Silver Point Capital L.P. Makes New Investment in KinderCare Learning Companies, Inc. $KLC

Key Points

• Silver Point Capital acquired 5.105 million KinderCare Learning Companies shares worth approximately $21.7 million, representing about 4.31% of the company and becoming its seventh-largest holding.
• Analyst sentiment is cautious: KLC has a consensus rating of “Reduce”, with one Buy, five Hold, and four Sell ratings and an average price target of $4.13.
• KinderCare reported quarterly EPS of $0.08, below the $0.10 consensus estimate, while revenue of $697.52 million slightly missed expectations and declined 0.4% year over year; shares recently traded at $2.60.

Silver Point Capital L.P. bought a new stake in KinderCare Learning Companies, Inc. (NYSE:KLC - Free Report) during the second quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor bought 5,105,000 shares of the company's stock, valued at approximately $21,696,250. KinderCare Learning Companies makes up approximately 0.0% of Silver Point Capital L.P.'s holdings, making the stock its 7th biggest position. Silver Point Capital L.P. owned approximately 4.31% of KinderCare Learning Companies as of its most recent filing with the Securities and Exchange Commission.

Other hedge funds and other institutional investors have also recently bought and sold shares of the company. Tower Research Capital LLC TRC boosted its holdings in KinderCare Learning Companies by 62.4% in the 2nd quarter. Tower Research Capital LLC TRC now owns 5,128 shares of the company's stock valued at $52,000 after purchasing an additional 1,971 shares during the period. Caitong International Asset Management Co. Ltd grew its holdings in KinderCare Learning Companies by 350.8% during the fourth quarter. Caitong International Asset Management Co. Ltd now owns 6,600 shares of the company's stock worth $29,000 after buying an additional 5,136 shares in the last quarter. PharVision Advisers LLC bought a new stake in KinderCare Learning Companies during the 3rd quarter worth approximately $68,000. Sherbrooke Park Advisers LLC bought a new position in KinderCare Learning Companies during the 3rd quarter valued at approximately $70,000. Finally, Pallas Capital Advisors LLC purchased a new position in shares of KinderCare Learning Companies during the second quarter valued at approximately $45,000.

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently commented on KLC shares. Weiss Ratings cut shares of KinderCare Learning Companies from a "sell (d-)" rating to a "sell (e+)" rating in a research note on Monday, August 17th. JPMorgan Chase & Co. cut KinderCare Learning Companies from a "neutral" rating to an "underweight" rating in a research report on Friday, August 14th. BMO Capital Markets raised their price target on KinderCare Learning Companies from $4.00 to $6.00 and gave the company an "outperform" rating in a report on Monday, May 18th. Deutsche Bank Aktiengesellschaft restated a "hold" rating and issued a $6.00 price target on shares of KinderCare Learning Companies in a research report on Friday, August 14th. Finally, Wall Street Zen lowered shares of KinderCare Learning Companies from a "sell" rating to a "strong sell" rating in a research report on Saturday, August 22nd. One research analyst has rated the stock with a Buy rating, five have given a Hold rating and four have given a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Reduce" and an average target price of $4.13.

KinderCare Learning Companies Price Performance

Shares of KLC traded up $0.07 on Friday, reaching $2.60. The stock had a trading volume of 778,064 shares, compared to its average volume of 1,043,567. The company has a quick ratio of 0.75, a current ratio of 0.75 and a debt-to-equity ratio of 1.97. KinderCare Learning Companies, Inc. has a twelve month low of $1.75 and a twelve month high of $7.68. The firm has a market capitalization of $308.15 million, a PE ratio of -0.65 and a beta of 4.00. The firm has a 50-day moving average of $4.46 and a 200 day moving average of $3.83.

KinderCare Learning Companies (NYSE:KLC - Get Free Report) last announced its earnings results on Thursday, August 13th. The company reported $0.08 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.10 by ($0.02). The company had revenue of $697.52 million for the quarter, compared to analyst estimates of $697.94 million. KinderCare Learning Companies had a positive return on equity of 6.65% and a negative net margin of 17.23%.The firm's revenue for the quarter was down .4% on a year-over-year basis. During the same period last year, the firm earned $0.22 earnings per share. KinderCare Learning Companies has set its FY 2026 guidance at 0.050-0.150 EPS. Sell-side analysts expect that KinderCare Learning Companies, Inc. will post 0.1 EPS for the current year.

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.