Class Action Lawsuit Filed: A class action lawsuit has been initiated by the Law Offices of Frank R. Cruz on behalf of investors who purchased KinderCare Learning Companies, Inc. stock during its October 2024 IPO, with a deadline for lead plaintiff motions set for October 14, 2025.
Allegations of Misconduct: Reports published by Bear Cave alleged serious incidents of child neglect and abuse at KinderCare facilities, leading to significant drops in the company's stock price following the revelations.
Claims of Misleading Information: The lawsuit claims that KinderCare's executives made materially false statements and failed to disclose critical information regarding the safety and quality of care provided at their facilities, exposing the company to legal and reputational risks.
Investor Support Encouraged: Investors affected by losses from KinderCare's stock are encouraged to inquire about their rights and potential recovery options through the Law Offices of Frank R. Cruz.
KLC
$4.55+Infinity%1D
Analyst Views on KLC
Wall Street analysts forecast KLC stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for KLC is 5.75 USD with a low forecast of 4.50 USD and a high forecast of 6.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
6 Analyst Rating
Wall Street analysts forecast KLC stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for KLC is 5.75 USD with a low forecast of 4.50 USD and a high forecast of 6.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
1 Buy
5 Hold
0 Sell
Hold
Current: 4.690
Low
4.50
Averages
5.75
High
6.00
Current: 4.690
Low
4.50
Averages
5.75
High
6.00
Baird
Outperform -> NULL
downgrade
$13 -> $8
2025-11-13
Reason
Baird
Price Target
$13 -> $8
2025-11-13
downgrade
Outperform -> NULL
Reason
Baird lowered the firm's price target on KinderCare Learning to $8 from $13 and keeps an Outperform rating on the shares. The firm updated its model following disappointing results with incremental subsidy headwinds.
BMO Capital
Outperform -> NULL
downgrade
$10 -> $6
2025-11-13
Reason
BMO Capital
Price Target
$10 -> $6
2025-11-13
downgrade
Outperform -> NULL
Reason
BMO Capital lowered the firm's price target on KinderCare Learning to $6 from $10 and keeps an Outperform rating on the shares. The company's Q3 results beat adjusted EBITDA expectations owing to lighter SG&A, though the management noted continued struggles in the "Opportunity Zone" region with relatively steady occupancy in the top three quintiles and slowing subsidy revenues, the analyst tells investors in a research note.
Barclays
Equal Weight
downgrade
$9 -> $6
2025-11-13
Reason
Barclays
Price Target
$9 -> $6
2025-11-13
downgrade
Equal Weight
Reason
Barclays lowered the firm's price target on KinderCare Learning to $6 from $9 and keeps an Equal Weight rating on the shares.
Morgan Stanley
Overweight
to
Equal Weight
downgrade
$11 -> $6
2025-11-13
Reason
Morgan Stanley
Price Target
$11 -> $6
2025-11-13
downgrade
Overweight
to
Equal Weight
Reason
Morgan Stanley downgraded KinderCare Learning to Equal Weight from Overweight with a price target of $6, down from $11. The company reported "disappointing" Q3 results amid continued challenges in enrollment trends, the analyst tells investors in a research note. The firm now has limited confidence in a turnaround at KinderCare. It cites the company's' weaker enrollment outlook for the downgrade.
About KLC
KinderCare Learning Companies, Inc. is a private provider of early childhood and school-age education and care. The Company serves children ranging from six weeks to 12 years of age across its footprint of over 1,500 early childhood education centers with capacity for over 200,000 children and approximately 1,000 before- and after-school sites located in 40 states and the District of Columbia. Its services include infant, toddler, preschool, kindergarten, and before- and after-school programs. The Company provides childhood education and care programs through community-based and employer-sponsored early childhood education and care and before- and after-school educational services categories. It provides early childhood education and care services, as well as back-up care, primarily marketed under the names KinderCare Learning Centers and Creme School. It provides before- and after-school educational services for preschool and school-age children under the name Champions.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
