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KW: Take Private Proposal Will Shape Outlook Amid Mixed Fundamentals

US And European Urban Growth Will Fuel Rental Expansion

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KW
AnalystHighTarget
Not Invested
Published 03 Sep 2025

Update shared on 12 Dec 2025

Fair value Decreased 15%
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AnalystHighTarget's Fair Value
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1Y
-2.4%
7D
2.4%

Narrative Update on Kennedy-Wilson Holdings

Analysts have reduced their price target on Kennedy-Wilson Holdings from 13 dollars to 11 dollars. This change reflects a slightly higher assumed discount rate, a marginally softer profit margin outlook, and a lower future price to earnings multiple, despite modestly improved revenue growth expectations.

What's in the News

  • A consortium led by Chairman and Chief Executive Officer William McMorrow and Fairfax Financial Holdings Limited has proposed to acquire the remaining 69% of Kennedy-Wilson Holdings for approximately 980 million dollars, offering 10.25 dollars per share in cash (Key Developments)
  • The 975.3 million dollar cash consideration is directed toward the common equity of Kennedy-Wilson Holdings, implying a full take private transaction if completed (Key Developments)
  • The consortium currently owns about 31% of Kennedy-Wilson's outstanding common stock and would own 100% of the company following the transaction (Key Developments)
  • Kennedy-Wilson's Board of Directors has formed a special committee to evaluate the proposed acquisition and oversee the review of strategic alternatives (Key Developments)

Valuation Changes

  • The consensus analyst price target has fallen moderately from 13 dollars to 11 dollars per share, reflecting a lower assessed fair value.
  • The discount rate has risen slightly from 12.32% to 12.50%, indicating a marginally higher required return on equity.
  • Revenue growth has increased slightly from approximately 41.46% to 42.42%, signaling a modestly stronger top line outlook.
  • Net profit margin has edged down from about 5.01% to 4.93%, implying a slightly weaker profitability profile.
  • The future P/E has fallen significantly from roughly 34.0x to 27.4x, suggesting a lower valuation multiple applied to forward earnings.

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Disclaimer

AnalystHighTarget is a tool utilizing a Large Language Model (LLM) that ingests data on consensus price targets, forecasted revenue and earnings figures, as well as the transcripts of earnings calls to produce qualitative analysis. The narratives produced by AnalystHighTarget are general in nature and are based solely on analyst data and publicly-available material published by the respective companies. These scenarios are not indicative of the company's future performance and are exploratory in nature. Simply Wall St has no position in the company(s) mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The price targets and estimates used are consensus data, and do not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that AnalystHighTarget's analysis may not factor in the latest price-sensitive company announcements or qualitative material.