KKR stock: buy or sell?
Dec 1st, 2020
KKR stock brief
- KKR closed on Tuesday at $38.91 after exploding a 2.58%.
- KKR & Co. Inc. is a private equity and real estate investment firm specializing in direct and fund of fund investments.
Should I buy KKR stock?
Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best
Is $KKR stock a buy?
Currently, KKR stock matches 2 trading strategies:
Uptrend buy setup
KKR stock is in an uptrend since last September that so far has marked a gorgeous 19.00% gain. Price marked a pull back in this uptrend at $33.53 last October, and since then it bounced off a 16.05%. Price just broke out above the buy point at $37.83, but it's still eligible. If price goes above $39.72, it would be better to wait to another pullback. If you decide to enter this trade, the suggested stop loss is at $34.05
|Buy setup||Buy point||Stop loss||Risk|
|Uptrend buy setup||$37.83||$34.05||10.00%|
ATH buy setup
All-time Highs is always an excellent buy point for those who like to buy high and sell higher. The good point of buying at ATHs is that price doesn't have upper resistances, and usually it scales quickly. However, you must always be aware of a possible bulls trap that may trigger your buy order and then falls sharply. That's why a stop loss is so important. Price is now at 1.90% of all-time highs and it can breakout at any time, so if you want to trade this setup it's recommended to setup your order at $39.65. The stop loss would be set at $35.69
|Buy setup||Buy point||Stop loss||Risk|
|ATH buy setup||$39.65||$35.69||10.00%|
Should I sell KKR stock?
How to know when is it time to sell KKR stock?. Much like when we have to buy shares, deciding when is the best time to sell is not a capricious decision, and we must adhere our own trading strategy. We like very simple setups to guide us on when is the best time to sell our shares. Be aware that these setups are not intended for selling short $KKR stock
A guiding principle is that you should not keep a trade that shows a losses greater than those expected at the time of purchase. When to sell your stock must always be determined by the stop-loss (automatic or manual)
Is it time to sell KKR stock?
Currently, KKR stock doesn't match any of our preferred sell setups, so if you hold KKR shares and your operation is in profit probably is not time to sell now
In the last month, 2 analyst ratings were published for KKR
|Nov 4th, 2020|
|Nov 11th, 2020|
|Deutsche Bank Aktiengesellschaft||Neutral|
KKR stock analysis
Since last September, KKR has been drawing an uptrend that so far marked an amazing 19.32%. Rising peaks and troughs can be seen easily on a chart and how price provided very few entry points on the breakouts. Latest pullback was last October, when price bounced at $33.53. KKR broke out above $37.83 (its last top) on November 17. That breakout was a good entry point
Supports and resistances
Price is at highs and there are not upper resistance levels.
The current support levels are:
The price is moving near to the upper Bollinger band, signaling some level of overbought in recent sessions. This is not a sell signal, as price can move in these levels for many days and weeks
Relative strength index
When the moves for so long below 70 and above 30, without indicating moments of overvaluation and undervaluation, the indicator gets of little use, and we currently are in such a case.
KKR stock price history
KKR went public priced at an adjusted price1 of $6.30 on Jul 2010. Since then, KKR stock has risen by 517.62%, with an average of 51.76% per year. An investment of thousand dollars on Jul 2010 would have a value of $6,176.19 nowadays.
1: Adjusted price after possible price splits or reverse-splits
Price target for KKR stock
Nobody can predict how much a stock will be priced in the future. Banks and financial organisations issue their analysis forecasting how a particular stock will performance in the future.
The following table shows the price predictions released by brokerage institutions in the last 30 days. Again, these targets are not direct recommendations for individual investors and must not be trusted blindly.
There are 2 price predictions issued for KKR that average $39.50. KKR closed at $38.91 on Tuesday, so the target price is forecasting a growth by 1.52%.
|Brokerage firm||Price target|
|Nov 4th, 2020|
|Morgan Stanley||$38.00 → $39.00|
|Nov 11th, 2020|
|Deutsche Bank Aktiengesellschaft||$38.00 → $40.00|
Earnings and financials
Last October, KKR ($KKR) hosted the shareholders event and posted the report. KKR topped consensus earnings estimates and posted of $0.48, that is a 20.00% surprise versus the initial predictions of $0.40. On the other hand, reported sales were $1.1 billion compared to estimates of $922.3 million.Compared to the same quarter last year, EPS was $0.46, so reported EPS means a gain of 4.35%. Sales skyrocketed a 349.56% on an annualized basis in the , from $9.7B to $43.8B last quarter.
KKR ($KKR) is presenting Q4 earnings report late next January. Expected for this quarter is $0.41, compared to $0.48 that was reported for Q3.
KKR is classified inside the Asset Management industry, where it has 49 industry peers.
The following are some of KKR major competitors:
|Company||Market cap||Rating||Bullish ratings1|
|BlackRock ($BLK)||$109.1B|| ||1|
|Brookfield Asset Management ($BAM)||$56.1B|| ||2|
|The Blackstone Group ($BX)||$40.0B||Neutral||0|
|T. Rowe Price ($TROW)||$32.6B||Neutral||0|
|Bank of New York Mellon ($BK)||$30.4B||Neutral||1|
|State Street ($STT)||$24.9B||Buy||2|
1 In the last 30 days.
To better understand KKR stock performance you must compare its gains with other related stocks in same sector or industry.. For KKR, the benchmark is made against BlackRock, Brookfield Asset Management, The Blackstone Group, T. Rowe Price, Bank of New York Mellon and State Street.
|Brookfield Asset Management ($BAM)||35.40%||20.80%||22.50%|
|The Blackstone Group ($BX)||18.80%||12.80%||3.50%|
|T. Rowe Price ($TROW)||10.70%||3.80%||17.10%|
|Bank of New York Mellon ($BK)||14.50%||7.20%||1.90%|
|State Street ($STT)||20.40%||5.00%||10.90%|
Disclaimer:The viewpoints written in this post are personal and should not be followed as recommendations for you to buy or sell stocks. The author of this text does not have any knowledge of the specific situations of the reader, his or her own finances or what is in his or her best interest at any given time. All users should speak with their financial advisor before buying or selling any securities Viewpoints are provided for learning motives only
|Tuesday, December 1st, 2020|
|Day range||$38.41 - $39.08|
|Average true range||$1.12|
|50d mov avg||$36.34|
|100d mov avg||$35.78|
|200d mov avg||$31.23|
|Earnings date||January 29th, 2021|