Kennedy-Wilson (KW) AI Stock Analysis

• Market Cap: $1.34B
• Dividend Yield: 4.95%
• Average Volume (3M): 1.25M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.70
• Revenue Growth: -3.75%
• EPS Growth: 90.10%
• Country: US
• Employees: 244
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): -0.15
• Shares Outstanding: 137,904,390
• 10 Day Avg. Volume: 969,627
• 30 Day Avg. Volume: 1,245,841
• PEG Ratio: 0.54
• Price to Book (P/B): 0.86
• Price to Sales (P/S): 2.59
• P/FCF Ratio: -17.99
• Enterprise Value/Market Cap: 4.64
• Enterprise Value/Revenue: 12.02
• Enterprise Value/Gross Profit: 16.72
• Enterprise Value/Ebitda: 15.38
• 1Y Price Target: $11.00
• Price Target Upside: 40.85% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): -0.46
• Revenue Forecast (FY): $370.55M

• Rating: 58 Neutral
• Price Target: $10.00 ▲(28.04% Upside)

Kennedy-Wilson's overall stock score is primarily influenced by its financial performance challenges, including high leverage and cash flow issues. However, strong technical indicators and positive corporate events, such as strategic acquisitions and shareholder proposals, provide a counterbalance. The valuation is mixed, with a high dividend yield but negative P/E ratio, and the earnings call suggests a cautiously optimistic outlook with more positives than negatives.

Positive Factors

Investment Management Growth

The growth in AUM reflects Kennedy-Wilson's expanding market presence and ability to attract capital, enhancing long-term revenue potential and competitive positioning.

Strategic Acquisitions

This acquisition expands Kennedy-Wilson's portfolio and development pipeline, strengthening its market position and potential for future revenue growth in strategic U.S. locations.

Improved Financial Metrics

The significant increase in adjusted EBITDA indicates improved operational efficiency and profitability, supporting sustainable financial performance.

Negative Factors

High Leverage

High leverage poses a risk in a rising interest rate environment, potentially straining cash flow and limiting financial flexibility.

Negative Free Cash Flow Growth

Negative free cash flow growth indicates cash flow constraints, which could hinder the company's ability to invest in growth opportunities and manage debt obligations.

Declining Revenue

Declining revenue growth suggests challenges in maintaining market share and could impact long-term profitability and competitive positioning.

Kennedy-Wilson Business Overview & Revenue Model

Company Description

Kennedy-Wilson (KW) is a global real estate investment and services company focused on acquiring, managing, and selling high-quality real estate assets across various sectors including multifamily, office, and retail. The company operates primarily in the United States and Europe, offering a comprehensive range of services such as property management, leasing, investment sales, and advisory services. KW leverages its extensive market knowledge and experience to create value for its investors and clients through strategic asset management and real estate development.

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

Kennedy-Wilson faces challenges with declining revenue and profitability pressures. The high leverage and negative free cash flow growth are concerning, though there are signs of improvement in net profit margins. The company needs to address its cash flow issues and manage its debt levels to enhance financial stability.

Income Statement

Kennedy-Wilson's income statement shows a mixed performance. The company has experienced a decline in revenue growth, with a negative growth rate of -2.11% in the TTM period. The gross profit margin has decreased from 70.34% in 2024 to 51.89% in the TTM, indicating pressure on profitability. The net profit margin has improved to 1.59% in the TTM from a negative margin in 2024, suggesting some recovery. However, the EBIT margin is negative, reflecting operational challenges.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 3.02 in the TTM, indicating significant leverage, which poses a risk in a rising interest rate environment. The return on equity is low at 0.52%, suggesting limited profitability from equity investments. The equity ratio stands at 22.81%, showing a moderate level of equity financing relative to total assets.

