KKR & Co (KKR) AI Stock Analysis

• Market Cap: $132.68B
• Dividend Yield: 0.48%
• Average Volume (3M): 2.91M
• Price to Earnings (P/E): 71.6
• Beta (1Y): 1.94
• Revenue Growth: -24.62%
• EPS Growth: -48.96%
• Country: US
• Employees: 4,834
• Sector: Financial
• Sector Strength: 70
• Industry: Asset Management
• EPS (TTM): 1.18
• Shares Outstanding: 890,948,700
• 10 Day Avg. Volume: 2,981,716
• 30 Day Avg. Volume: 2,909,032
• PEG Ratio: -2.35
• Price to Book (P/B): 5.55
• Price to Sales (P/S): 6.06
• P/FCF Ratio: 20.16
• Enterprise Value/Market Cap: 1.56
• Enterprise Value/Revenue: 12.94
• Enterprise Value/Gross Profit: 73.81
• Enterprise Value/Ebitda: 23.68
• 1Y Price Target: $163.17
• Price Target Upside: 9.57% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 13

• Rating: 62 Neutral
• Price Target: $147.00 ▼(-1.29% Downside)

KKR's overall stock score reflects a strong earnings call with record financial metrics and strategic growth initiatives. However, financial performance concerns, high valuation, and neutral technical indicators weigh on the score. The company's ability to manage leverage and improve profitability will be key to future performance.

Positive Factors

Strong Fee-Related Earnings

The growth in fee-related earnings demonstrates KKR's ability to generate stable revenue streams, reinforcing its business model and providing a strong foundation for future expansion.

Expansion in Asia

The expansion in Asia indicates KKR's strategic positioning in a high-growth region, enhancing its global market presence and long-term revenue potential.

Strategic Acquisition in Life Sciences

The acquisition in life sciences expands KKR's investment portfolio, diversifying its revenue streams and strengthening its position in a lucrative sector.

Negative Factors

High Debt Levels

High debt levels can increase financial risk, potentially impacting cash flow and limiting flexibility in capital allocation for future growth initiatives.

Variable Investment Income Impact

Reliance on variable investment income introduces earnings volatility, which could affect financial stability and predictability in revenue streams.

Challenges with Strategic Buyers

Hesitation from strategic buyers may hinder KKR's ability to monetize investments, affecting its exit strategies and potential returns on investments.

KKR & Co Business Overview & Revenue Model

Company Description

KKR & Co. Inc. is a private equity and real estate investment firm specializing in direct and fund of fund investments. It specializes in acquisitions, leveraged buyouts, management buyouts, credit special situations, growth equity, mature, mezzanine, distressed, turnaround, lower middle market and middle market investments. The firm considers investments in all industries with a focus on software, security, semiconductors, consumer electronics, internet of things (iot), internet, information services, information technology infrastructure, financial technology, network and cyber security architecture, engineering and operations, content, technology and hardware, energy and infrastructure, real estate, services industry with a focus on business services, intelligence, industry-leading franchises and companies in natural resource, containers and packaging, agriculture, airports, ports, forestry, electric utilities, textiles, apparel and luxury goods, household durables, digital media, insurance, brokerage houses, non-durable goods distribution, supermarket retailing, grocery stores, food, beverage, and tobacco, hospitals, entertainment venues and production companies, publishing, printing services, capital goods, financial services, specialized finance, pipelines, and renewable energy. In energy and infrastructure, it focuses on the upstream oil and gas and equipment, minerals and royalties and services verticals. In real estate, the firm seeks to invest in private and public real estate securities including property-level equity, debt and special situations transactions and businesses with significant real estate holdings, and oil and natural gas properties. The firm also invests in asset services sector that encompasses a broad array of B2B, B2C and B2G services verticals including asset-based, transport, logistics, leisure/hospitality, resource and utility support, infra-like, mission-critical, and environmental services. Within Americas, the firm prefers to invest in consumer products; chemicals, metals and mining; energy and natural resources; financial services; healthcare; industrials; media and communications; retail; and technology. Within Europe, the firm invests in consumer and retail; energy; financial services; health care; industrials and chemicals; media and digital; and telecom and technologies. Within Asia, it invests in consumer products; energy and resources; financial services; healthcare; industrials; logistics; media and telecom; retail; real estate; and technology. It also seeks to make impact investments focused on identifying and investing behind businesses with positive social or environmental impact. The firm seeks to invest in mid to high-end residential developments, but can invest in other projects throughout Mainland China through outright ownership, joint ventures, and merger. It invests globally with a focus on Australia, emerging and developed Asia, Middle East and Africa, Nordic, Southeast Asia, Asia Pacific, Ireland, Hong Kong, Japan, Taiwan, India, Vietnam, Malaysia, Singapore, Indonesia, France, Germany, Netherlands, United Kingdom, Caribbean, Mexico, South America, North America, Brazil, Latin America, Korea with a focus on South Korea, and United States of America. In the United States and Europe, the firm focuses on buyouts of large, publicly traded companies. It seeks to invest $30 million to $717 million in companies with enterprise values between $500 million to $2389 million. The firm prefers to invest in a range of debt and public equity investing and may co-invest. It seeks a board seat in its portfolio companies and a controlling ownership of a company or a strategic minority positions. The firm may acquire majority and minority equity interests, particularly when making private equity investments in Asia or sponsoring investments as part of a large investor consortium. The firm typically holds its investment for a period of five to seven years and more and exits through initial public offerings, secondary offerings, and sales to strategic buyers. KKR & Co. Inc. was founded in 1976 and is based in New York, New York with additional offices across North America, Europe, Australia, Sweden and Asia.

