Assessing the Upcoming Dividend Payment and Company's Financial Health
Apollo Global Management Inc(APO, Financial) recently announced a dividend of $0.43 per share, payable on 2023-11-30, with the ex-dividend date set for 2023-11-16. As investors look forward to this upcoming payment, the spotlight also shines on the company's dividend history, yield, and growth rates. Using the data from GuruFocus, let's look into Apollo Global Management Inc's dividend performance and assess its sustainability.
What Does Apollo Global Management Inc Do?
Apollo Global Management Inc is an alternative investment manager. It serves various sectors such as chemicals, manufacturing and industrial, natural resources, consumer and retail, consumer services, business services, financial services, leisure, and media and telecom and technology. The company operates in three business segments that are Asset Management, Retirement Services, and Principal Investing. It generates maximum revenue from the Retirement Services segment.
A Glimpse at Apollo Global Management Inc's Dividend History
Apollo Global Management Inc has maintained a consistent dividend payment record since 2011. Dividends are currently distributed on a quarterly basis. Below is a chart showing annual Dividends Per Share for tracking historical trends.
Breaking Down Apollo Global Management Inc's Dividend Yield and Growth
As of today, Apollo Global Management Inc currently has a 12-month trailing dividend yield of 1.88% and a 12-month forward dividend yield of 1.95%. This suggests an expectation of increased dividend payments over the next 12 months.
Over the past three years, Apollo Global Management Inc's annual dividend growth rate was -7.50%. Extended to a five-year horizon, this rate increased to -1.00% per year. And over the past decade, Apollo Global Management Inc's annual dividends per share growth rate stands at an impressive 19.20%.
Based on Apollo Global Management Inc's dividend yield and five-year growth rate, the 5-year yield on cost of Apollo Global Management Inc stock as of today is approximately 1.79%.
The Sustainability Question: Payout Ratio and Profitability
To assess the sustainability of the dividend, one needs to evaluate the company's payout ratio. The dividend payout ratio provides insights into the portion of earnings the company distributes as dividends. A lower ratio suggests that the company retains a significant part of its earnings, thereby ensuring the availability of funds for future growth and unexpected downturns. As of 2023-09-30, Apollo Global Management Inc's dividend payout ratio is 0.63.
Apollo Global Management Inc's profitability rank, offers an understanding of the company's earnings prowess relative to its peers. GuruFocus ranks Apollo Global Management Inc's profitability 8 out of 10 as of 2023-09-30, suggesting good profitability prospects. The company has reported net profit in 8 years out of the past 10 years.
Growth Metrics: The Future Outlook
To ensure the sustainability of dividends, a company must have robust growth metrics. Apollo Global Management Inc's growth rank of 8 out of 10 suggests that the company's growth trajectory is good relative to its competitors.
Revenue is the lifeblood of any company, and Apollo Global Management Inc's revenue per share, combined with the 3-year revenue growth rate, indicates a strong revenue model. Apollo Global Management Inc's revenue has increased by approximately 10.10% per year on average, a rate that outperforms approximately 57.48% of global competitors.
Concluding Thoughts on Apollo Global Management Inc's Dividends
In conclusion, Apollo Global Management Inc's consistent dividend payments, coupled with a moderate dividend growth rate, payout ratio, and strong profitability and growth metrics, present an attractive profile for value investors focused on income generation. The company's ability to sustain and potentially grow its dividend distributions in the future is underpinned by its solid financial health and favorable market position. Investors seeking to enhance their portfolio with dividend-yielding stocks should consider the robust fundamentals of Apollo Global Management Inc. For more in-depth analysis and to discover other high-dividend yield opportunities, GuruFocus Premium users can utilize the High Dividend Yield Screener.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
