UPDATE: J.P. Morgan Raises Apollo Investment's PT

According to a research report published this morning, J.P. Morgan has increased Apollo Investment's AINV PT from $8 to $8.50. In the report, J.P. Morgan said, "Yesterday, AINV reported $0.21 of net investment income per share for F4Q12, $0.02 above our estimate. The results showed lower leverage, higher asset yields and an improved capital structure. Portfolio activity remained high during the quarter as Apollo invested $147M offset by $340M of repayments and sales. On the funding side, the company has renegotiated its revolving credit facility to a lower cost with a 2016 maturity. We believe the current discount on AINV's valuation provides an attractive opportunity for investors. We expect the stable market conditions, new investment strategy and improving financials will provide a catalyst for valuation upside." J.P. Morgan maintains its Overweight rating on Apollo Investment, which closed yesterday at $7.21.