KKR Real Estate Finance Trust Inc.

DB:8KR Stock Report

Market Cap: €770.6m

KKR Real Estate Finance Trust Valuation

Is 8KR undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 8KR when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 8KR (€11) is trading above our estimate of fair value (€2.96)

Significantly Below Fair Value: 8KR is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 8KR?

Key metric: As 8KR is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 8KR. This is calculated by dividing 8KR's market cap by their current revenue.
What is 8KR's PS Ratio?
PS Ratio12.2x
SalesUS$66.59m
Market CapUS$813.30m

Price to Sales Ratio vs Peers

How does 8KR's PS Ratio compare to its peers?

The above table shows the PS ratio for 8KR vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average13.7x
BFV Berliner Effektengesellschaft
6.5xn/a€809.7m
PBB Deutsche Pfandbriefbank
1.9x12.0%€679.1m
ADE Bitcoin Group
45.1xn/a€285.5m
GLJ Grenke
1.3x14.1%€695.4m
8KR KKR Real Estate Finance Trust
12.2x19.5%€813.3m

Price-To-Sales vs Peers: 8KR is good value based on its Price-To-Sales Ratio (12.2x) compared to the peer average (13.7x).

Price to Sales Ratio vs Industry

How does 8KR's PS Ratio compare vs other companies in the Global Mortgage REITs Industry?

0 CompaniesPrice / SalesEstimated GrowthMarket Cap
8KR 12.2xIndustry Avg. 5.6xNo. of Companies6PS03.26.49.612.816+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: 8KR is expensive based on its Price-To-Sales Ratio (12.2x) compared to the Global Mortgage REITs industry average (5.6x).

Price to Sales Ratio vs Fair Ratio

What is 8KR's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

8KR PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio12.2x
Fair PS Ratio2.9x

Price-To-Sales vs Fair Ratio: 8KR is expensive based on its Price-To-Sales Ratio (12.2x) compared to the estimated Fair Price-To-Sales Ratio (2.9x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 8KR forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€11.00
€12.05
+9.5%
4.6%€12.89€11.05n/a6
Nov ’25€10.50
€12.05
+14.7%
4.6%€12.89€11.05n/a6
Oct ’25€11.00
€11.65
+5.9%
6.7%€12.54€10.30n/a6
Sep ’25€10.60
€11.49
+8.4%
5.4%€12.03€10.64n/a6
Aug ’25€10.50
€11.49
+9.4%
5.4%€12.03€10.64n/a6
Jul ’25€8.30
€10.07
+21.3%
8.1%€11.24€9.13n/a5
Jun ’25€8.55
€10.07
+17.8%
8.1%€11.24€9.13n/a5
May ’25€8.85
€10.07
+13.8%
8.1%€11.24€9.13n/a5
Apr ’25€9.15
€10.38
+13.4%
9.2%€11.99€9.23n/a6
Mar ’25€8.90
€10.35
+16.3%
8.5%€12.00€9.23n/a7
Feb ’25€11.30
€11.64
+3.0%
9.0%€13.32€10.11n/a6
Jan ’25€12.10
€11.94
-1.3%
10.6%€13.89€10.19n/a7
Dec ’24€11.50
€11.57
+0.6%
9.5%€13.69€10.04n/a7
Nov ’24€9.80
€12.00
+22.4%
9.5%€14.19€10.41€10.507
Oct ’24€11.10
€12.33
+11.1%
8.3%€13.74€10.99€11.007
Sep ’24€11.50
€12.33
+7.2%
8.3%€13.74€10.99€10.607
Aug ’24€11.30
€12.27
+8.5%
9.1%€13.52€10.82€10.507
Jul ’24€11.10
€11.46
+3.2%
12.5%€13.59€9.97€8.307
Jun ’24€10.50
€11.46
+9.1%
12.5%€13.59€9.97€8.557
May ’24€9.55
€11.46
+20.0%
12.5%€13.59€9.97€8.857
Apr ’24€10.00
€15.57
+55.7%
4.7%€16.92€14.57€9.157
Mar ’24€13.60
€15.72
+15.6%
5.2%€16.79€14.46€8.907
Feb ’24€14.50
€16.26
+12.1%
6.3%€18.21€14.56€11.307
Jan ’24€12.90
€17.32
+34.2%
4.8%€18.72€15.91€12.107
Dec ’23€15.70
€18.34
+16.8%
3.4%€19.52€17.57€11.507
Nov ’23€17.50
€18.85
+7.7%
3.4%€20.07€18.06€9.807

Analyst Forecast: Target price is less than 20% higher than the current share price.

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