Apollo Investment Corporation (AINV) Undervalued by 5.0%

Publicly-traded company Apollo Investment Corporation (NASDAQ:AINV) had a closing price of $15.96 yesterday. Meanwhile, the average 12-month price target from Wall Street analysts is currently $16.80, this means that the stock is underpriced by 5.0%. In the past 52 weeks the company’s stock price has moved within the range of $12.05 to $17.00.

This particular stock’s 5-day moving average is 15.90, its 20-day moving average is 15.79 and its 100-day moving average is 16.15. Apollo Investment Corporation (AINV) currently has 67.58M shares outstanding, which means that its market capitalization is $1.08B.

The Details: Apollo Investment Corporation (AINV) Financial Health

There are a number of indicators we can consider when wondering about a potential stock’s financial health. Looking at a company’s profit margin, for example, tells us how much of its sales revenue it keeps in earnings – and it is calculated by taking net income and dividing it by net sales. AINV currently has a profit margin of 32.00%.

Checking out a company’s operating margin is also useful, as it tells us how much profit is retained after considering operating costs and depreciation. Apollo Investment Corporation (AINV) has an operating margin of 50.60%.

Return on Assets is a number, expressed as a percentage that tells us how well a publicly-traded company is using its current assets to generate revenue. The higher the percentage, the better a company is using its assets to turn a profit. At the moment, Apollo Investment Corporation Return on Assets is 3.30%.

Understanding Profitability at Apollo Investment Corporation (AINV)

Taking a look at a public company’s Earnings per Share (EPS) is a good way of evaluating its profitability. In the most recent financial results released by Apollo Investment Corporation, for the quarter ending on 09/2019, the company posted EPS of 0.43. The average estimate of Wall Street analysts had projected 0.45.

Wall Street analysts, on average, are forecasting the company’s EPS to be 0.42, compared to 0.45 reported in the same quarter last year. When it comes to net revenue, the average estimate from a total of 9 analysts is 69.02M – compared to 66.03M posted in the year-ago period.