Wolfe Research slashes price target on KKR & Co. Inc [KKR] – find out why.

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KKR & Co. Inc [NYSE: KKR] stock went on an upward path that rose over 3.11% on Thursday, amounting to a one-week price increase of more than 7.60%. The company report on October 30, 2023 at 4:15 PM that KKR Announces Completion of Acquisition of Simon & Schuster from Paramount.

KKR, a leading global investment firm, today announced the successful completion of the previously announced acquisition of Simon & Schuster from Paramount Global (NASDAQ: PARA, PARAA) in a $1.62 billion all-cash transaction. With the closing of the deal, Simon & Schuster is now a standalone private company, and the only independent major trade publisher in the U.S. It continues to be led by Jonathan Karp, President and CEO, and his talented executive team.

“This is an exciting moment for us—both a return to our roots as a standalone company and an opportunity for all of us to forge a new path together,” said Jonathan Karp, President and CEO of Simon & Schuster. “With KKR’s resources and support, we intend to become an even stronger company and a more dynamic force in our industry, while still maintaining our well-established record of editorial excellence and independence, and our unceasing focus on doing the best for our authors and their books. I know that we will build on that legacy going forward.”.

Over the last 12 months, KKR stock rose by 18.70%. The one-year KKR & Co. Inc stock forecast points to a potential upside of 21.38. The average equity rating for KKR stock is currently 1.26, trading closer to a bullish pattern in the stock market.

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The market cap for the stock reached $51.94 billion, with 861.11 million shares outstanding and 667.38 million shares in the current float. Compared to the average trading volume of 3.40M shares, KKR stock reached a trading volume of 3927352 in the most recent trading day, which is why market watchdogs consider the stock to be active.

Guru’s Opinion on KKR & Co. Inc [KKR]:

Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for KKR shares is $74.69 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on KKR stock is a recommendation set at 1.26. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.

Wolfe Research have made an estimate for KKR & Co. Inc shares, keeping their opinion on the stock as Outperform, with their previous recommendation back on October 05, 2023.

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The Average True Range (ATR) for KKR & Co. Inc is set at 1.54, with the Price to Sales ratio for KKR stock in the period of the last 12 months amounting to 4.33. The Price to Book ratio for the last quarter was 2.67, with the Price to Cash per share for the same quarter was set at 6.77. Price to Free Cash Flow for KKR in the course of the last twelve months was 9.56.

KKR Stock Performance Analysis:

KKR & Co. Inc [KKR] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 7.60. With this latest performance, KKR shares dropped by -1.76% in over the last four-week period, additionally plugging by 18.39% over the last 6 months – not to mention a rise of 18.70% in the past year of trading.

Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for KKR stock in for the last two-week period is set at 52.15, with the RSI for the last a single of trading hit 58.89, and the three-weeks RSI is set at 49.77 for KKR & Co. Inc [KKR]. The present Moving Average for the last 50 days of trading for this stock 60.44, while it was recorded at 56.05 for the last single week of trading, and 56.23 for the last 200 days.

Insight into KKR & Co. Inc Fundamentals:

Operating Margin for any stock indicates how profitable investing would be, and KKR & Co. Inc [KKR] shares currently have an operating margin of -49.44 and a Gross Margin at +16.76. KKR & Co. Inc’s Net Margin is presently recorded at -15.90.

Return on Total Capital for KKR is now -2.67, given the latest momentum, and Return on Invested Capital for the company is -1.43. Return on Equity for this stock declined to -4.76, with Return on Assets sitting at -0.31. When it comes to the capital structure of this company, KKR & Co. Inc [KKR] has a Total Debt to Total Equity ratio set at 250.28. Additionally, KKR Total Debt to Total Capital is recorded at 71.45, with Total Debt to Total Assets ending up at 16.01. Long-Term Debt to Equity for the company is recorded at 260.46, with the Long-Term Debt to Total Capital now at 69.68.

Reflecting on the efficiency of the workforce at the company, KKR & Co. Inc [KKR] managed to generate an average of -$186,918 per employee. Receivables Turnover for the company is 0.17 with a Total Asset Turnover recorded at a value of 0.02.


The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for KKR. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for KKR & Co. Inc go to 12.70%.

KKR & Co. Inc [KKR] Institutonal Ownership Details

The top three institutional holders of KKR stocks are: VANGUARD GROUP INC with ownership of 1.3 billion shares, which is approximately 8.2579%. BLACKROCK INC., holding 1.04 billion shares of the stock with an approximate value of $201.66 billion in KKR stocks shares; and BERKSHIRE HATHAWAY INC, currently with $177.59 billion in KKR stock with ownership which is approximately 5.7994%.

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