KKR Real Estate Finance Trust Inc., a real estate finance company, focuses primarily on originating and acquiring senior loans secured by commercial real estate assets.
Fair value with acceptable track record.
Share Price & News
How has KKR Real Estate Finance Trust's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: KREF has not had significant price volatility in the past 3 months.
7 Day Return
US Mortgage REITs
1 Year Return
US Mortgage REITs
Return vs Industry: KREF matched the US Mortgage REITs industry which returned 2.7% over the past year.
Return vs Market: KREF underperformed the US Market which returned 10.5% over the past year.
Price Volatility Vs. Market
How volatile is KKR Real Estate Finance Trust's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 month ago | Simply Wall StCould The KKR Real Estate Finance Trust Inc. (NYSE:KREF) Ownership Structure Tell Us Something Useful?
3 months ago | Simply Wall StIs KKR Real Estate Finance Trust Inc.'s (NYSE:KREF) 8.7% Dividend Worth Your Time?
5 months ago | Simply Wall St3 Days Left Until KKR Real Estate Finance Trust Inc. (NYSE:KREF) Trades Ex-Dividend
Is KKR Real Estate Finance Trust undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: KREF ($20.84) is trading below our estimate of fair value ($26.87)
Significantly Below Fair Value: KREF is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: KREF is poor value based on its PE Ratio (13.2x) compared to the Mortgage REITs industry average (12.9x).
PE vs Market: KREF is good value based on its PE Ratio (13.2x) compared to the US market (17.2x).
Price to Earnings Growth Ratio
PEG Ratio: KREF is poor value based on its PEG Ratio (1.1x)
Price to Book Ratio
PB vs Industry: KREF is overvalued based on its PB Ratio (1.1x) compared to the US Mortgage REITs industry average (1x).
How is KKR Real Estate Finance Trust forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: KREF's forecast earnings growth (11.5% per year) is above the savings rate (1.7%).
Earnings vs Market: KREF's earnings (11.5% per year) are forecast to grow slower than the US market (13.2% per year).
High Growth Earnings: KREF's earnings are forecast to grow, but not significantly.
Revenue vs Market: KREF's revenue (9.6% per year) is forecast to grow faster than the US market (7.6% per year).
High Growth Revenue: KREF's revenue (9.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: KREF's Return on Equity is forecast to be low in 3 years time (9.2%).
How has KKR Real Estate Finance Trust performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: KREF has high quality earnings.
Growing Profit Margin: KREF's current net profit margins (74.5%) are higher than last year (73.6%).
Past Earnings Growth Analysis
Earnings Trend: KREF has become profitable over the past 5 years, growing earnings by 35.2% per year.
Accelerating Growth: KREF's earnings growth over the past year (3.7%) is below its 5-year average (35.2% per year).
Earnings vs Industry: KREF earnings growth over the past year (3.7%) underperformed the Mortgage REITs industry 11.3%.
Return on Equity
High ROE: KREF's Return on Equity (8%) is considered low.
Return on Assets
Return on Capital Employed
How is KKR Real Estate Finance Trust's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Inventory Level: KREF has a low level of unsold assets or inventory.
Debt Coverage by Assets: KREF's debt is covered by short term assets (assets are 1.3x debt).
Financial Institutions Analysis
Asset Level: KREF's level of assets compared to its equity is low.
Allowance for Bad Loans: Insufficient data to determine if KREF has a sufficient allowance for bad loans.
Low Risk Liabilities: KREF reports no customer deposits, loans are made up entirely of externally borrowed funds.
Loan Level: Insufficient data to determine if KREF has an acceptable proportion of non-loan assets held.
Low Risk Deposits: KREF has advanced significantly more loans than the customer deposits it holds.
Level of Bad Loans: Insufficient data to determine if KREF has an appropriate level of bad loans.
What is KKR Real Estate Finance Trust's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: KREF's dividend (8.25%) is higher than the bottom 25% of dividend payers in the US market (1.52%).
High Dividend: KREF's dividend (8.25%) is in the top 25% of dividend payers in the US market (3.9%)
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, KREF has been paying a dividend for less than 10 years.
Growing Dividend: KREF's dividend payments have increased, but the company has only paid a dividend for 2 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (109.2%), KREF's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: KREF's dividends in 3 years are not forecast to be well covered by earnings (98.3% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Chris Lee (40yo)
Mr. Christen E. J. Lee, also known as Chris, has been a Co-Chief Executive Officer at KKR Real Estate Finance Trust Inc. since October 2015 and also has been its Co-President since March 2016. Mr. Lee serv ...
|Co-CEO & Co-President||4.3yrs||US$1.26m||0.17% $2.0m|
|Co-President & Co-CEO||4.3yrs||US$1.26m||0.11% $1.3m|
|CFO & Treasurer||1.9yrs||US$593.40k||0.0038% $46.0k|
|COO & Secretary||4.3yrs||US$896.33k||0.041% $492.1k|
|Investor Relations Principal||0yrs||no data||no data|
|Investor Relations Officer||0yrs||no data||no data|
Experienced Management: KREF's management team is considered experienced (4.3 years average tenure).
|Director||5.3yrs||no data||0.17% $2.1m|
|Director||2.8yrs||no data||no data|
|Chairman of the Board||5.3yrs||no data||0.44% $5.2m|
|Independent Director||2.8yrs||US$132.50k||0.017% $207.1k|
|Independent Director||1.7yrs||US$90.48k||no data|
|Independent Director||2.8yrs||US$122.50k||0.030% $363.5k|
|Director||2.8yrs||no data||no data|
|Independent Director||1.8yrs||US$100.63k||no data|
Experienced Board: KREF's board of directors are not considered experienced ( 2.8 years average tenure), which suggests a new board.
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 4.2%.
KKR Real Estate Finance Trust Inc.'s company bio, employee growth, exchange listings and data sources
- Name: KKR Real Estate Finance Trust Inc.
- Ticker: KREF
- Exchange: NYSE
- Founded: 2014
- Industry: Mortgage REITs
- Sector: Diversified Financials
- Market Cap: US$1.198b
- Shares outstanding: 57.49m
- Website: https://www.kkrreit.com
- KKR Real Estate Finance Trust Inc.
- 9 West 57th Street
- Suite 4200
- New York
- New York
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|KREF||NYSE (New York Stock Exchange)||Yes||Common Stock||US||USD||May 2017|
|8KR||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||May 2017|
KKR Real Estate Finance Trust Inc., a real estate finance company, focuses primarily on originating and acquiring senior loans secured by commercial real estate assets. The company engages in the origination and purchase of credit investments related to commercial real estate, including leveraged and unleveraged commercial mortgage loans, and commercial mortgage-backed securities. It has elected to be taxed as a real estate investment trust and would not be subject to federal corporate income taxes if it distributes at least 90% of its taxable income to its stockholders. The company was founded in 2014 and is headquartered in New York, New York.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/02/26 02:41|
|End of Day Share Price||2020/02/25 00:00|
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.