From Seekingalpha · Tim Travis · · 50s
KKR Trades at Discount to Intrinsic Value
KKR's fee stream priced for a bad year despite strong earnings and record fundraising.
In brief
KKR's fee stream priced for a bad year despite strong earnings and record fundraising. KKR trades at $105, $120 per share based on 15x, 17x 2027 ANI, with fee stream outperforming exit-driven rerating. Originally reported by Seekingalpha.
Quality at a Discount
KKR trades at a significant discount to intrinsic value despite strong fee-related earnings and record fundraising momentum.
Fee Growth and AUM
FRE per share has grown 17% annually since 2021 with 93% of AUM locked up long-term.
USI Insurance Sale
USI Insurance Services sale adds over $2.00 per share to 2026 ANI countering market pessimism.
Intrinsic Value Estimate
Intrinsic value estimated at $105, $120 per share (15x, 17x 2027 ANI).
Fee Stream Advantage
Fee stream outperforms exit-driven rerating at current multiples.
What matters most
KKR trades at $105, $120 per share based on 15x, 17x 2027 ANI, with fee stream outperforming exit-driven rerating.
