KKR & Co (KKR) AI Stock Analysis

• Market Cap: $119.60B
• Dividend Yield: 0.55%
• Average Volume (3M): 3.41M
• Price to Earnings (P/E): 58.2
• Beta (1Y): 1.90
• Revenue Growth: -27.45%
• EPS Growth: -46.67%
• Country: US
• Employees: 4,834
• Sector: Financial
• Sector Strength: 78
• Industry: Asset Management
• EPS (TTM): 1.15
• Shares Outstanding: 890,641,900
• 10 Day Avg. Volume: 3,576,528
• 30 Day Avg. Volume: 3,408,785
• PEG Ratio: -1.73
• Price to Book (P/B): 3.96
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 14.51
• Enterprise Value/Market Cap: 1.19
• Enterprise Value/Revenue: 1.76
• Enterprise Value/Gross Profit: 52.00
• Enterprise Value/Ebitda: 3.79
• 1Y Price Target: $142.50
• Price Target Upside: 6.11% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 12

• Rating: 68 Neutral
• Price Target: $134.00 ▼(-0.22%Downside)

KKR exhibits strong financial performance and effective cash management, which are the primary drivers of its score. Despite positive operational metrics and strategic initiatives, high leverage and valuation concerns, along with mixed technical signals, moderate the overall outlook. The earnings call and recent corporate event provide additional support, though market volatility and specific segment pressures present challenges.

Positive Factors

Geographic Diversification

KKR is expected to benefit from investors diversifying their geographic allocations from US to non-US regions, including Asia.

Market Confidence

The reduction in tariff risks with China is expected to boost market confidence and support a faster recovery in capital markets, benefiting KKR significantly.

Secular Growth Trends

KKR is positioned to capitalize on secular growth trends in private markets, such as private credit, infrastructure, private wealth, and insurance, due to its diverse business mix.

Negative Factors

Monetization Challenges

The Street's monetization estimate for the second quarter is seen as a high bar given the market backdrop, with management likely to temper sell-side expectations.

Share Performance

KKR is considered an attractive entry point as its shares have declined 15%, underperforming other alternatives and the broader market.

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 & Co. generates revenue primarily through management fees, carried interest, and investment income. Management fees are earned by managing assets for institutional investors, such as pensions and endowments, and are typically calculated as a percentage of managed assets. Carried interest, a significant revenue stream, is the share of profits from investments that KKR retains once a certain threshold of returns is achieved for investors. Additionally, KKR invests its own capital alongside its clients' funds, earning investment income from these commitments. The firm also benefits from strategic partnerships and joint ventures, which can enhance its investment capabilities and expand 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	15.09B	21.64B	14.32B	5.57B	16.11B	4.23B
Gross Profit	2.73B	3.84B	4.86B	2.01B	6.90B	2.08B
EBITDA	8.49B	9.17B	9.50B	1.35B	14.98B	6.70B
Net Income	2.21B	3.08B	3.73B	-521.66M	4.73B	2.00B
Balance Sheet
Total Assets	372.37B	360.10B	317.29B	275.35B	264.29B	79.81B
Cash, Cash Equivalents and Short-Term Investments	118.61B	112.56B	108.57B	12.82B	10.09B	6.51B
Total Debt	50.79B	50.82B	49.39B	44.07B	39.59B	33.62B
Total Liabilities	303.42B	298.11B	258.92B	219.98B	206.15B	39.01B
Stockholders Equity	27.47B	23.65B	22.86B	18.81B	17.58B	13.72B
Cash Flow
Free Cash Flow	7.53B	6.51B	-1.60B	-5.36B	-7.28B	-6.11B
Operating Cash Flow	7.67B	6.65B	-1.49B	-5.28B	-7.18B	-5.95B
Investing Cash Flow	-16.00B	-19.05B	-3.88B	-13.65B	-9.61B	-153.39M
Financing Cash Flow	10.63B	7.08B	12.77B	22.06B	20.36B	9.80B

KKR & Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 134.29
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• 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 134.29 is above the 20-day moving average (MA) of 124.13, above the 50-day MA of 119.48, and above the 200-day MA of 133.14, indicating a bullish trend. The MACD of 2.74 indicates Negative momentum. The RSI at 70.70 is Negative, neither overbought nor oversold. The STOCH value of 95.81 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
AMP	80 Outperform	$50.28B	17.94	58.11%	1.21%	9.14%	0.05%
BLK	78 Outperform	$162.33B	25.45	14.37%	1.99%	11.73%	4.76%
CG	73 Outperform	$18.48B	17.28	20.38%	2.73%	81.86%	―
ARES	71 Outperform	$56.56B	100.09	12.97%	2.59%	19.02%	-22.75%
BX	71 Outperform	$183.33B	45.71	34.07%	2.46%	22.06%	16.57%
KKR	68 Neutral	$119.60B	58.22	9.03%	0.55%	-27.45%	-46.67%
Sector *	58 Neutral	$12.55B	5.32	-2.71%	5.27%	5.88%	-56.03%

KKR & Co Corporate Events

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.

The most recent analyst rating on (KKR) stock is a Buy with a $121.00 price target. To see the full list of analyst forecasts on KKR & Co stock, see the KKR Stock Forecast page.

KKR & Co Completes $590M Subordinated Notes Offering

On May 28, 2025, KKR & Co. Inc. completed the offering of $590 million in subordinated notes due in 2065, with a 6.875% interest rate. This strategic move, guaranteed by KKR Group Partnership L.P., aims to strengthen the company’s financial positioning and provides flexibility for future operations, potentially impacting stakeholders by enhancing the company’s ability to manage its capital structure and investment strategies.

The most recent analyst rating on (KKR) stock is a Buy with a $121.00 price target. To see the full list of analyst forecasts on KKR & Co stock, see the KKR Stock Forecast page.

KKR & Co Enters $550M Subordinated Notes Agreement

On May 20, 2025, KKR & Co. Inc. and its subsidiary entered into an underwriting agreement with major financial institutions to issue and sell $550 million in subordinated notes due in 2065. This offering, expected to close on May 28, 2025, is guaranteed on a subordinated unsecured basis and includes a 30-day option for underwriters to purchase additional notes, potentially impacting KKR’s financial strategy and market positioning.

The most recent analyst rating on (KKR) stock is a Buy with a $137.00 price target. To see the full list of analyst forecasts on KKR & Co stock, see the KKR Stock Forecast page.

KKR & Co Releases Financial Presentation for Stockholders

On May 7, 2025, KKR & Co. Inc. released a presentation for its common stockholders and analysts, which is available on their website. This presentation serves as a channel for distributing financial and other important information, although it is not considered filed under the Securities Exchange Act of 1934.