Apollo Commercial price target raised to $10.50 from $10 at JPMorgan

JPMorgan analyst Richard Shane raised the firm’s price target on Apollo Commercial to $10.50 from $10 and keeps a Neutral rating on the shares. Residential mortgage real estate investment trusts faced severe rate volatility in Q4 but spread widening in the first part of the quarter gave way to significant spread tightening in December, the analyst tells investors in a research note. The firm expects tangible book values to increase quarter-over-quarter in Q4. “As we get closer to a Fed pivot we see a more positive outlook as rate volatility subsides,” contends JPMorgan.