KKR Financial Corp. (KFN)

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Jefferies Maintains a 'Hold' on KKR Financial (KFN); Highlights From First Investor Day

8:52 AM 9/6/2012 - StreetInsider

Jefferies maintains a 'Hold' on KKR Financial (NYSE: KFN) price target of $10.00.

Analyst, Daniel Furtado, comments after KRN's first Investor Day, which was held Sept 5.

Furtado noted: 1) Shorter, More Volatile Business Cycles - From the global macro point of view, management anticipates business cycles over the intermediate term to be of shorter duration, and greater volatility than in the past; 2) Ideal Investment Characteristics - A consistent theme from yesterday's meeting was the company's focus on finding investments that are attractive from yield, growth, and inflation-hedging perspectives; 3) Longer Term Return Expectations; and 4) Liquidity - KFN has upward of a half a billion dollars in investable liquidity via unrestricted cash, lines of credit and potential sales of mezzanine CLO investments; and 5) Corporate Credit Still the Focus - Despite greater diversification of the portfolio, management anticipates corporate credit strategies - i.e., the CLO business - to remain the largest part of the investment portfolio.

For an analyst ratings summary and ratings history on KKR Financial click here. For more ratings news on KKR Financial click here.

Shares of KKR Financial closed at $9.43 yesterday, with a 52 week range of $6.68-$9.54.