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KREFKKR Real Estate Finance Trust Inc.
$7.12$458M
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  4. Financial Ratios

KKR Real Estate Finance Trust Inc. (KREF) Financial Ratios

Latest Ratios: P/E Ratio -6.8x · EV/EBITDA 18.5x · ROE -3.6%. (2014–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

KREF Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Market Cap$458M$549M$701M$915M$943M$1.2B$1.0B$1.2B$1.1B$907M—
Enterprise Value$5.1B$5.2B$5.5B$6.8B$6.9B$6.2B$4.7B$4.9B$4.9B$7.0B—
P/E Ratio →-6.78—53.16—60.709.4318.6713.0111.7515.39—
P/S Ratio1.001.201.181.392.164.143.724.265.3410.78—
P/B Ratio0.390.450.500.650.600.870.961.050.930.85—
P/FCF6.868.235.635.956.769.488.7312.8113.7516.86—
P/OCF6.337.605.295.886.689.488.7312.8113.7516.86—

P/E links to full P/E history page with 30-year chart

KREF EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
EV / Revenue—11.269.2710.3615.7321.7217.4417.8924.9483.52—
EV / EBITDA18.4818.8112.2915.9925.0924.6025.8519.7928.2685.25—
EV / EBIT18.6518.9412.2815.9925.0924.6025.8519.7928.2685.25—
EV / FCF—77.3344.1544.4549.2449.7340.9153.8064.29130.58—

KREF Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Gross Margin88.3%88.3%91.6%94.0%91.4%89.6%91.2%92.6%89.3%84.0%81.0%
Operating Margin59.3%59.3%75.3%64.6%61.6%86.1%67.3%88.8%86.7%71.7%98.4%
Net Profit Margin-10.3%-10.3%6.0%-4.7%8.7%48.0%20.2%32.6%45.3%70.2%93.9%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
ROE-3.6%-3.6%2.5%-2.1%2.6%11.4%5.0%8.0%8.2%7.5%7.8%
ROA-0.7%-0.7%0.5%-0.4%0.5%2.4%1.1%1.7%1.4%0.9%0.6%
ROIC3.4%3.4%4.9%4.3%2.9%3.3%2.8%3.7%2.1%0.7%0.5%
ROCE4.5%4.5%7.6%6.5%4.3%5.4%4.3%5.4%2.9%0.9%0.6%

KREF Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Debt / Equity3.833.833.504.323.923.893.653.413.505.8511.32
Debt / EBITDA17.1117.1110.9614.1622.5220.9920.9415.3522.7175.50143.61
Net Debt / Equity—3.763.434.223.773.693.543.353.425.7511.13
Net Debt / EBITDA16.8116.8110.7313.8521.6419.9120.3315.0722.2274.25141.20
Debt / FCF—69.1038.5238.5042.4840.2532.1840.9950.54113.72226.70
Interest Coverage0.840.841.080.931.162.201.431.572.063.885.39

KREF Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Current Ratio0.320.320.380.100.550.180.140.110.28——
Quick Ratio0.320.320.380.100.550.180.140.110.28——
Cash Ratio0.250.250.300.080.470.170.120.090.24——
Asset Turnover—0.070.090.090.060.040.050.050.040.010.01
Inventory Turnover———————————
Days Sales Outstanding———————————

KREF Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Dividend Yield14.1%12.2%11.7%13.0%12.2%8.1%9.6%8.4%8.4%5.6%—
Payout Ratio——229.8%—302.8%69.7%177.3%110.0%99.0%85.6%70.3%

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Earnings Yield——1.9%—1.6%10.6%5.4%7.7%8.5%6.5%—
FCF Yield14.6%12.1%17.8%16.8%14.8%10.6%11.5%7.8%7.3%5.9%—
Buyback Yield9.5%7.9%1.4%0.0%3.8%0.0%2.5%0.3%3.0%0.1%—
Total Shareholder Yield23.5%20.1%13.1%13.0%16.0%8.1%12.1%8.8%11.4%5.6%—
Shares Outstanding—$67M$69M$69M$68M$57M$56M$58M$55M$45M$52M

Key Metrics

Growth RegimeContracting
ProfitabilityNegative
Balance SheetStrained
Cash FlowDeteriorating
Top Statement Risk

Office loan credit impairment

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2026Q1)

Deep Discount Reflects Asset Uncertainty

As reported in recent financial filings, KREF trades at a P/B ratio of 0.39, a significant discount that suggests the market is pricing in substantial potential impairments within the loan portfolio rather than relying on the stated book value of the underlying commercial real estate assets.

