KinderCare Learning Companies (NYSE:KLC) Cut to Strong Sell at Wall Street Zen

Key Points

• Wall Street Zen downgraded KinderCare Learning Companies from “sell” to “strong sell,” while the broader analyst consensus is “Reduce” with an average price target of $4.13.
• KLC shares opened at $2.75, well below their 50-day moving average of $4.58, and have traded between $1.75 and $7.77 over the past year.
• The company missed quarterly earnings expectations, reporting $0.08 per share versus the $0.10 consensus estimate, while revenue fell 0.4% year over year and net margin remained negative at 17.23%.

KinderCare Learning Companies (NYSE:KLC - Get Free Report) was downgraded by analysts at Wall Street Zen from a "sell" rating to a "strong sell" rating in a research report issued on Saturday.

KLC has been the subject of several other research reports. BMO Capital Markets upped their price target on shares of KinderCare Learning Companies from $4.00 to $6.00 and gave the company an "outperform" rating in a research report on Monday, May 18th. Barclays lifted their price objective on shares of KinderCare Learning Companies from $2.00 to $3.00 and gave the stock an "underweight" rating in a research report on Monday, May 18th. Robert W. Baird boosted their target price on shares of KinderCare Learning Companies from $1.50 to $4.00 and gave the company a "neutral" rating in a research note on Friday, May 15th. JPMorgan Chase & Co. lowered KinderCare Learning Companies from a "neutral" rating to an "underweight" rating in a report on Friday, August 14th. Finally, UBS Group reduced their target price on KinderCare Learning Companies from $5.00 to $4.50 and set a "neutral" rating for the company in a report on Friday, August 14th. One analyst has rated the stock with a Buy rating, five have assigned a Hold rating and four have given a Sell rating to the company. According to data from MarketBeat.com, KinderCare Learning Companies presently has an average rating of "Reduce" and an average target price of $4.13.

KinderCare Learning Companies Price Performance

NYSE KLC opened at $2.75 on Friday. The stock's 50-day moving average price is $4.58 and its two-hundred day moving average price is $3.89. The company has a current ratio of 0.75, a quick ratio of 0.75 and a debt-to-equity ratio of 1.97. The company has a market cap of $325.93 million, a PE ratio of -0.69 and a beta of 4.00. KinderCare Learning Companies has a 1 year low of $1.75 and a 1 year high of $7.77.

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

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of KLC. Silver Point Capital L.P. acquired a new position in KinderCare Learning Companies in the 2nd quarter worth about $21,696,250,000. Bank of America Corp DE acquired a new stake in shares of KinderCare Learning Companies during the 2nd quarter valued at about $251,000. Ieq Capital LLC bought a new stake in shares of KinderCare Learning Companies in the 2nd quarter valued at approximately $674,000. BlackRock Inc. bought a new stake in shares of KinderCare Learning Companies in the 2nd quarter valued at approximately $9,413,000. Finally, Pallas Capital Advisors LLC acquired a new position in KinderCare Learning Companies in the second quarter worth approximately $45,000.

About KinderCare Learning Companies

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.

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