Contrasting KinderCare Learning Companies (KLC) & Its Peers

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

Profitability

This table compares KinderCare Learning Companies and its competitors’ 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%	5.46%	5.62%

Institutional and Insider Ownership

46.8% of shares of all “SCHOOLS” companies are owned by institutional investors. 5.3% of KinderCare Learning Companies shares are owned by insiders. Comparatively, 28.7% of shares of all “SCHOOLS” companies are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Risk & Volatility

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

Analyst Recommendations

This is a summary of recent ratings and target prices for KinderCare Learning Companies and its competitors, as provided by MarketBeat.com.

	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	1425	80	2.45

KinderCare Learning Companies presently has a consensus target price of $4.63, suggesting a potential upside of 18.23%. As a group, “SCHOOLS” companies have a potential upside of 25.73%. Given KinderCare Learning Companies’ competitors stronger consensus rating and higher possible upside, analysts plainly believe KinderCare Learning Companies has less favorable growth aspects than its competitors.

Earnings and Valuation

This table compares KinderCare Learning Companies and its competitors revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
KinderCare Learning Companies	$2.73 billion	-$112.88 million	-4.12
KinderCare Learning Companies Competitors	$1.02 billion	$77.32 million	14.91

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

Summary

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

About KinderCare Learning Companies

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.