KKR & Co. Inc. (NYSE:KKR) Issues Earnings Results, Beats Expectations By $0.20 EPS

KKR & Co. Inc. (NYSE:KKR) announced its earnings results on Thursday. The asset manager reported $1.63 earnings per share for the quarter, beating the consensus estimate of $1.43 by $0.20, FiscalAI reports. The firm had revenue of $5.73 billion during the quarter, compared to the consensus estimate of $2.55 billion. KKR & Co. Inc. had a net margin of 14.41% and a return on equity of 5.89%. During the same quarter in the previous year, the company posted $1.18 EPS.

Here are the key takeaways from KKR & Co. Inc.’s conference call:

• Record Q2 performance: Fee-related earnings per share rose 34% year over year to $1.32, total operating earnings per share increased 27% to $1.68, and adjusted net income per share grew 38% to $1.63.
• KKR raised $34 billion in the quarter and $305 billion since the start of 2024, surpassing its three-year $300 billion fundraising target ahead of schedule. Growth was broad-based, including infrastructure, private equity, credit, Asia, insurance, wealth and the newly acquired Arctos platform.
• Monetization activity reached a company record, with $848 million of realized performance income and $220 million of realized investment income in Q2; management also cited approximately $700 million of near-term monetization visibility and $18.2 billion of remaining unrealized gains.
• KKR is expanding its long-term infrastructure opportunity through Helix Digital Infrastructure, a permanent company launched with more than $10 billion of committed capital to provide data center, power and connectivity solutions for hyperscalers amid the AI-driven capital expenditure cycle.
• Global Atlantic faces heightened competition in insurance, prompting KKR to allocate somewhat less capital to the business. Management maintained its approximately $250 million 2026 insurance operating-earnings outlook and cautioned that Q2’s roughly $40 million contribution from alternative-asset realizations is not a recurring quarterly run rate.

KKR & Co. Inc. Price Performance

Shares of NYSE:KKR traded up $0.71 during trading on Friday, reaching $101.69. The company had a trading volume of 6,281,452 shares, compared to its average volume of 3,435,320. The firm’s fifty day moving average is $95.99 and its 200 day moving average is $99.30. The company has a debt-to-equity ratio of 0.70, a quick ratio of 0.08 and a current ratio of 0.08. The firm has a market capitalization of $91.31 billion, a PE ratio of 32.39, a price-to-earnings-growth ratio of 0.85 and a beta of 1.79. KKR & Co. Inc. has a twelve month low of $82.67 and a twelve month high of $152.10.

KKR & Co. Inc. Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, August 25th. Investors of record on Monday, August 10th will be issued a $0.195 dividend. This represents a $0.78 dividend on an annualized basis and a yield of 0.8%. The ex-dividend date of this dividend is Monday, August 10th. KKR & Co. Inc.’s dividend payout ratio is 26.53%.

KKR & Co. Inc. News Summary

Here are the key news stories impacting KKR & Co. Inc. this week:

• Positive Sentiment: Quarterly earnings beat expectations: KKR reported second-quarter EPS of $1.63, ahead of the $1.42–$1.43 consensus and up from $1.18 a year earlier. Revenue reached $5.73 billion versus estimates of $2.95 billion. Growth was driven by higher assets under management, management fees, transaction fees, fundraising and inflows in its asset-management and insurance businesses. KKR Q2 Earnings and Revenues Top Estimates
• Positive Sentiment: Analysts raised price targets: Royal Bank of Canada increased its target from $125 to $134 and maintained an “outperform” rating, while Barclays raised its target from $124 to $135 and assigned an “overweight” rating. The new targets imply roughly 32% upside from the referenced share price, reinforcing confidence in KKR’s earnings and growth outlook. Analyst Price Target Updates
• Neutral Sentiment: Potential Integer Holdings acquisition: Reports say KKR is nearing a deal to acquire medical-device outsourcing company Integer Holdings. The transaction could expand KKR’s healthcare investment portfolio, although its eventual valuation, financing and execution risks remain unknown. KKR Nearing Deal to Acquire Integer Holdings
• Neutral Sentiment: Dividend declared: KKR announced a quarterly dividend of $0.195 per share, payable August 25 to shareholders of record August 10. The dividend provides continued shareholder income, though its approximately 0.8% annualized yield is unlikely to be a major share-price catalyst.

Hedge Funds Weigh In On KKR & Co. Inc.

Several hedge funds have recently made changes to their positions in KKR. Charles Schwab Investment Management Inc. grew its holdings in shares of KKR & Co. Inc. by 2.7% in the 4th quarter. Charles Schwab Investment Management Inc. now owns 4,866,227 shares of the asset manager’s stock worth $620,347,000 after acquiring an additional 129,745 shares during the last quarter. Price T Rowe Associates Inc. MD increased its stake in KKR & Co. Inc. by 41.7% in the 4th quarter. Price T Rowe Associates Inc. MD now owns 4,401,951 shares of the asset manager’s stock worth $561,161,000 after purchasing an additional 1,295,099 shares in the last quarter. Viking Global Investors LP purchased a new stake in KKR & Co. Inc. during the third quarter valued at about $352,038,000. Amundi boosted its holdings in shares of KKR & Co. Inc. by 39.4% in the fourth quarter. Amundi now owns 2,253,775 shares of the asset manager’s stock worth $287,311,000 after buying an additional 637,472 shares during the period. Finally, Farallon Capital Management LLC acquired a new stake in shares of KKR & Co. Inc. during the fourth quarter valued at approximately $257,216,000. Institutional investors and hedge funds own 76.26% of the company’s stock.

Analyst Upgrades and Downgrades

A number of analysts have recently issued reports on KKR shares. TD Cowen decreased their target price on KKR & Co. Inc. from $106.00 to $104.00 and set a “hold” rating for the company in a report on Monday, May 18th. Weiss Ratings upgraded shares of KKR & Co. Inc. from a “sell (d+)” rating to a “hold (c-)” rating in a report on Tuesday, June 16th. Keefe, Bruyette & Woods upgraded KKR & Co. Inc. to a “moderate buy” rating in a report on Monday, July 20th. HSBC upped their target price on KKR & Co. Inc. from $118.00 to $121.00 and gave the stock a “buy” rating in a research report on Monday, July 20th. Finally, UBS Group boosted their price target on KKR & Co. Inc. from $113.00 to $126.00 and gave the stock a “buy” rating in a research report on Wednesday, May 6th. Eleven equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to MarketBeat.com, KKR & Co. Inc. presently has an average rating of “Moderate Buy” and a consensus target price of $129.75.

KKR & Co. Inc. announced that its Board of Directors has authorized a share repurchase plan on Tuesday, May 5th that authorizes the company to buyback $500.00 million in outstanding shares. This buyback authorization authorizes the asset manager to purchase up to 0.5% of its stock through open market purchases. Stock buyback plans are typically an indication that the company’s leadership believes its shares are undervalued.

About KKR & Co. Inc.

KKR & Co Inc is a global investment firm headquartered in New York City that specializes in private markets and alternative asset management. Founded in 1976 by Jerome Kohlberg Jr., Henry Kravis and George R. Roberts, the firm built its reputation in leveraged buyouts and has since expanded into a multi-strategy asset manager. KKR operates across private equity, credit, real assets (including real estate and infrastructure), growth equity and hedge fund strategies, offering a range of investment products and strategies for institutional and private investors.

KKR manages capital through traditional closed-end funds as well as customized vehicles such as separate accounts, co-investments, and listed investment vehicles.