Apollo's Fee Related Earnings Growth Sets It Apart in Alternative Assets, Says Goldman Sachs With Bullish EPS Forecast

Apollo Global Management, Inc. (NYSE:APO) shares are trading higher after the company reported better-than-expected third-quarter results.

The company reported adjusted EPS of $1.85, exceeding the $1.72 estimate, and sales totaled $7.773 billion, surpassing the forecast of $4.131 billion.

Goldman Sachs analyst Alexander Blostein maintained a Buy rating on the stock.  

The analyst writes that they are optimistic about the near-term Spread Related Earnings (SRE) dynamics, which indicate a more favorable position heading into the end of the year than investors had anticipated.

The analyst notes that APO’s Fee Related Earnings (FRE) growth trajectory remains on track and stands out compared to its peers in the Alternative Asset Management sector.

The analyst estimates EPS of $7.10 for FY24, $8.56 for FY25 and $10.24 for FY26.

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