Is KKR Stock Underperforming the Dow?

Company Overview - KKR & Co. Inc. has a market cap of $131.2 billion and specializes in private equity, real estate, credit, and infrastructure investments, employing various strategies such as leveraged buyouts and impact investing across diverse sectors and geographies [1] - KKR is classified as a "large-cap" stock, actively seeking controlling or strategic minority positions in companies worldwide, typically holding investments for five to seven years before exiting through IPOs, secondary offerings, or strategic sales [2] Stock Performance - KKR shares have declined 19.1% from their 52-week high of $170.40, but have returned nearly 8% over the past three months, slightly outperforming the Dow Jones Industrials Average's over 7% rise during the same period [3] - Year-to-date, KKR stock is down 6.7%, lagging behind the Dow Jones Industrials Average's 8.4% gain, and has risen 4.2% over the past 52 weeks compared to the Dow's 9.3% increase [4] Financial Performance - In Q2 2025, KKR reported adjusted EPS of $1.18, exceeding consensus estimates, but shares fell 2.6% due to a significant drop in net income on a GAAP basis to $472.4 million from $667.9 million a year earlier, alongside rising expenses which increased by 12.8% to $396.9 million [5] - In comparison, rival BlackRock, Inc. has performed better, with its stock soaring over 10% year-to-date and 19.8% over the past 52 weeks [5] Analyst Sentiment - Despite the stock's underperformance, analysts maintain a bullish outlook, with a consensus rating of "Strong Buy" from 20 analysts and a mean price target of $164.79, representing a premium of 19.5% to current levels [6]