Apollo Global Management Expands in Europe as LVMH Stock Rallies
Apollo Global Management is bullish on Europe, planning to expand its presence with new offices. Meanwhile, the European market remains cautious about IPOs compared to North America and Asia. Despite a challenging year, French luxury giant LVMH is showing signs of recovery, with analysts optimistic about its stock.
Apollo's enthusiasm for Europe is evident, with the company expressing its highest optimism in two decades. It plans to open more offices, likely driven by opportunities in private markets. Trade Republic, a partner of Apollo, is seen as a notable investment target in 2023.
The European market's caution towards IPOs is clear when comparing fundraising figures. North America raised $17.7 billion from 150 IPOs this year, while Europe managed only $5.5 billion from 57 IPOs. However, LVMH's stock is gaining traction, with two-thirds of analysts recommending a 'buy' and an average target price of 551 euros. Several analysts, including Goldman Sachs, have raised their targets for LVMH, reflecting growing confidence in the company's recovery.
Amazon, another global giant, is also under watch. Despite not reaching its all-time high of $242, it could see a boost. Mizuho Securities initiated coverage on Amazon with an 'outperform' rating and a $300 price target. Goldman Sachs is even more bullish, raising its price target from $240 to $275 and naming Amazon its 'preferred pick' among large-cap companies.
Apollo Global Management's expansion in Europe signals confidence in the continent's investment potential. Despite Europe's IPO caution, LVMH's stock is rallying, with analysts predicting a strong performance. Amazon, too, is poised for growth, according to analysts' targets and ratings. As the German government steps in to support private capital, the market looks set for an active 2023.
