Piper Sandler Sees Long-Term Upside in KKR & Co. Inc. (KKR) Despite Short-Term Headwinds

Coatue Management holds $499.53 million worth of shares in KKR & Co. Inc. (NYSE:KKR), representing 1.39% of its total 13F portfolio, helping the stock secure a place on our list of billionaire Philippe Laffont’s 10 stock picks with huge upside potential.

On October 7, 2025, Piper Sandler reduced its price target on KKR & Co. Inc. (NYSE:KKR) from $166 to $155, maintaining an “Overweight” rating.

The investment firm believes that the upside from spread-related businesses benefiting from variable investment income normalization is already priced in. Furthermore, incremental support continues to be provided from fee and trading activity, but secular flow headwinds remain.

Despite these challenges, Piper Sandler remains optimistic about the long-term outlook for KKR & Co. Inc. (NYSE:KKR). It expressed confidence in underwriters, citing favorable claims experience as a sign of strong actuarial performance and future earnings potential. Moreover, the company’s robust distribution strength across its investment platforms was also highlighted by the investment firm.

KKR & Co. Inc. (NYSE:KKR), a global investment firm, delivers alternative asset management, capital markets, and insurance solutions. The company focuses on generating sustainable returns through disciplined investing and supporting growth in portfolio companies worldwide. It is included in Philippe Laffont’s stock portfolio.

While we acknowledge the potential of KKR as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None.