Kennedy-Wilson (KW) AI Stock Analysis

• Market Cap: $1.51B
• Dividend Yield: 4.96%
• Average Volume (3M): 1.04M
• Price to Earnings (P/E): 283.8
• Beta (1Y): 0.73
• Revenue Growth: -3.75%
• EPS Growth: 90.10%
• Country: US
• Employees: 244
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): 0.21
• Shares Outstanding: 138,464,510
• 10 Day Avg. Volume: 991,044
• 30 Day Avg. Volume: 1,035,850
• PEG Ratio: -5.68
• Price to Book (P/B): 0.87
• Price to Sales (P/S): 2.66
• P/FCF Ratio: 4.27
• Enterprise Value/Market Cap: 3.99
• Enterprise Value/Revenue: 12.01
• Enterprise Value/Gross Profit: 63.93
• Enterprise Value/Ebitda: 14.67
• 1Y Price Target: $11.00
• Price Target Upside: 40.85% Upside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 1
• EPS Forecast (FY): -0.56
• Revenue Forecast (FY): $379.30M

• Rating: 56 Neutral
• Price Target: $11.00 ▲(40.85% Upside)
• Action: Reiterated Date: 03/04/26
• Date: Action: Reiterated 03/04/26

The score is held down primarily by mixed financial performance (weak top-line momentum, volatile earnings, high leverage, and a balance-sheet data anomaly), partly offset by strong 2025 cash flow. Technically, the trend is positive but looks overbought. Valuation is supported by the dividend, while the negative P/E and earnings volatility cap the benefit. The earnings call was modestly constructive, and the go-private announcement provides additional support via a defined takeout price.

Positive Factors

AUM and fee growth

AUM expansion to $36B and rising investment management fees signal a structurally larger, fee-generating business. Bigger AUM and fee-bearing capital support recurring, less cyclical revenue, enhancing predictability of fee income and creating scale advantages across sourcing, underwriting and asset management.

Toll Brothers platform acquisition

The Toll Brothers Apartment Living platform materially expands rental housing scale and pipeline, adding fee and development economics. This increases recurring management and success fees, diversifies portfolio toward rental housing, and strengthens long-term growth runway in a structurally growing residential rental market.

Improved 2025 cash generation

A strong rebound in operating and free cash flow in 2025 materially improves internal funding capacity. Sustainable positive cash generation enhances ability to fund deployments, service debt and support dividends or buybacks, reducing reliance on external financing over the medium term.

Negative Factors

High and persistent leverage

Elevated leverage in a cyclical real estate business constrains financial flexibility and increases refinancing and interest-rate risk. High debt ratios limit capacity for opportunistic acquisitions or distress absorption and make cash flow variability more consequential for meeting covenants and capital needs.

Volatile profitability and weak top line

Declining revenue and highly variable earnings undermine predictability of distributable cash and return metrics. Thin margins and prior GAAP losses reduce confidence in sustained payout capacity and complicate long-term planning for acquisitions, development and fees tied to performance.

Regional portfolio and NOI pressures

Material NOI declines in European office and localized NOI softness signal exposure to structural demand shifts and regional weakness. Persistent occupancy and expense pressures in parts of the portfolio can erode cash generation, increase capital needs for leasing/renovation, and amplify cyclical downside.

Kennedy-Wilson Business Overview & Revenue Model

Company Description

Kennedy-Wilson Holdings, Inc., together with its subsidiaries, operates as a real estate investment company. The company owns, operates, and invests in real estate both on its own and through its investment management platform. It focuses on multifamily and office properties located in the Western United States, the United Kingdom, Ireland, Spain, Italy, and Japan. As of December 31, 2021, the company had ownership interests in 10,460 multifamily units, 4.9 million square feet of office space, 3.4 million square feet of retail and industrial space, and one hotel. It is also involved in the development, redevelopment, and entitlement of real estate properties. The company was founded in 1977 and is headquartered in Beverly Hills, California.

