Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
KKR Real Estate Finance TrustKREF +2.43%50 Forward Rate of Return (Yacktman) % is 24.82% as of Mar. 2026, which is 24% above its 10-year median of 20.01. GuruFocus rates KREF with a GF Score™ of 50/100 and a GF Value™ of $7.06 (Fairly Valued). The stock has 3 warning signs investors should review. Among 625 REITs companies, KKR Real Estate Finance Trust ranks better than 77.6% on this metric.
Yacktman defines forward rate of return as the normalized free cash flow yield plus real growth plus inflation. KKR Real Estate Finance Trust's forward rate of return for was 24.82%.
The historical rank and industry rank for KKR Real Estate Finance Trust's Forward Rate of Return (Yacktman) % or its related term are showing as below:
KREF'
s Forward Rate of Return (Yacktman) % Range Over the Past 10 Years
Min: 11.67 Med: 20.01 Max: 27.29
Current: 19.69
During the past 11 years, KKR Real Estate Finance Trust's highest Forward Rate of Return was 27.29. The lowest was 11.67. And the median was 20.01.
KREF's Forward Rate of Return (Yacktman) % is ranked better than 77.6% of 625
companies
in the REITs industry
Industry Median: 8.04
vs KREF: 19.69
Unlike the Earnings Yield %, the Forward Rate of Return uses the normalized Free Cash Flow of the past five years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.
KKR Real Estate Finance Trust (NYSE:KREF) Forward Rate of Return (Yacktman) % Explanation
Unlike the Earnings Yield, the Forward Rate of Return uses the normalized Free Cash Flow of the past five years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.
For the growth part of the Forward Rate of Return calculation, GuruFocus uses the 5-year average growth rate of Book Value per share as the growth rate, and the growth rate is always capped at 20%. For the Free Cash Flow we use per share data averaged over five years. The reason we use five years is to make it comparable to the growth rate.
Be Aware
In the Forward Rate of Return calculation, the growth rate is added directly to today's free cash flow yield. Therefore the calculation is reliable only if the company can grow at the same rate in the future as it did in the past. Investors should pay close attention to this when researching growth stocks. A more accurate measurement for return is Return on Capital.
KKR Real Estate Finance Trust Forward Rate of Return (Yacktman) % Related Terms
KKR Real Estate Finance Trust Forward Rate of Return (Yacktman) % Historical Data
* Premium members only.
The historical data trend for KKR Real Estate Finance Trust's Forward Rate of Return (Yacktman) % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
KKR Real Estate Finance Trust Forward Rate of Return (Yacktman) % Chart
KREF vs CMTG, RWT, RC: Forward Rate of Return (Yacktman) % Comparison
For the REIT - Mortgage subindustry, KKR Real Estate Finance Trust's Forward Rate of Return (Yacktman) %, along with its competitors' market caps and Forward Rate of Return (Yacktman) % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
KKR Real Estate Finance Trust Forward Rate of Return (Yacktman) % vs REITs Industry
For the REITs industry and Real Estate sector, KKR Real Estate Finance Trust's Forward Rate of Return (Yacktman) % distribution charts can be found below:
* The bar in red indicates where KKR Real Estate Finance Trust's Forward Rate of Return (Yacktman) % falls into.
KKR Real Estate Finance Trust Forward Rate of Return (Yacktman) % Calculation
Forward Rate of Return is a concept that Don Yacktman uses in his investment approach. Yacktman explained the forward rate of return concept in detail in his interview with GuruFocus. Yacktman defines forward rate of return as the normalized free cash flow yield plus real growth plus inflation. He said in the interview (March 2012, when the S&P 500 was at about 1400):
If the business is stable, this calculation is fairly straightforward. For instance, on the S&P 500 we would normalize earnings. We would then calculate what percentage of those earnings are not reinvested in the underlying businesses and are therefore free. Historically, for the S&P 500, this has been just under 50% of earnings. Currently, we expect the S&P to earn about 70 on a normalized basis, a number which is far below reported earnings due to our adjusting for record high profit margins. $70 X ½ / 1400 gives you a normalized free cash flow yield of approximately 2.5%.
The historical real growth rate of the S&P 500 (companies) is about 1.5%. Assuming an inflation rate of 2.5%, the forward rate of return on an investment in the S&P 500 is about 6.5% today (2.5% free cash flow yield plus 1.5% real growth plus 2.5% inflation).
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
What does a Forward Rate of Return (Yacktman) % of 24.82% mean?
KKR Real Estate Finance Trust (KREF) has a Forward Rate of Return (Yacktman) % of 24.82% as of Mar. 2026. Yacktman's forward rate of return equals the sum of normalized free-cash-flow yield plus earnings growth. View historical data on KKR Real Estate Finance Trust and its competitors. This is 24% above median its historical median of 20.01. Over the past decade, KKR Real Estate Finance Trust's Forward Rate of Return (Yacktman) % has ranged from 11.67 to 27.29. According to the industry distribution chart, KKR Real Estate Finance Trust ranks #140 out of 625 companies in the REITs industry, placing it in the top 22.4%.
