Investing in 2022? Here's What You Need to Know About KKR's 13F Holdings Changes

Kohlberg Kravis Roberts & Co. L.P (KKR) is a renowned investment firm with holdings in various sectors of the economy. Recently, KKR filed its 13F Holdings for Q3 2022 and Q4 2022. These filings disclose the fund's latest investments that may interest potential or current investors. In this article, we'll delve into KKR's Q3 2022 versus Q4 2022 13F holdings comparison and analyze the key changes in their investment portfolio.

At the end of Q3 2022, KKR held 32 stocks worth $1.336 billion while at Q4 2022, they held 35 stocks reportedly worth $1.285 billion. The 13F filings show that KKR's holdings turnover rates have decreased compared to the previous quarters. However, several new holdings emerged, while some significant changes in holdings occurred in the sectors of healthcare, technology and finance. Here are the highlights of KKR's 13F Holdings Changes:

New Holdings

KKR established new stakes in two companies.

South Jersey Industries, a utilities firm, caught KKR's eye in Q4 2022, where they acquired 700,000 shares reportedly worth $48 million. The New Jersey-based company delivers natural gas and energy. Another new holding was Unity Software Inc. In Q4 2022, KKR invested in the company, acquiring a reported $3.9 million worth of shares that analysts predict will benefit from augmented and virtual reality.

Healthcare

KKR's third quarter holdings revealed BridgBio Pharma with 31,060,971 shares worth $308,746,000. However, in Q4 2022, KKR sold 23.3% share of the biopharmaceutical company, with 23,668, 494 shares worth $236,684,000 left.

In addition, KKR also decreased shares in Impel Pharmaceuticals by 23% in the fourth quarter of 2022. Meanwhile, Haemonetics Corp and Intercept Pharmaceuticals increased shares by 5.3% and 318.6%, respectively.

Technology

KKR increased the majority of its tech holdings in the fourth quarter of 2022. In Spotfiy USA Inc, they increased from 53,469,000 shares to 54,457,000 shares. Docusign Inc also increased from 2.6 million shares to 3.4 million shares during Q4 2022, proving their confidence in the technology company's potential.

KKR's investment in Enphase Energy Inc was 13F's most prominent share decrease. The company went from 8.5 million to 8.4 million shares, disclosing a decrease of -3.5%.

Finance

FS KKR Cap Corp, known for providing debt financing solutions, increased shares in Q4 2022. KKR acquired a total of 19726981 shares worth $345 million, a difference of 3.2% from the previous quarter.

In contrast, KKR's shares decreased by 14.1% in KKR Real Estate Fin Tr Inc, with 10 million shares worth $139.6 million in Q4 2022. Additionally, Bausch Health Companies Inc's shares decreased from 5.23 million to 5.23 million, valued at $327.9 million.

In Conclusion

KKR's 13F Holdings disclosure provides insights into the company's investment portfolio, reflecting the firm's investment philosophy and approach. KKR has emphasized a balanced approach to investing in 2022, potentially finding new investments that could support growth while decreasing shares from other holdings. The healthcare, technology, and finance industries play the most prominent roles in the 13F filings, showing where they are placing their eggs in different baskets. However, investors need to remember that the primary goal of the 13F filings is to provide transparency, which should never replace comprehensive research before making investment decisions.