The group is generally down. I don't think it is anything specific to APO. Look at charts for APO, KKR, BX, and CG. They don't look all that different. Note the comment from Citi today: http://blogs.barrons.com/focusonfunds/2014/09/16/citigroup-alternatives-are-oversold/?mod=yahoobarrons&ru=yahoo
Of course - I this doesn't make watching it go down any less pleasant, and it is up to you to decide whether there is a future here. Personally, I am long and the dividends have helped ease the drop. I think this APO is well positioned and there are very good gains to be had over the next 24-36 months.
The good news keeps piling up. Sooner or later the market will catch on. The overall market seems to be going through a rolling correction. I'm not nearly ready to throw in the towel.
This story is on the Yahoo APO site as a Press Release from yesterday.
Found this story through my Quicken software. APO is the majority shareholder and the sale amounts to $26/share or $2.8 Billion cash. Story says closing should occur in 4th quarter of 2014.
Asset Sales + future IPOs + asset debt restructuring + euro assets appreciation
and not to mention we are "well positioned" for rising interest rates.
Looks good going forward. CZR chart overlaid on APO chart is painful, BUT
am of the opinion there will be a successful resolution... its what they do, right?
Would be nice to get share price off the floor...kinda crazy. IMHO $50 stock.
Maybe the gods will favor us...30 would be much better than this level. GLTA.
I believe its on the heals of an appeal by bondholders on the momentive situation and i just read that ceasars bondholders just filed a suit so there may be some hesitation.... though i dont consider it anything new, let the dip below the 52 week point spurn some opportunism.
"Prestige Cruises International Inc. in a deal valued at about $3.03 billion, gaining the owner of eight luxury vacation ships.
Norwegian will finance the purchase with cash, debt and about 20.3 million shares of common stock, according to a statement today. Those shares were valued at $670 million. Prestige is owned by private-equity firm Apollo Global Management LLC (APO), which also has a 20 percent stake in Norwegian."
WH IS THIS STOCK NOT SOARING?
Seekingalpha guy doesn't have any track record. I don't believe the do in-depth research. Just like you and me, they pick exiting info and try to make sense.
That is why they went public. They don't care about the stock. They get their (huge) compensation from AUM and carry. Beware when smart guys sell.
A little late with the downgrade, aren't they? The stock is down 30% for the year, and is flat over the past 12 months. Then again, maybe a "market perform" rating is an upgrade in that context. It's a funny business...
The comp is certainly something to watch. One caveat about comp this quarter is that they changed their Carry Plans (incentive comp) from cash-payout to equity with vesting for many of the senior PE guys and they restructured James Zelter's comp plan (head of Credit). In addition, they said that the comp ratio was high for the Q and that it would normalize. Your points are good though, these guys are definitely going to get theirs yet they should be given credit for building a promising business. I really believe they will be at 300bn in AUM in a few years and will get this stock up to the mid 40s. Thanks for the intelligent post.
They left enough on the table to pay this shareholder $4.25/share since last August so I'm not complaining. In my opinion the management is earning every dime they are paying themselves. As a matter of fact, I took advantage of the current weakness in PPS to add to my holdings.
they never do. I followed BX for yrs and in bad times and good, the partners did well, not so much the shareholders. It took BX 6 yrs to get back to their IPO price.