How Does This Asset Manager Earn?
Apollo Global Management is an alternative asset manager focused on managing capital for clients across private markets. The firm earns revenue primarily from investment-
Are Margins and Returns Holding Up?
FundamentalsFor 2025, reported in USD, revenue was about USD 3.8 billion and net income was roughly USD 5.4 billion. Revenue grew 33.2% versus the prior annual period, while trailing profitability metrics show a 26.51% operating margin and a 12.16% net profit margin.
Balance-sheet cash was around USD 3.7 billion at year-end, and depreciation and amortization totaled about USD 1.4 billion. Trailing ROE was 16.67%, and the stock’s beta of about 1.50 indicates meaningful share-price sensitivity.
Is The Market Underpricing Its Earnings Base?
DCF / MultiplesAt a current price of USD 104.28, the DCF analysis indicates a fair value range well above the market level, spanning weaker through stronger scenarios. On headline multiples, the stock trades at about 17.27x trailing earnings and 6.21x EV/EBITDA.
Durability With Execution Risk
TakeawayThe valuation work prices in a more durable earnings base. That durability likely depends on keeping fee income and performance income resilient. The recent growth rate helps, but it may not be repeatable. A more volatile earnings mix could pressure confidence quickly. Overall, the setup looks favorable, but not without execution risk.