Cash Flow

The cash flow statement highlights challenges with negative free cash flow growth of -115.32% in the TTM, indicating cash flow issues. The operating cash flow to net income ratio is 1.95, suggesting adequate cash generation relative to net income. However, the free cash flow to net income ratio is negative, reflecting cash flow constraints.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	515.90M	531.40M	562.60M	540.00M	453.60M	454.00M
Gross Profit	370.90M	373.80M	372.10M	359.30M	308.20M	304.50M
EBITDA	403.30M	385.90M	80.30M	531.80M	821.30M	532.90M
Net Income	8.20M	-33.00M	-303.80M	93.70M	330.40M	110.10M
Balance Sheet
Total Assets	6.70B	6.96B	7.71B	8.27B	7.88B	7.33B
Cash, Cash Equivalents and Short-Term Investments	382.60M	217.50M	313.70M	439.30M	524.80M	965.10M
Total Debt	4.61B	4.78B	5.30B	5.59B	5.43B	5.09B
Total Liabilities	5.14B	5.33B	5.91B	6.26B	6.07B	5.66B
Stockholders Equity	1.53B	1.60B	1.76B	1.96B	1.78B	1.64B
Cash Flow
Free Cash Flow	-39.50M	-76.50M	-168.30M	-128.00M	-169.50M	-206.70M
Operating Cash Flow	12.10M	55.10M	48.90M	32.90M	-30.30M	-12.60M
Investing Cash Flow	747.70M	414.20M	-11.70M	-361.60M	-1.04B	590.80M
Financing Cash Flow	-740.90M	-565.50M	-164.80M	264.20M	632.00M	-206.60M

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 9.67, below the 50-day MA of 8.71, and above the 200-day MA of 7.76, indicating a bullish trend. The MACD of 0.28 indicates Positive momentum. The RSI at 62.78 is Neutral, neither overbought nor oversold. The STOCH value of 28.88 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
RMAX	68 Neutral	$263.86M	13.10	2.87%	―	-6.06%	―
EXPI	67 Neutral	$1.74B	―	-8.09%	1.89%	5.08%	41.21%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
FRPH	60 Neutral	$443.67M	95.48	1.09%	―	2.69%	-39.40%
KW	58 Neutral	$1.34B	―	0.52%	4.95%	-3.75%	90.10%
MMI	56 Neutral	$1.15B	-92.57	-1.09%	1.77%	20.74%	78.92%
HOUS	55 Neutral	$1.30B	-9.78	-8.15%	―	5.27%	25.71%

Kennedy-Wilson Corporate Events

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.

Kennedy-Wilson Receives Acquisition Proposal from CEO

On November 4, 2025, Kennedy-Wilson Holdings, Inc. received a proposal from its Chairman and CEO, William McMorrow, and Fairfax Financial Holdings Limited to acquire all outstanding common stock not owned by them for $10.25 per share in cash. The proposal, which represents a 38% premium over the company’s closing share price on November 3, 2025, aims to provide liquidity and certainty of value for shareholders, allowing the company to focus on its long-term strategy without the burden of public reporting. The company’s Board has formed a special committee to evaluate the proposal, although there is no assurance that a definitive agreement will be reached.

Kennedy-Wilson Completes Redemption of Euro Notes

On October 3, 2025, Kennedy Wilson Europe Real Estate Limited completed the redemption of its outstanding 3.25% euro-denominated Notes due November 2025, amounting to €300,000,000, plus accrued interest of €8,681,520. This financial maneuver was funded through proceeds from asset sales, existing liquidity, and a corporate revolving credit facility, indicating strategic financial management and potential implications for the company’s liquidity and investment strategy.

Kennedy-Wilson Acquires Toll Brothers’ Apartment Platform

On September 18, 2025, Kennedy Wilson announced an agreement to acquire Toll Brothers’ apartment development platform for $347 million, with the transaction expected to close in the fourth quarter of 2025. This acquisition will add over $5 billion of assets under management to Kennedy Wilson, including interests in 18 apartment and student housing properties and a pipeline of 29 development sites. The transaction will enhance Kennedy Wilson’s investment management platform and multifamily development capabilities, while Toll Brothers will focus on its core homebuilding business. The deal also establishes a strategic alliance between the two companies for future investment opportunities in rental and for-sale housing.