Morningstar Investment Management LLC Sells 45,920 Shares of KKR & Co. Inc. $KKR

Key Points

• Morningstar Investment Management cut its KKR stake by 73.7% in the fourth quarter, selling 45,920 shares and ending with 16,347 shares worth about $2.08 million.
• Analyst sentiment on KKR has turned more cautious, with several firms slashing price targets and one downgrading the stock to strong sell; the consensus rating remains Moderate Buy with a $134.53 target.
• KKR recently raised its quarterly dividend to $0.195 per share and authorized a $500 million share buyback, signaling continued capital returns to shareholders.

Morningstar Investment Management LLC reduced its holdings in shares of KKR & Co. Inc. (NYSE:KKR - Free Report) by 73.7% during the fourth quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 16,347 shares of the asset manager's stock after selling 45,920 shares during the quarter. Morningstar Investment Management LLC's holdings in KKR & Co. Inc. were worth $2,084,000 as of its most recent SEC filing.

A number of other hedge funds have also bought and sold shares of KKR. ESL Trust Services LLC bought a new stake in KKR & Co. Inc. during the third quarter worth $26,000. Asset Dedication LLC bought a new stake in KKR & Co. Inc. during the third quarter worth $26,000. GGM Financials LLC bought a new stake in KKR & Co. Inc. during the third quarter worth $27,000. Washington Trust Advisors Inc. bought a new stake in KKR & Co. Inc. during the fourth quarter worth $27,000. Finally, Elyxium Wealth LLC bought a new stake in KKR & Co. Inc. during the fourth quarter worth $27,000. 76.26% of the stock is currently owned by institutional investors.

Analyst Upgrades and Downgrades

KKR has been the topic of a number of recent analyst reports. Oppenheimer dropped their price target on KKR & Co. Inc. from $187.00 to $140.00 and set an "outperform" rating on the stock in a report on Monday, April 13th. TD Cowen lowered their target price on KKR & Co. Inc. from $106.00 to $104.00 and set a "hold" rating on the stock in a research note on Monday, May 18th. Zacks Research lowered KKR & Co. Inc. from a "hold" rating to a "strong sell" rating in a research note on Monday, April 13th. The Goldman Sachs Group lowered their target price on KKR & Co. Inc. from $145.00 to $110.00 and set a "buy" rating on the stock in a research note on Tuesday, April 7th. Finally, Morgan Stanley lowered their target price on KKR & Co. Inc. from $177.00 to $153.00 and set an "overweight" rating on the stock in a research note on Tuesday, April 21st. One equities research analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating, two have given a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $134.53.

Insider Activity

In related news, Director Timothy R. Barakett purchased 50,000 shares of KKR & Co. Inc. stock in a transaction dated Wednesday, March 4th. The stock was bought at an average cost of $94.47 per share, for a total transaction of $4,723,500.00. Following the completion of the transaction, the director owned 285,000 shares in the company, valued at $26,923,950. This trade represents a 21.28% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. 23.20% of the stock is currently owned by insiders.

KKR & Co. Inc. Stock Performance

Shares of KKR opened at $94.02 on Tuesday. The firm has a market cap of $84.42 billion, a PE ratio of 31.98, a PEG ratio of 0.83 and a beta of 1.85. The stock's fifty day moving average price is $95.90 and its two-hundred day moving average price is $109.75. The company has a debt-to-equity ratio of 0.70, a current ratio of 0.08 and a quick ratio of 0.08. KKR & Co. Inc. has a 1 year low of $82.67 and a 1 year high of $153.87.

KKR & Co. Inc. (NYSE:KKR - Get Free Report) last issued its earnings results on Friday, February 27th. The asset manager reported $1.24 earnings per share (EPS) for the quarter. The firm had revenue of $5.74 billion for the quarter. KKR & Co. Inc. had a return on equity of 5.42% and a net margin of 13.94%. On average, equities research analysts forecast that KKR & Co. Inc. will post 5.46 EPS for the current year.

KKR & Co. Inc. Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, May 29th. Shareholders of record on Friday, May 15th will be paid a $0.195 dividend. The ex-dividend date is Friday, May 15th. This is a boost from KKR & Co. Inc.'s previous quarterly dividend of $0.19. This represents a $0.78 annualized dividend and a dividend yield of 0.8%. KKR & Co. Inc.'s dividend payout ratio is presently 26.53%.

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

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