Validea Detailed Fundamental Analysis

Validea's guru fundamental report indicates that KKR & CO INC (KKR) receives a 68% rating based on their Small-Cap Growth Investor model, which is derived from the Motley Fool's published strategy, highlighting the firm's solid fundamentals and strong price performance; however, the stock fails key tests including relative strength, sales and EPS growth comparison, the Fool Ratio, average shares outstanding, sales, and daily dollar volume, while passing tests for profit margin, insider holdings, cash flow from operations, profit margin consistency, cash and cash equivalents, accounts receivable to sales, and price.

Analysis

KKR & Co. Inc. (KKR) has been evaluated by Validea's Small-Cap Growth Investor model, based on the Motley Fool strategy, achieving a rating of 68%. This score suggests a mixed profile, as it falls below the 80% threshold that typically indicates model interest. KKR, classified as a large-cap growth stock in the Investment Services industry, passed several fundamental tests including profit margin, insider holdings, cash flow from operations, profit margin consistency, cash and cash equivalents, accounts receivable to sales, and price. However, the analysis also reveals significant weaknesses, with KKR failing criteria related to relative strength, year-over-year sales and EPS growth comparison, the "Fool Ratio" (P/E to growth), average shares outstanding, sales, daily dollar volume, and income tax percentage. The overall sentiment score of -0.1 (mixed) for KKR further underscores this ambivalent assessment, highlighting that while certain fundamental aspects are robust, key growth, valuation, and share structure metrics do not meet the model's specific requirements.

Key Decisions for Investors

• Investors should note KKR's 68% score on this specific small-cap growth model, which suggests a cautious stance due to failures in critical growth and valuation areas despite strengths in operational fundamentals.
• Detailed due diligence is recommended to understand the drivers behind the failed metrics, particularly the weak relative strength, unfavorable sales and EPS growth comparisons, and the unattractive P/E to growth ratio.
• Consider that the application of a small-cap focused model to a large-cap stock like KKR might influence certain 'fail' ratings, and assess these specific criteria within the context of KKR's large-cap status and industry.