Of note is the ratio of Apollo Investment Corp's sales and general administrative expense to its total operating expenses; 87.98% of US stocks have a lower such ratio.
The ratio of debt to operating expenses for Apollo Investment Corp is higher than it is for about 99.26% of US stocks.
Apollo Investment Corp's shareholder yield -- a measure of how much capital is returned to stockholders via dividends and buybacks -- is 19.5%, greater than the shareholder yield of 88.68% of stocks in our set.
Stocks that are quantitatively similar to AINV, based on their financial statements, market capitalization, and price volatility, are LNC, TCPC, OCSL, PNNT, and HCAP.
Apollo Investment Corporation - Closed End Fund (AINV) Company Bio
Apollo Investment Corporation invests primarily in various forms of debt investments, including secured and unsecured debt, loan investments, and/or equity in private middle-market companies. The company was founded in 2004 and is based in New York, New York.
AINV Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Apollo Investment Corp with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Apollo Investment Corp ranked in the 58th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 57.5% on a DCF basis. The most interesting components of our discounted cash flow analysis for Apollo Investment Corp ended up being:
31% of the company's capital comes from equity, which is greater than only 10.95% of stocks in our cash flow based forecasting set.
Apollo Investment Corp's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at -0.67. This coverage rate is greater than that of merely 22.17% of stocks we're observing for the purpose of forecasting via discounted cash flows.
As a business, Apollo Investment Corp experienced a tax rate of about 0% over the past twelve months; relative to its sector (Financial Services), this tax rate is higher than merely 0% of stocks generating free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Financial Services that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as AINV, try HCAP, CNA, CPTA, FSAM, and UIHC.
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