KinderCare Learning Companies (KLC) and The Competition Critical Survey

KinderCare Learning Companies (NYSE:KLC) is one of 36 public companies in the “SCHOOLS” industry, but how does it weigh in compared to its peers? We will compare KinderCare Learning Companies to related businesses based on the strength of its analyst recommendations, valuation, dividends, institutional ownership, earnings, risk and profitability.

Risk and Volatility

KinderCare Learning Companies has a beta of 4.61, meaning that its stock price is 361% more volatile than the S&P 500. Comparatively, KinderCare Learning Companies’ peers have a beta of 0.12, meaning that their average stock price is 88% less volatile than the S&P 500.

Analyst Ratings

This is a summary of current recommendations for KinderCare Learning Companies and its peers, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
KinderCare Learning Companies	3	5	1	0	1.78
KinderCare Learning Companies Competitors	389	777	1427	80	2.45

KinderCare Learning Companies presently has a consensus price target of $4.63, suggesting a potential upside of 25.27%. As a group, “SCHOOLS” companies have a potential upside of 26.31%. Given KinderCare Learning Companies’ peers stronger consensus rating and higher possible upside, analysts plainly believe KinderCare Learning Companies has less favorable growth aspects than its peers.

Valuation & Earnings

This table compares KinderCare Learning Companies and its peers top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
KinderCare Learning Companies	$2.73 billion	-$112.88 million	-3.89
KinderCare Learning Companies Competitors	$1.29 billion	$77.32 million	15.25

KinderCare Learning Companies has higher revenue, but lower earnings than its peers. KinderCare Learning Companies is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares KinderCare Learning Companies and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
KinderCare Learning Companies	-4.13%	9.85%	2.28%
KinderCare Learning Companies Competitors	7.45%	5.42%	5.60%

Insider and Institutional Ownership

46.8% of shares of all “SCHOOLS” companies are held by institutional investors. 5.3% of KinderCare Learning Companies shares are held by insiders. Comparatively, 28.7% of shares of all “SCHOOLS” companies are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Summary

KinderCare Learning Companies peers beat KinderCare Learning Companies on 10 of the 13 factors compared.

KinderCare Learning Companies Company Profile

KinderCare Learning Companies Inc. is a provider of high-quality early childhood education by center capacity. KinderCare Learning Companies Inc. is based in PORTLAND, Ore.