KKR Real Estate Finance Trust (NYSE:KREF) Stock Rating Lowered by Zacks Research

KKR Real Estate Finance Trust (NYSE:KREF) was downgraded by analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a research note issued on Tuesday,Zacks.com reports.

Several other analysts also recently weighed in on KREF. Weiss Ratings reaffirmed a “sell (d)” rating on shares of KKR Real Estate Finance Trust in a report on Thursday, January 22nd. Keefe, Bruyette & Woods reduced their price objective on shares of KKR Real Estate Finance Trust from $8.75 to $8.25 and set a “market perform” rating for the company in a research report on Thursday, January 8th. Wells Fargo & Company lowered their price objective on KKR Real Estate Finance Trust from $11.00 to $10.00 and set an “overweight” rating on the stock in a report on Friday, October 24th. JPMorgan Chase & Co. reissued a “neutral” rating and set a $9.00 target price (down from $9.50) on shares of KKR Real Estate Finance Trust in a research note on Monday, October 20th. Finally, BTIG Research reissued a “buy” rating and issued a $13.00 price target on shares of KKR Real Estate Finance Trust in a report on Monday. Three equities research analysts have rated the stock with a Buy rating, two have given a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat, the stock presently has an average rating of “Hold” and a consensus target price of $10.45.

KKR Real Estate Finance Trust Price Performance

KKR Real Estate Finance Trust stock opened at $7.89 on Tuesday. The company has a debt-to-equity ratio of 3.63, a current ratio of 423.43 and a quick ratio of 423.43. The business has a 50 day simple moving average of $8.33 and a 200-day simple moving average of $8.74. KKR Real Estate Finance Trust has a 12 month low of $7.55 and a 12 month high of $11.53. The stock has a market capitalization of $516.39 million, a PE ratio of -7.51 and a beta of 0.88.

KKR Real Estate Finance Trust (NYSE:KREF) last posted its quarterly earnings data on Tuesday, February 3rd. The company reported $0.22 earnings per share for the quarter, beating analysts’ consensus estimates of $0.14 by $0.08. The firm had revenue of $32.72 million for the quarter, compared to analyst estimates of $26.06 million. KKR Real Estate Finance Trust had a negative net margin of 10.80% and a negative return on equity of 1.11%. Equities analysts predict that KKR Real Estate Finance Trust will post 1.05 earnings per share for the current year.

Insider Activity at KKR Real Estate Finance Trust

In related news, Director Ralph F. Rosenberg sold 125,289 shares of the firm’s stock in a transaction that occurred on Wednesday, December 3rd. The stock was sold at an average price of $8.25, for a total value of $1,033,634.25. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Christen E.J. Lee acquired 10,000 shares of KKR Real Estate Finance Trust stock in a transaction that occurred on Friday, November 7th. The shares were purchased at an average cost of $7.80 per share, with a total value of $78,000.00. Following the completion of the acquisition, the director owned 229,133 shares of the company’s stock, valued at $1,787,237.40. The trade was a 4.56% increase in their position. The disclosure for this purchase is available in the SEC filing. 1.90% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the company. Geneos Wealth Management Inc. raised its stake in shares of KKR Real Estate Finance Trust by 100.0% during the 2nd quarter. Geneos Wealth Management Inc. now owns 3,450 shares of the company’s stock worth $30,000 after buying an additional 1,725 shares during the last quarter. EverSource Wealth Advisors LLC increased its holdings in KKR Real Estate Finance Trust by 742.0% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 4,151 shares of the company’s stock valued at $36,000 after acquiring an additional 3,658 shares in the last quarter. Allworth Financial LP raised its position in KKR Real Estate Finance Trust by 3,904.6% during the second quarter. Allworth Financial LP now owns 4,365 shares of the company’s stock worth $38,000 after acquiring an additional 4,256 shares during the last quarter. Cloud Capital Management LLC acquired a new position in KKR Real Estate Finance Trust during the third quarter worth about $48,000. Finally, Tower Research Capital LLC TRC lifted its holdings in shares of KKR Real Estate Finance Trust by 64.1% in the second quarter. Tower Research Capital LLC TRC now owns 5,732 shares of the company’s stock valued at $50,000 after purchasing an additional 2,238 shares in the last quarter. Hedge funds and other institutional investors own 70.23% of the company’s stock.

More KKR Real Estate Finance Trust News

Here are the key news stories impacting KKR Real Estate Finance Trust this week:

• Positive Sentiment: Earnings and revenue beat — KREF reported Q4 EPS of $0.22 versus consensus ~ $0.13–$0.14 and revenue of $32.7M (above estimates), showing operating upside for the quarter. Business Wire: Q4 Results
• Positive Sentiment: Analyst support — BTIG reaffirmed a Buy rating, which can provide a floor for investor sentiment while management executes on dispositions and deleveraging. BTIG Reaffirms Buy
• Neutral Sentiment: Full context available — Management hosted an earnings call and posted a transcript/slide deck that outline strategy, portfolio actions and timing; these materials are important for assessing how aggressive the resolutions and repayments will be. Earnings Call Transcript
• Negative Sentiment: Large repayment and asset-resolution program — Management outlined a targeted $1.5B of repayments and said it will pursue “aggressive” asset resolutions; that implies possible realized losses, continued portfolio runoff and lower near-term distributable earnings. MSN: Repayment & Asset Resolutions
• Negative Sentiment: Dividend uncertainty and balance-sheet metrics — Management is “evaluating” dividend strategy, which raised investor concern about cuts or pauses; the REIT also shows high leverage and negative recent profitability metrics, factors that increase sensitivity to asset-sale
  outcomes. Yahoo: Call Highlights

KKR Real Estate Finance Trust Company Profile

KKR Real Estate Finance Trust, Inc (NYSE: KREF) is a mortgage real estate investment trust sponsored by KKR & Co Inc The company focuses on originating, acquiring, financing and managing a diversified portfolio of commercial real estate debt and real estate-related assets across the United States and select European markets.

The trust’s investment strategy is centered on lending to high-quality office, industrial, retail, multifamily and hotel properties. Its portfolio primarily consists of senior mortgage loans, mezzanine loans, floating-rate debt securities and preferred equity positions.