggering 100%. The company saw mixed reports from equities analysts, with four rating it a hold and seven recommending a buy. The company’s insider Joshua Harris sold over $12m worth of shares. Apollo recently reported earnings per share lower than expected at $1.26, compared to the consensus forecast of $1.39 for Q1 2018. Despite this, the firm expects to post an EPS of $6.09 for the year as a whole. Apollo announced plans to increase dividends by nearly 8% to $0.43 per share in May and on June 30th paid said dividend to investors who held stocks on May 22nd.
Apollo has been expanding rapidly in recent years through acquisitions such as that of alternative credit manager Ares Capital Management in early June this year and LEAP Australia Pty Ltd, which creates software for investment research and management systems, in March this year among others.
The financial services provider seems poised for further growth in the coming months with new strategies brought about by these acquisitions and expansion efforts into different areas within the investment industry. Its reputation as a leader in private equity investing across various sectors is well-established and will continue to influence investor decisions positively.
As with any investments or acquisitions however, there are inherent risks involved such as external conditions and market volatility which could impact performance or deal making ability for companies like Apollo over time.
That being said, given its efforts toward expansion as well as strong past performance reports from institutional stakeholders coupled with solid dividends outlooks indicate minimal drawbacks thus creating ample reasons why potential investors might consider investing in the firm.
