KKR KKR & Co. Inc. - Fundamental Analysis
NEUTRAL
KKR Stock | Fundamental Analysis & Investment Insights
NYSE
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Financial Services
•
Asset Management
Current Price
$119.92
Analyst Target
$157.14
+31.0% Upside
52W High
$170.4
52W Low
$86.15
AI Analysis
Powered by advanced machine learning algorithms
Confidence Score
65%
Analysis Accuracy
KKR trades at a significant premium to peers on valuation metrics with a current P/E of 50.60 versus a sector average of 23.27, despite solid double-digit revenue and earnings growth. While profitability margins are strong—operating margin at 30.96% and gross margin at 57.98%—ROE of 7.67% lags far behind the sector average of 42.28%, raising capital efficiency concerns. The stock has underperformed over the past year with a -20.0% return, contrasting its impressive 5Y gain of +231.5%, while recent insider selling worth $413.16M signals caution. Analysts maintain a 'buy' recommendation with a $157.14 target implying ~31% upside, but missing earnings estimates consistently and weak dividend yield limit near-term appeal.
Key Strengths
Operating margin of 30.96% significantly exceeds sector average of 36.71%, reflecting disciplined cost management and scalable fee structure
Revenue growth of 13.20% YoY and earnings growth of 40.60% YoY demonstrate robust underlying business momentum in asset management and private equity deployment
Debt/Equity of 0.74 is in line with sector average of 0.78, indicating prudent leverage within industry norms
Current and quick ratios of 1.70 and 1.65 reflect strong short-term liquidity and operational resilience
Analyst target price of $157.14 implies 31% upside, suggesting embedded confidence in future earnings recovery and AUM growth
Key Risks
P/E of 50.60 is more than double the sector average (23.27) and forward P/E of 19.76 still implies high growth expectations not yet realized
ROE of 7.67% is dramatically below sector average of 42.28%, signaling inefficient use of equity capital relative to peers like BLK and SCHW
Recent insider selling totaling $413.16M across three transactions indicates lack of confidence among officers and directors
No earnings beats in the last 25 quarters with zero average surprise, suggesting persistent earnings predictability issues or conservative guidance
Dividend yield of 0.62% is negligible compared to sector norms and offers little support during market downturns
AI Fair Value Estimate
Based on comprehensive analysis
$135.0
+12.6% above current price
Performance Snowflake
Multi-dimensional AI analysis across 5 key categories
Stock Price & Analyst Targets
Real-time price movements and analyst price targets
Historical Performance Trends
Long-term financial metrics and growth patterns
Valuation Metrics
Key valuation ratios and pricing indicators
Profitability, Growth & Financial Health
Detailed profit margins, ROE, debt ratios, and liquidity metrics
Sector Comparison & Peer Analysis
Compare KKR against industry averages and similar companies
Insider Trading & Analyst Ratings
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