The persistent negative P/FFO and the lack of a stable P/AFFO multiple indicate that traditional earnings-based valuation is currently broken for this REIT. Investors appear to be valuing the company as a liquidation play, where the primary concern is the recovery value of the senior loan positions rather than the yield-generating capacity of the portfolio.

Margin Erosion Driven by Impairments

Based on the provided quarterly data, the NOI margin has compressed from 94.4% in 2023Q4 to 84.7% in 2026Q1, indicating that rising credit-related costs and operational headwinds are increasingly consuming the interest income generated by the company's floating-rate loan portfolio.

The shift toward negative FFO per share suggests that the company's profitability is no longer organic but is instead being heavily impacted by non-cash CECL reserves. This trend warrants further investigation into whether the current interest income can sustain the REIT's cost structure without further eroding the equity base.

Dividend Sustainability Remains Highly Uncertain

According to the company's reported figures, the FFO payout ratio reached 113.2% in 2025Q3 before the company ceased reporting positive FFO, which suggests that the dividend was historically supported by capital reserves rather than recurring cash flow, necessitating the recent dividend reduction.

The absence of positive AFFO in recent periods implies that the dividend is currently unsupported by core operational cash flow. Investors should monitor the company's ability to stabilize distributable earnings before assuming that the current dividend level is sustainable in the long term.

Elevated Leverage Limits Strategic Flexibility

As indicated by the financial data, KREF maintains a debt-to-equity ratio of 3.90x as of 2026Q1, a level that appears strained given the ongoing volatility in the underlying commercial real estate market and the limited room for error in collateral valuation.

The interest coverage ratio, which has fluctuated near or below 1.0x, suggests that the company's ability to service its debt obligations is under significant pressure. This leverage profile may limit the REIT's capacity to navigate further credit deterioration without resorting to dilutive capital raises or asset sales.

Misapplication of P/E to mREITs

The most commonly misapplied metric for KREF is the standard P/E ratio, which fails to account for the significant non-cash CECL provisions and depreciation that distort GAAP net income, thereby obscuring the actual cash-generating capacity of the mortgage loan portfolio.

Investors should instead focus on Distributable Earnings and AFFO, which provide a more accurate view of the cash available for distribution. Relying on P/E in this context is misleading because it treats non-cash accounting impairments as operational losses, which can lead to an incorrect assessment of the REIT's true valuation.

Download Financial Ratios Data

Includes 30+ ratios · 12 years · Updated daily

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KREF — Frequently Asked Questions

Quick answers to the most common questions about buying KREF stock.

What is KKR Real Estate Finance Trust Inc.'s P/E ratio?

KKR Real Estate Finance Trust Inc.'s current P/E ratio is -6.8x. The historical average is 26.0x.

What is KKR Real Estate Finance Trust Inc.'s EV/EBITDA?

KKR Real Estate Finance Trust Inc.'s current EV/EBITDA is 18.5x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 28.4x.

What is KKR Real Estate Finance Trust Inc.'s ROE?

KKR Real Estate Finance Trust Inc.'s return on equity (ROE) is -3.6%. The historical average is 3.8%.

Is KREF stock overvalued?

Based on historical data, KKR Real Estate Finance Trust Inc. is trading at a P/E of -6.8x. Compare with industry peers and growth rates for a complete picture.

What is KKR Real Estate Finance Trust Inc.'s dividend yield?

KKR Real Estate Finance Trust Inc.'s current dividend yield is 14.06%.

What are KKR Real Estate Finance Trust Inc.'s profit margins?

KKR Real Estate Finance Trust Inc. has 88.3% gross margin and 59.3% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.

How much debt does KKR Real Estate Finance Trust Inc. have?

KKR Real Estate Finance Trust Inc.'s Debt/EBITDA ratio is 17.1x, indicating high leverage. A ratio above 4x may signal elevated financial risk.