Morgan Stanley Maintains Bullish Stance on Apollo Global Management (APO) Stock

Core Viewpoint - Apollo Global Management, Inc. (NYSE:APO) is considered one of the most undervalued stocks currently, with a bullish rating maintained by Morgan Stanley analyst Michael Cyprys, who anticipates growth acceleration in the coming years [1][2]. Group 1: Growth Potential - The company is expected to achieve approximately 10% annual growth in spread-related earnings (SRE) through 2029, driven by structural dynamics such as an aging population increasing demand for retirement products [2]. - The retirement services business, Athene, is highlighted as a key growth driver, with expectations of generating around $880 million in spread-related earnings in Q4 2025 [3]. Group 2: Capital Generation - Apollo Global Management, Inc. has a strong capital generation capability, with $9 billion of deployable capacity, which includes $3 billion of excess equity, $3 billion in undrawn ADIP capital, and approximately $3 billion of untapped leverage [3]. Group 3: Competitive Advantages - Athene's competitive advantages include origination scale, operating efficiency, and credit selection, which are expected to support its growth trajectory [2].