How the Company Makes Money

Kennedy-Wilson generates revenue through multiple key streams, primarily from real estate investments and property management services. The company earns income by acquiring properties and then generating rental income from tenants. Additionally, KW charges fees for property management and leasing services, which contribute to its overall earnings. The company also engages in real estate development projects, allowing it to profit from the sale of developed properties. Strategic partnerships with institutional investors and other real estate firms further enhance its capabilities and revenue potential, while its focus on core markets helps mitigate risks and optimize returns.

Kennedy-Wilson Financial Statement Overview

Summary

Overall fundamentals are mixed: weak recent revenue trend and highly volatile profitability with a very thin latest net margin. Cash flow rebounded sharply in 2025 with strong operating and free cash flow, but leverage is elevated and the balance-sheet data includes a major anomaly (negative total assets in 2025), which reduces confidence and increases perceived risk.

Income Statement

Revenue has been slightly down recently (2025 revenue down ~2.9% after a small decline in 2024), showing limited top-line momentum. Profitability is volatile: the company swung from a large loss in 2023 and a loss in 2024 to a modest profit in 2025, but the latest net margin is still thin (~0.9%), indicating earnings remain fragile. Gross margin was strong in 2022–2024 but compressed sharply in 2025, which raises questions about the quality/consistency of recent profitability.

Balance Sheet

Leverage is high and persistent, with debt running around ~2.8x–3.1x equity across the period, limiting financial flexibility for a cyclical real-estate business. Returns on equity have been inconsistent and often negative (notably in 2023–2024), only slightly positive in 2025, reflecting uneven earnings power. A major red flag in the provided data is 2025 total assets shown as negative, which is not economically plausible and suggests a data quality issue for that year that reduces confidence in balance-sheet interpretation.

Cash Flow

Cash generation improved meaningfully in 2025, with strong operating cash flow ($379M) and solidly positive free cash flow ($312M) versus negative free cash flow in 2021–2024. However, cash flow has been volatile historically (multiple years of negative free cash flow, and negative operating cash flow in 2020–2021). The relationship between cash flow and earnings is uneven as well (e.g., losses in 2023–2024 alongside negative free cash flow, then strong 2025 cash flow with only modest net income), suggesting working-capital/property timing effects and less predictable cash conversion.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	501.00M	531.40M	562.60M	540.00M	453.60M
Gross Profit	94.10M	77.20M	56.50M	13.50M	-24.40M
EBITDA	410.00M	385.90M	80.30M	531.80M	821.30M
Net Income	4.70M	-33.00M	-303.80M	93.70M	330.40M
Balance Sheet
Total Assets	6.62B	6.96B	7.71B	8.27B	7.88B
Cash, Cash Equivalents and Short-Term Investments	-2.50M	217.50M	313.70M	439.30M	524.80M
Total Debt	4.51B	4.78B	5.30B	5.59B	5.43B
Total Liabilities	5.05B	5.33B	5.91B	6.26B	6.07B
Stockholders Equity	1.54B	1.60B	1.76B	1.96B	1.78B
Cash Flow
Free Cash Flow	312.40M	-76.50M	-168.30M	-128.00M	-169.50M
Operating Cash Flow	379.00M	55.10M	48.90M	32.90M	-30.30M
Investing Cash Flow	158.50M	414.20M	-11.70M	-361.60M	-1.04B
Financing Cash Flow	-560.30M	-565.50M	-164.80M	264.20M	632.00M

Kennedy-Wilson Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 7.81
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KW, the sentiment is Positive. The current price of 7.81 is below the 20-day moving average (MA) of 10.88, below the 50-day MA of 10.28, and below the 200-day MA of 8.69, indicating a bullish trend. The MACD of 0.17 indicates Positive momentum. The RSI at 68.58 is Neutral, neither overbought nor oversold. The STOCH value of 45.45 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for KW.

