With a market cap of $131.4 billion, KKR & Co. Inc. (KKR) is a global investment firm specializing in private equity, real estate, infrastructure, credit strategies, and hedge funds. With a presence in North America, Europe, Asia, and beyond, KKR focuses on acquisitions, leveraged buyouts, growth equity, and impact investments, seeking long-term value creation.

The global investment firm's shares have outperformed the broader market over the past 52 weeks. KKR has increased 46.8% over this time frame, while the broader S&P 500 Index ($SPX) has rallied 20.7%. However, shares of KKR are down 3.7% on a YTD basis, lagging behind SPX’s 3.2% gain. 

In addition, the New York-based company has also outpaced the Financial Select Sector SPDR Fund’s (XLF) 31.9% return over the past 52 weeks. 

Despite beating Q4 analysts' expectations with an adjusted EPS of $1.32 and revenue of $3.3 billion, KKR shares dropped 8.5% on Feb. 4 due to concerns over a 26.4% year-over-year decline in adjusted revenue. Rising insurance-related expenses and higher funding costs, particularly impacting Global Atlantic, pressured margins, while total operating earnings of $1.1 billion, despite a 19.5% increase, failed to offset broader concerns. Additionally, the lack of forward guidance and volatility in unrealized investment income created uncertainty, leading to the sharp sell-off.

For the current fiscal year, ending in December 2025, analysts expect KKR’s EPS to grow 33.1% year-over-year to $5.19. The company’s earnings surprise history is mixed. It beat the consensus estimates in two of the last four quarters while missing on two other occasions. 

Among the 18 analysts covering the stock, the consensus rating is a “Strong Buy.” That’s based on 14 “Strong Buy” ratings, one “Moderate Buy,” and three “Holds.” 

On Feb. 5, Evercore ISI analyst Glenn Schorr reiterated a “Buy” rating on KKR and set a price target of $165.

As of writing, KKR is trading below the mean price target of $172.37. The Street-high price target of $214 implies a potential upside of 50.2% from the current price levels.