Analyzing KinderCare Learning Companies (KLC) & Its Competitors

KinderCare Learning Companies (NYSE:KLC) is one of 36 public companies in the “SCHOOLS” industry, but how does it compare to its peers? We will compare KinderCare Learning Companies to similar businesses based on the strength of its dividends, analyst recommendations, valuation, institutional ownership, earnings, risk and profitability.

Analyst Ratings

This is a summary of current ratings and recommmendations for KinderCare Learning Companies and its peers, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
KinderCare Learning Companies	3	5	1	0	1.78
KinderCare Learning Companies Competitors	383	771	1413	79	2.45

KinderCare Learning Companies currently has a consensus price target of $4.63, indicating a potential upside of 39.21%. As a group, “SCHOOLS” companies have a potential upside of 26.53%. Given KinderCare Learning Companies’ higher probable upside, equities research analysts clearly believe KinderCare Learning Companies is more favorable than its peers.

Valuation & Earnings

This table compares KinderCare Learning Companies and its peers gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
KinderCare Learning Companies	$2.73 billion	-$112.88 million	-3.50
KinderCare Learning Companies Competitors	$999.19 million	$62.93 million	14.68

KinderCare Learning Companies has higher revenue, but lower earnings than its peers. KinderCare Learning Companies is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares KinderCare Learning Companies and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
KinderCare Learning Companies	-4.13%	9.85%	2.28%
KinderCare Learning Companies Competitors	6.96%	4.94%	5.14%

Volatility & Risk

KinderCare Learning Companies has a beta of 2.33, meaning that its stock price is 133% more volatile than the S&P 500. Comparatively, KinderCare Learning Companies’ peers have a beta of 0.19, meaning that their average stock price is 81% less volatile than the S&P 500.

Insider & Institutional Ownership

46.8% of shares of all “SCHOOLS” companies are owned by institutional investors. 5.3% of KinderCare Learning Companies shares are owned by insiders. Comparatively, 29.0% of shares of all “SCHOOLS” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Summary

KinderCare Learning Companies peers beat KinderCare Learning Companies on 9 of the 13 factors compared.

KinderCare Learning Companies Company Profile

KinderCare Learning Companies Inc. is a provider of high-quality early childhood education by center capacity. KinderCare Learning Companies Inc. is based in PORTLAND, Ore.