Apollo Global Management (APO) PT Raised to $125 at Citi
Citi analyst Chris Allen raised the price target on Apollo Global Management (NYSE: APO) to $125.00 (from $111.00) while maintaining a Buy rating.
The analyst comments "We are refreshing our APO estimates to reflect 4Q23 results and guidance for 2024. Our 2024 EPS move down slightly to $8.01 from $8.20, largely due to slightly higher tax-rate assumption. But we are raising our 2025 EPS to $9.42 to reflect slightly higher FRE/SRE estimates and adjusted share count expectations. We continue to like the growth story as we expect increasing origination (increased target to $200-250B over the next 5 yrs. vs. $100B in 2023) to help drive both FRE/SRE growth from here. We are now forecasting 15% FRE growth, at the low end of mgmt. guide of 15-20%. And for SRE, we are forecasting 11% growth on an adjusted basis, vs. mgmt. guidance of low double-digits. We would not be surprised to see our estimates prove conservative. We reiterate our Buy, and given our EPS revisions, we are raising our PT to $125, which implies 15% ETR currently."