In the ever-changing and fiercely competitive business landscape, conducting thorough company analysis is crucial for investors and industry experts. In this article, we will undertake a comprehensive industry comparison, evaluating KKR (NYSE:KKR) and its primary competitors in the Capital Markets industry. By closely examining key financial metrics, market position, and growth prospects, our aim is to provide valuable insights for investors and shed light on company's performance within the industry.
KKR Background
KKR & Co Inc is one of the world's largest alternative asset managers, with $552.8 billion in total managed assets, including $446.4 billion in fee-earning AUM, at the end of 2023. The company has two core segments: asset management (which includes private markets—private equity, credit, infrastructure, energy, and real estate—and public markets—primarily credit and hedge/investment fund platforms) and insurance (following the firm's initial investment in, and then ultimate purchase of, Global Atlantic Financial Group, which is engaged in retirement/annuity and life insurance lines as well as reinsurance). On the asset management side, private markets account for 50% of fee-earning AUM and 70% of base management fees, while public markets account for 50% and 30%, respectively.
By closely examining KKR, we can identify the following trends:
Debt To Equity Ratio
The debt-to-equity (D/E) ratio measures the financial leverage of a company by evaluating its debt relative to its equity.
Considering the debt-to-equity ratio in industry comparisons allows for a concise evaluation of a company's financial health and risk profile, aiding in informed decision-making.
In light of the Debt-to-Equity ratio, a comparison between KKR and its top 4 peers reveals the following information:
Key Takeaways
For KKR in the Capital Markets industry, the PE ratio is low compared to peers, indicating potential undervaluation. The high PB ratio suggests the market values KKR's assets highly. The low PS ratio implies KKR's sales are relatively cheap. KKR's high ROE, EBITDA, gross profit, and revenue growth indicate strong financial performance compared to industry peers.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
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