NYSE:KKR

Stock Analysis Report

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Executive Summary

KKR & Co. Inc. is a private equity and real estate investment firm specializing in direct and fund of fund investments. More Details


Snowflake Analysis

Fair value with moderate growth potential.


Similar Companies

Share Price & News

How has KKR's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: KKR is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: KKR's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

2.3%

KKR

1.2%

US Capital Markets

-0.06%

US Market


1 Year Return

30.7%

KKR

9.0%

US Capital Markets

19.0%

US Market

Return vs Industry: KKR exceeded the US Capital Markets industry which returned 9% over the past year.

Return vs Market: KKR exceeded the US Market which returned 19% over the past year.


Shareholder returns

KKRIndustryMarket
7 Day2.3%1.2%-0.06%
30 Day3.2%6.7%4.4%
90 Day11.2%8.4%6.3%
1 Year32.9%30.7%11.7%9.0%21.7%19.0%
3 Year111.0%98.1%32.0%21.8%46.4%36.7%
5 Year164.2%128.3%79.3%56.8%91.0%69.9%

Long-Term Price Volatility Vs. Market

How volatile is KKR's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is KKR undervalued compared to its fair value and its price relative to the market?

22.19x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: KKR ($38.61) is trading above our estimate of fair value ($22.48)

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


Price To Earnings Ratio

PE vs Industry: KKR is good value based on its PE Ratio (22.2x) compared to the US Capital Markets industry average (22.6x).

PE vs Market: KKR is poor value based on its PE Ratio (22.2x) compared to the US market (19.5x).


Price to Earnings Growth Ratio

PEG Ratio: KKR is good value based on its PEG Ratio (0.9x)


Price to Book Ratio

PB vs Industry: KKR is good value based on its PB Ratio (2.1x) compared to the US Capital Markets industry average (4.7x).


Next Steps

Future Growth

How is KKR forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

24.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: KKR's forecast earnings growth (24.1% per year) is above the savings rate (2.2%).

Earnings vs Market: KKR's earnings (24.1% per year) are forecast to grow faster than the US market (21.9% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: KKR's revenue (3.7% per year) is forecast to grow slower than the US market (10.2% per year).

High Growth Revenue: KKR's revenue (3.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: KKR's Return on Equity is forecast to be low in 3 years time (10.5%).


Next Steps

Past Performance

How has KKR performed over the past 5 years?

21.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: KKR has high quality earnings.

Growing Profit Margin: KKR's current net profit margins (20.6%) are lower than last year (22.5%).


Past Earnings Growth Analysis

Earnings Trend: KKR's earnings have grown significantly by 21.3% per year over the past 5 years.

Accelerating Growth: KKR's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: KKR had negative earnings growth (-9.4%) over the past year, making it difficult to compare to the Capital Markets industry average (3%).


Return on Equity

High ROE: KKR's Return on Equity (5.9%) is considered low.


Next Steps

Financial Health

How is KKR's financial position?


Financial Position Analysis

Short Term Liabilities: KKR's short term assets ($8.2B) exceed its short term liabilities ($4.5B).

Long Term Liabilities: KKR's short term assets ($8.2B) do not cover its long term liabilities ($32.1B).


Debt to Equity History and Analysis

Debt Level: KKR's debt to equity ratio (93.5%) is considered high.

Reducing Debt: KKR's debt to equity ratio has increased from 33.9% to 93.5% over the past 5 years.

Debt Coverage: KKR's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: Insufficient data to determine if KKR's interest payments on its debt are well covered by EBIT.


Balance Sheet


Next Steps

Dividend

What is KKR current dividend yield, its reliability and sustainability?

1.40%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: KKR's dividend (1.4%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.5%).

High Dividend: KKR's dividend (1.4%) is low compared to the top 25% of dividend payers in the US market (4.15%).


Stability and Growth of Payments

Stable Dividend: KKR's dividend payments have been volatile in the past 10 years.

