Apollo Global Management

Methodology

Apollo Global Management's alternative asset management earnings depend on assets under management growth, fundraising success, and investment performance in private equity and credit. The company's fee-related earnings provide stability, while performance fees create volatility based on realized gains. This calculation requires distinguishing between recurring management fees and lumpy performance fees—normalized fee-related earnings provide more reliable baseline valuations than total earnings including carry.

Methodology

Apollo's PEG ratio can fluctuate significantly based on performance fee realizations and market perceptions of alternative asset growth runway. The company's expansion into insurance and wealth management channels provides growth beyond traditional institutional PE fundraising. Compare to other alternative asset managers like Blackstone and KKR to assess whether Apollo's insurance strategy and credit platform justify current multiples relative to peers.

Methodology

Apollo's dividend yield (typically 2.0-4.0%) can be substantial but variable depending on performance fee distributions and capital allocation decisions. The company's conversion to C-corp structure and focus on stable fee-related earnings has improved dividend predictability. PEGY is relevant for Apollo investors seeking total return from alternative asset management, though dividend composition between recurring fees and performance carry matters for sustainability assessment.