WallStSmart

Ellington Residential Mortgage (EARN)vsKKR & Co. Inc. (KKR)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

KKR & Co. Inc. generates 62006% more annual revenue ($25.83B vs $41.59M). KKR leads profitability with a 12.2% profit margin vs -81.2%. EARN trades at a lower P/E of 15.6x. KKR earns a higher WallStSmart Score of 66/100 (B-).

EARN

Hold

44

out of 100

Grade: D

Growth: 7.3Profit: 4.0Value: 6.0Quality: 4.3
Piotroski: 4/9

KKR

Strong Buy

66

out of 100

Grade: B-

Growth: 8.7Profit: 6.0Value: 6.3Quality: 5.8
Piotroski: 3/9

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EARN4 strengths · Avg: 9.5/10
Price/BookValuation
1.0x10/10

Reasonable price relative to book value

Operating MarginProfitability
68.0%10/10

Strong operational efficiency at 68.0%

EPS GrowthGrowth
69.8%10/10

Earnings expanding 69.8% YoY

P/E RatioValuation
15.6x8/10

Attractively priced relative to earnings

KKR5 strengths · Avg: 8.6/10
PEG RatioValuation
0.4610/10

Growing faster than its price suggests

Market CapQuality
$93.16B9/10

Large-cap with strong market position

Operating MarginProfitability
20.6%8/10

Strong operational efficiency at 20.6%

EPS GrowthGrowth
40.0%8/10

Earnings expanding 40.0% YoY

Free Cash FlowQuality
$3.20B8/10

Generating 3.2B in free cash flow

Areas to Watch

EARN4 concerns · Avg: 2.5/10
Market CapQuality
$164.18M3/10

Smaller company, higher risk/reward

Debt/EquityHealth
1.293/10

Elevated debt levels

Return on EquityProfitability
-2.8%2/10

ROE of -2.8% — below average capital efficiency

Revenue GrowthGrowth
-19.3%2/10

Revenue declined 19.3%

KKR3 concerns · Avg: 3.3/10
P/E RatioValuation
33.2x4/10

Premium valuation, high expectations priced in

Debt/EquityHealth
1.633/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : EARN

The strongest argument for EARN centers on Price/Book, Operating Margin, EPS Growth.

Bull Case : KKR

The strongest argument for KKR centers on PEG Ratio, Market Cap, Operating Margin. PEG of 0.46 suggests the stock is reasonably priced for its growth.

Bear Case : EARN

The primary concerns for EARN are Market Cap, Debt/Equity, Return on Equity.

Bear Case : KKR

The primary concerns for KKR are P/E Ratio, Debt/Equity, Piotroski F-Score. Debt-to-equity of 1.63 is elevated, increasing financial risk.

Key Dynamics to Monitor

EARN profiles as a turnaround stock while KKR is a value play — different risk/reward profiles.

KKR carries more volatility with a beta of 1.79 — expect wider price swings.

KKR is growing revenue faster at 7.8% — sustainability is the question.

Monitor ASSET MANAGEMENT industry trends, competitive dynamics, and regulatory changes.

Bottom Line

KKR scores higher overall (66/100 vs 44/100). Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Ellington Residential Mortgage

FINANCIAL SERVICES · ASSET MANAGEMENT · USA

Ellington Residential Mortgage REIT, a real estate investment trust, specializes in acquiring, investing, and managing residential and real estate-related mortgage assets. The company is headquartered in Old Greenwich, Connecticut.

KKR & Co. Inc.

FINANCIAL SERVICES · ASSET MANAGEMENT · USA

KKR & Co. Inc. is a leading global investment firm established in 1976, with a strong focus on private equity, credit, and real asset investments. The firm excels at identifying complex market opportunities and utilizes its extensive industry knowledge and global network to create sustainable long-term value across its portfolio. KKR is recognized for its commitment to sustainable investing, seamlessly integrating environmental, social, and governance (ESG) principles into its investment approach, thereby promoting responsible growth alongside financial performance. With a strategic emphasis on innovation and operational excellence, KKR remains a crucial player in the financial sector worldwide.

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