Growing Dividend: KKR's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (30.5%), KKR's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: KKR's dividends in 3 years are forecast to be well covered by earnings (24.3% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.3yrs

Average management tenure


CEO

George Roberts (77 yo)

no data

Tenure

US$40,165,377

Compensation

Mr. George Rosenberg Roberts, J.D. serves as a Co-Chief Executive Officer and Co-Chairman at KKR & Co. Inc. (formerly, KKR & Co. L.P.) and KKR Management LLC. Mr. Roberts co-founded KKR & Co. and KKR Manag...


CEO Compensation Analysis

Compensation vs Market: George's total compensation ($USD40.17M) is above average for companies of similar size in the US market ($USD10.98M).

Compensation vs Earnings: George's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
George Roberts
Co-Founderno dataUS$40.17m1.44%
$ 466.1m
Henry Kravis
Co-Founderno dataUS$40.12m2.63%
$ 851.4m
Joseph Bae
Co-President3.33yrsUS$34.97m0.23%
$ 74.5m
Scott Nuttall
Co-President3.33yrsUS$35.21m0.31%
$ 98.8m
David Sorkin
Partner & General Counsel13.83yrsUS$6.46m0%
$ 0
Robert Lewin
Chief Financial Officer0.83yrno data0.013%
$ 4.1m
Todd Falk
Director and Chief Accounting Officer of Energy Real Assetsno datano datano data
Usman Rabbani
MD and Global Head of Innovation & Technologyno datano datano data
Emilia Sherifova
Chief Information & Innovation Officer1.33yrsno datano data
Carolyn Jehle
Director1.83yrsno datano data
Craig Larson
Partner and Head of Investor Relations9.5yrsno datano data
Bruce Karpati
Global Chief Compliance Officer6.83yrsno datano data

3.3yrs

Average Tenure

49yo

Average Age

Experienced Management: KKR's management team is considered experienced (3.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
George Roberts
Co-Founderno dataUS$40.17m1.44%
$ 466.1m
Henry Kravis
Co-Founderno dataUS$40.12m2.63%
$ 851.4m
Joseph Bae
Co-President3.33yrsUS$34.97m0.23%
$ 74.5m
Scott Nuttall
Co-President3.33yrsUS$35.21m0.31%
$ 98.8m
Nathaniel Taylor
Partner0.58yrno datano data
David Petraeus
Partner & Chairman of KKR Global Institute7.5yrsno datano data
Joseph Grundfest
Independent Director10.33yrsUS$287.41k0.014%
$ 4.5m
Patricia Russo
Independent Director9.58yrsUS$240.24k0.013%
$ 4.1m
John Hess
Independent Director9.33yrsUS$237.41k0.0012%
$ 382.1k
Thomas Schoewe
Independent Director9.67yrsUS$265.24k0.014%
$ 4.5m
David Drummond
Independent Director6.67yrsUS$240.24k0.0077%
$ 2.5m
Robert Scully
Independent Director10.33yrsUS$284.49k0.023%
$ 7.6m

8.4yrs

Average Tenure

67.5yo

Average Age

Experienced Board: KKR's board of directors are considered experienced (8.4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: KKR insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

KKR & Co. Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: KKR & Co. Inc.
  • Ticker: KKR
  • Exchange: NYSE
  • Founded: 1976
  • Industry: Asset Management and Custody Banks
  • Sector: Diversified Financials
  • Implied Market Cap: US$32.384b
  • Market Cap: US$21.976b
  • Shares outstanding: 847.97m
  • Website: https://www.kkr.com

Number of Employees


Location

  • KKR & Co. Inc.
  • 9 West 57th Street
  • Suite 4200
  • New York
  • New York
  • 10019
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
KR51DB (Deutsche Boerse AG)Common UnitsDEEURJul 2010
KKRC *BMV (Bolsa Mexicana de Valores)Common UnitsMXMXNJul 2010
KKRNYSE (New York Stock Exchange)YesCommon StockUSUSDJul 2010
0Z1WLSE (London Stock Exchange)YesCommon StockGBUSDJul 2010

Biography

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...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/11/24 00:46
End of Day Share Price2020/11/23 00:00
Earnings2020/09/30
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.