Apollo Global Management Rated Strong by Growth Investor Model

A recent report highlights Apollo Global Management's strong standing as it achieves a 69% rating on the Growth Investor strategy. Despite some shortcomings in sales and earnings persistence, the overall outlook remains solid, which could impact its stock performance positively.

Date: 05-10-2024

AI Rating: 5

Overview: According to the report, Apollo Global Management Inc. (APO) scores 69% using the Growth Investor model from Martin Zweig, suggesting decent potential for growth. A score above 80% typically indicates increasing interest in a stock, while 90% suggests strong backing from the model.

Revenue Growth: It is important to note that the report indicates Apollo has failed the sales growth rate criterion. This rating could weigh negatively on investor perceptions, especially if revenue growth is a critical component in valuation.

Earnings Per Share (EPS): The report highlights that Apollo has met the EPS growth criteria for the current quarter, indicating positive performance relative to the previous three quarters. However, there was a failure to meet the long-term EPS growth expectations, which may present concerns for long-term investors.

Other Metrics: The report shows that while Apollo has passed various tests regarding current quarter earnings, quarterly earnings from a year ago, positive earnings growth rates for the current quarter, and has even recorded insider transactions positively, there are several substantial flags raised. The earnings persistence metric fails, which could indicate volatility or inconsistency in maintaining earnings growth.

Given these mixed signals, investors may find themselves weighing short-term growth opportunities against the risk factors highlighted in the revenue and EPS metrics. Overall, while Apollo is highlighted positively according to some metrics, specific failures in critical areas could influence stock price negatively if the trends do not improve.

Stocks: APO