Is KKR Real Estate Finance Trust's Forward Rate of Return (Yacktman) % too high?
KKR Real Estate Finance Trust's current Forward Rate of Return (Yacktman) % of 24.82% is 24% above median its 10-year median of 20.01. Over the past 10 years, this metric has ranged from a low of 11.67 to a high of 27.29. The REITs industry median Forward Rate of Return (Yacktman) % is 8.04. KKR Real Estate Finance Trust's value of 24.82% is 208.7% above this industry median. Based on the distribution chart, KKR Real Estate Finance Trust ranks #140 out of 625 companies in the REITs industry, which is in the top quartile — a strong position relative to peers. Overall, KKR Real Estate Finance Trust has a GF Score™ of 50/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does KKR Real Estate Finance Trust's Forward Rate of Return (Yacktman) % compare to CMTG and RWT?
According to the REITs industry distribution chart, KKR Real Estate Finance Trust ranks #140 out of 625 companies for Forward Rate of Return (Yacktman) %. This places KKR Real Estate Finance Trust in the top 22% of its industry — outperforming the majority of peers. The industry median Forward Rate of Return (Yacktman) % is 8.04. KKR Real Estate Finance Trust's value of 24.82% is 208.7% above this benchmark. Historically, KKR Real Estate Finance Trust's own Forward Rate of Return (Yacktman) % has ranged from 11.67 to 27.29 over the past decade. While the company's 10-year median is 20.01 vs. the industry median of 8.04, KKR Real Estate Finance Trust has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Forward Rate of Return (Yacktman) % for a REITs company?
The median Forward Rate of Return (Yacktman) % among REITs companies is 8.04, based on 625 companies in the industry. Companies in the top quartile (top 25%) have a Forward Rate of Return (Yacktman) % significantly above this median, while those in the bottom quartile fall well below. However, Forward Rate of Return (Yacktman) % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. KKR Real Estate Finance Trust's current Forward Rate of Return (Yacktman) % of 24.82% is 208.7% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Forward Rate of Return (Yacktman) % mean?
A high Forward Rate of Return (Yacktman) % can signal that a stock is expensive relative to its fundamentals. Yacktman's forward rate of return equals the sum of normalized free-cash-flow yield plus earnings growth. View historical data on KKR Real Estate Finance Trust and its competitors. For the REITs industry, the median Forward Rate of Return (Yacktman) % is 8.04 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. KKR Real Estate Finance Trust's current Forward Rate of Return (Yacktman) % is 24.82%, which is 24% above median its own 10-year median of 20.01. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is KKR Real Estate Finance Trust stock overvalued right now?
Based on GuruFocus' analysis, KKR Real Estate Finance Trust (KREF) is currently considered Fairly Valued. The stock's GF Value™ is $7.06, compared to a current price of $7.60 — trading 7.6% above its estimated fair value. The current Forward Rate of Return (Yacktman) % is 24.82%, which is 24% above median its 10-year median of 20.01 and 208.7% above the REITs industry median of 8.04. KKR Real Estate Finance Trust's overall GF Score™ is 50/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Forward Rate of Return (Yacktman) % calculated?
Forward Rate of Return (Yacktman) % is calculated from a company's financial statements. For KKR Real Estate Finance Trust (KREF), the current Forward Rate of Return (Yacktman) % is 24.82% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is KKR Real Estate Finance Trust (KREF) Overvalued in 2026?
Based on GuruFocus' analysis, KKR Real Estate Finance Trust stock appears to be overvalued.
The current stock price of $7.60 is trading 7.6% above its estimated GF Value™ of $7.06.
GuruFocus considers KKR Real Estate Finance Trust to be Fairly Valued.
Key valuation signals for KREF:
Forward Rate of Return (Yacktman) %: 24.82% (24% above median its 10-year median of 20.01)
GF Value™: $7.06 vs. price of $7.60 (7.6% above fair value)
Industry Position: 208.7% above the REITs median (#140 of 625)
No single metric tells the full story. See the KREF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
KKR Real Estate Finance Trust Business Description
KKR Real Estate Finance Trust Inc is a real estate finance company that focuses on originating and acquiring senior mortgage loans secured by CRE assets. The investment is to originate or acquire senior mortgage loans collateralized by institutional-quality CRE assets that are owned and operated by experienced and well-capitalized sponsors and located in liquid markets with underlying fundamentals. KKR manages investments across multiple asset classes, including private equity, real estates, energy, infrastructure, credit, and hedge funds. The company's investment objective is capital preservation and generating attractive risk-adjusted returns for its stockholders over the long term, through dividends.
50GF Score
Get the complete analysis for KREF
Forward Rate of Return (Yacktman) % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
KREF has been successfully added to your 
