KinderCare Learning Companies (NYSE:KLC) Shares Break Below 50 Day Moving Average After Analyst Downgrade

KinderCare Learning Companies, Inc. (NYSE:KLC)’s share price crossed below its 50-day moving average during trading on Friday after The Goldman Sachs Group lowered their price target on the stock from $3.90 to $3.40. The stock has a 50-day moving average of $2.05 and traded as low as $1.29. The Goldman Sachs Group currently has a neutral rating on the stock. KinderCare Learning Companies shares last traded at $1.3350, with a volume of 5,651,043 shares traded.

Several other research firms have also weighed in on KLC. UBS Group lowered their target price on shares of KinderCare Learning Companies from $5.00 to $4.50 and set a “neutral” rating on the stock in a report on Friday, August 14th. Zacks Research lowered shares of KinderCare Learning Companies from a “hold” rating to a “strong sell” rating in a report on Tuesday, October 13th. BMO Capital Markets dropped their target price on KinderCare Learning Companies from $5.00 to $4.00 and set an “outperform” rating on the stock in a report on Monday, October 5th. Deutsche Bank reissued a “hold” rating and set a $6.00 target price on shares of KinderCare Learning Companies in a report on Friday, August 14th. Finally, Weiss Ratings downgraded KinderCare Learning Companies from a “sell (d-)” rating to a “sell (e+)” rating in a research note on Monday, August 17th. One equities research analyst has rated the stock with a Buy rating, four have issued a Hold rating and five have issued a Sell rating to the company’s stock. According to data from MarketBeat, the stock has a consensus rating of “Reduce” and a consensus target price of $3.84.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the business. Silver Point Capital L.P. bought a new position in shares of KinderCare Learning Companies during the 2nd quarter worth about $21,696,250. BlackRock Inc. bought a new position in KinderCare Learning Companies during the second quarter valued at about $9,413,000. First Trust Advisors LP lifted its stake in KinderCare Learning Companies by 146.0% in the first quarter. First Trust Advisors LP now owns 582,830 shares of the company’s stock valued at $1,282,000 after purchasing an additional 345,948 shares during the last quarter. GSA Capital Partners LLP purchased a new stake in KinderCare Learning Companies during the second quarter valued at about $1,886,000. Finally, Militia Capital Management LLC bought a new position in shares of KinderCare Learning Companies in the first quarter worth $421,000.

KinderCare Learning Companies Stock Performance

The company has a market capitalization of $158.22 million, a PE ratio of -0.28 and a beta of 3.67. The company has a quick ratio of 0.75, a current ratio of 0.75 and a debt-to-equity ratio of 1.97. The company has a 50-day moving average price of $2.05 and a two-hundred day moving average price of $3.38.

KinderCare Learning Companies (NYSE:KLC) last issued its quarterly earnings data on Thursday, November 12th. The company reported ($0.03) earnings per share (EPS) for the quarter. KinderCare Learning Companies had a positive return on equity of 4.49% and a negative net margin of 20.59%. The company had revenue of $665.34 million for the quarter, compared to analysts’ expectations of $668.77 million. During the same period last year, the company posted $0.13 EPS. The business’s revenue for the quarter was down 1.7% on a year-over-year basis. KinderCare Learning Companies has set its FY 2026 guidance at 0.020-0.040 EPS. Analysts predict that KinderCare Learning Companies, Inc. will post 0.10 EPS for the current fiscal year.

KinderCare Learning Companies Company Profile

KinderCare Learning Companies provides early childhood education and child care in the United States. Its services include full-day care and preschool programs for infants, toddlers and school-age children, with curricula designed to support children’s learning and development. The company operates through brands including KinderCare Learning Centers and Champions, which provides before- and after-school programs. It also offers child care solutions for employers, including on-site centers and backup care.