APO - APOS: 30-Year Note: Rating Reduction
2024-02-12 08:00:00 ET
Summary
- Apollo Group Management recently issued a 7.625% Fixed-Rate Resettable Junior Subordinated Note due 2053. This article updates my initial review.
- After reviewing the Issuer and the Note, this article compares it to similar preferreds and a second Note with five-year Call features.
- I rated APOS a Buy four month ago, the rally since has dropped the YTC to 5.6%. Better values now exist for similar Call periods, thus my new Sell rating.
Introduction
The Apollo Global Management, Inc. NT 7.625% 53 ( APOS ) is a new issue that I initially covered a few months ago ( article link ), and with Seeking Alpha asking for an update, so here goes. I decided to treat APOS like a five-year Note and will compare it to several preferreds and a second Note, all with similar five-year Call features....
APOS: 30-Year Note: Rating Reduction