How the Company Makes Money

KKR generates revenue primarily through management fees and performance fees associated with its investment funds. Management fees are typically charged as a percentage of the total assets under management (AUM) and are a stable source of income for the firm. Performance fees, often referred to as carried interest, are earned when the returns on the investments exceed a predetermined threshold, aligning KKR's interests with those of its investors. Additionally, KKR earns revenue from its credit and capital markets activities, including loan origination and syndication. The firm also benefits from strategic partnerships and collaborations with other investment firms, corporations, and financial institutions, enhancing its investment capabilities and expanding its market reach.

KKR & Co Financial Statement Overview

Summary

KKR demonstrates robust revenue and cash flow growth, with strong operational cash generation reflected in solid EBITDA margins. However, high debt levels pose leverage risks, despite stable equity ratios and moderate ROE. Overall, KKR is on a positive growth trajectory with effective cash management, though with caution advised regarding leverage.

Income Statement

KKR shows strong revenue growth with a significant increase from $5.56 billion in 2022 to $15.09 billion TTM (Trailing-Twelve-Months) in 2025, indicating a positive growth trajectory. The gross profit margin is healthy at 18.1%, although the net profit margin is lower at 14.6% due to high operational costs, as indicated by negative EBIT during TTM. EBITDA margin is strong at 56.3%, reflecting robust operational cash generation despite volatility in operating income.

Balance Sheet

KKR maintains a high debt-to-equity ratio of 1.85, signaling potential leverage risks. However, the equity ratio of 7.4% is relatively stable, showing that a portion of assets is financed by equity. Return on equity is moderate at 8.04%, suggesting efficient use of equity to generate profits amidst high leverage.

Cash Flow

Strong free cash flow growth from negative in 2022 to $7.53 billion TTM in 2025 highlights improved cash generation. Operating cash flow to net income ratio of 3.48 shows efficient cash conversion. The free cash flow to net income ratio of 3.41 indicates effective management in turning profits into cash, supporting financial flexibility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	15.99B	21.64B	14.32B	5.57B	16.11B	4.23B
Gross Profit	2.80B	3.84B	4.86B	2.01B	6.90B	2.08B
EBITDA	8.74B	9.17B	9.50B	1.35B	14.98B	6.70B
Net Income	2.05B	3.08B	3.73B	-521.66M	4.73B	2.00B
Balance Sheet
Total Assets	380.87B	360.10B	317.29B	275.35B	264.29B	79.81B
Cash, Cash Equivalents and Short-Term Investments	41.19B	112.56B	108.57B	12.82B	10.09B	6.51B
Total Debt	52.48B	50.82B	49.39B	44.07B	39.59B	33.62B
Total Liabilities	309.90B	298.11B	258.92B	219.98B	206.15B	39.01B
Stockholders Equity	28.22B	23.65B	22.86B	18.81B	17.58B	13.72B
Cash Flow
Free Cash Flow	4.57B	6.51B	-1.60B	-5.36B	-7.28B	-6.11B
Operating Cash Flow	4.75B	6.65B	-1.49B	-5.28B	-7.18B	-5.95B
Investing Cash Flow	-12.41B	-19.05B	-3.88B	-13.65B	-9.61B	-153.39M
Financing Cash Flow	9.56B	7.08B	12.77B	22.06B	20.36B	9.80B

KKR & Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 148.92
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KKR, the sentiment is Positive. The current price of 148.92 is above the 20-day moving average (MA) of 141.12, above the 50-day MA of 143.07, and above the 200-day MA of 133.86, indicating a bullish trend. The MACD of 1.59 indicates Negative momentum. The RSI at 63.24 is Neutral, neither overbought nor oversold. The STOCH value of 84.44 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for KKR.

KKR & Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BX	76 Outperform	230.43B	50.93	34.29%	2.27%	23.08%	41.35%
CG	76 Outperform	24.66B	20.23	18.20%	2.05%	101.10%	0.00%
BLK	74 Outperform	186.50B	27.48	13.03%	1.81%	15.88%	2.87%
AMP	66 Neutral	46.15B	15.29	65.05%	1.26%	7.11%	9.89%
ARES	64 Neutral	59.79B	104.93	11.00%	2.34%	45.89%	-9.53%
KKR	62 Neutral	$132.68B	71.62	8.22%	0.48%	-24.62%	-48.96%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%

KKR & Co Corporate Events

KKR & Co Completes $900M Senior Notes Offering

On August 7, 2025, KKR & Co. Inc. completed the offering of $900 million in 5.100% Senior Notes due 2035, guaranteed by KKR Group Partnership L.P. The notes, issued under an indenture with The Bank of New York Mellon Trust Company, are unsecured and unsubordinated, with covenants limiting certain financial actions by the issuer and guarantor. The offering was underwritten by major financial institutions, including Morgan Stanley and Goldman Sachs, and involved customary agreements and indemnifications.

KKR & Co Holds Security Holders Vote

The news release from KKR & Co does not provide specific details about the company’s industry, primary products, or services. The release references information set forth in Item 5.02 being incorporated by reference into Item 5.07, but lacks further context or implications for the company’s operations or stakeholders.