Kennedy-Wilson Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
MMI	61 Neutral	$979.18M	-556.71	-1.09%	1.80%	20.74%	78.92%
FRPH	60 Neutral	$426.28M	174.30	1.09%	―	2.69%	-39.40%
RMAX	60 Neutral	$195.56M	18.48	1.84%	―	-6.06%	―
KW	56 Neutral	$1.51B	283.77	0.30%	4.96%	-3.75%	90.10%
EXPI	56 Neutral	$1.00B	-63.56	-10.00%	2.09%	5.08%	41.21%

Kennedy-Wilson Corporate Events

Kennedy-Wilson Launches Exchange Offers Ahead of Buyout

On March 2, 2026, Kennedy-Wilson, Inc. launched exchange offers targeting all of its outstanding 4.750% senior notes due 2029 and 2030 and 5.000% senior notes due 2031, allowing eligible institutional and non-U.S. holders to swap into new senior notes maturing in 2032 or 2034, with early participants receiving higher note principal. The new notes will carry guarantees from the parent and certain subsidiaries, mirror most existing covenants, and are paired with consent solicitations to amend the old indentures, with about 27% of aggregate noteholders already supporting the transaction and completion conditioned on the previously announced management-led acquisition of Kennedy-Wilson Holdings.

The most recent analyst rating on (KW) stock is a Hold with a $11.00 price target. To see the full list of analyst forecasts on Kennedy-Wilson stock, see the KW Stock Forecast page.

Kennedy-Wilson Agrees to Go-Private Buyout Transaction

On February 16, 2026, Kennedy-Wilson Holdings agreed to be taken private in an all-cash merger by a consortium led by Chairman and CEO William McMorrow and other senior executives alongside Fairfax Financial, which will acquire all outstanding common shares not held by the consortium for $10.90 per share. The price represents a 46% premium to the company’s unaffected November 4, 2025 share price, Fairfax has committed up to $1.65 billion to fund the deal and preferred share redemptions, and, if approved by shareholders and regulators as expected in the second quarter of 2026, the transaction will delist Kennedy Wilson from the NYSE, consolidate management’s control while giving Fairfax a majority economic interest, and suspend earnings calls while the deal is pending.

The merger structure preserves existing Series B and C preferred stock and related warrants unless cancelled or contributed, redeems Series A preferred stock, and cashes out most equity awards, while rollover shareholders contribute their common shares into the private parent instead of receiving cash. The agreement includes customary no‑solicitation provisions, termination rights and a $42.7 million break fee in certain circumstances, is not subject to a financing condition thanks to Fairfax’s equity commitment, and is supported by voting agreements from key security holders and a credit agreement amendment that accommodates the change of control, collectively tightening deal certainty but limiting competing bids and signaling a strategic shift away from the public markets for the real estate investor.

The board approved the deal unanimously on the recommendation of a special committee of independent directors formed in November 2025 to evaluate the consortium’s proposal, and the transaction requires dual approval thresholds: a majority of overall voting power and a majority of votes cast excluding consortium affiliates. Upon closing, expected in the second quarter of 2026, Kennedy Wilson’s common stock will be deregistered with the SEC, ordinary-course dividends of up to $0.12 per share may continue until shareholder approvals are obtained, and Fairfax-backed private ownership is set to reshape the capital structure and governance landscape for existing common and preferred investors.

The most recent analyst rating on (KW) stock is a Hold with a $11.00 price target. To see the full list of analyst forecasts on Kennedy-Wilson stock, see the KW Stock Forecast page.

Kennedy-Wilson Completes First Phase of Acquisition

On December 5, 2025, Kennedy-Wilson Holdings, Inc. completed the first phase of its acquisition of Toll Brothers’ apartment development platform, investing $202.8 million to purchase ownership interests and contractual arrangements in several multifamily and student housing properties. This transaction, expected to be fully completed by January 2026, will enhance Kennedy-Wilson’s portfolio with 18 properties and a significant development pipeline, positioning the company to earn various management and success fees while expanding its market presence in strategic U.S. locations.

The most recent analyst rating on (KW) stock is a Hold with a $10.00 price target. To see the full list of analyst forecasts on Kennedy-Wilson stock, see the KW Stock Forecast page.