Wall Street Zen Downgrades Klarna Group (NYSE:KLAR) to Sell

Klarna Group (NYSE:KLAR - Get Free Report) was downgraded by analysts at Wall Street Zen from a "hold" rating to a "sell" rating in a research note issued to investors on Saturday.

KLAR has been the topic of several other research reports. Morgan Stanley dropped their target price on Klarna Group from $21.00 to $17.00 and set an "equal weight" rating on the stock in a research report on Wednesday, August 19th. Citizens Jmp assumed coverage on Klarna Group in a research note on Tuesday, June 30th. They set a "market perform" rating for the company. JPMorgan Chase & Co. reaffirmed a "neutral" rating and set a $18.00 price objective (down from $22.00) on shares of Klarna Group in a research report on Wednesday, August 19th. BMO Capital Markets reduced their target price on shares of Klarna Group from $19.00 to $15.00 and set a "market perform" rating for the company in a report on Wednesday, August 19th. Finally, Zacks Research lowered shares of Klarna Group from a "strong-buy" rating to a "hold" rating in a research report on Wednesday, August 5th. One analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating, thirteen have assigned a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, Klarna Group currently has an average rating of "Hold" and an average price target of $30.39.

Klarna Group Stock Performance

NYSE:KLAR opened at $14.27 on Friday. The firm has a 50-day simple moving average of $18.43 and a 200-day simple moving average of $16.33. Klarna Group has a one year low of $12.06 and a one year high of $57.20. The firm has a market cap of $5.39 billion and a P/E ratio of -38.57.

Klarna Group (NYSE:KLAR - Get Free Report) last released its quarterly earnings data on Friday, August 14th. The company reported $0.01 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of ($0.06) by $0.07. The firm had revenue of $1.04 billion for the quarter, compared to the consensus estimate of $992.56 million. Klarna Group had a negative net margin of 3.54% and a negative return on equity of 5.39%. The firm's quarterly revenue was up 26.6% on a year-over-year basis. On average, research analysts predict that Klarna Group will post -0.01 EPS for the current fiscal year.

Insider Activity at Klarna Group

In other Klarna Group news, CEO Sebastian Siemiatkowski acquired 692,506 shares of the stock in a transaction dated Wednesday, August 26th. The stock was purchased at an average price of $14.37 per share, with a total value of $9,951,311.22. Following the transaction, the chief executive officer directly owned 25,344,322 shares of the company's stock, valued at $364,197,907.14. This trade represents a 2.81% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink.

Institutional Investors Weigh In On Klarna Group

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. US Bancorp DE purchased a new stake in shares of Klarna Group during the third quarter worth about $30,000. Global Retirement Partners LLC raised its position in shares of Klarna Group by 800.0% in the 4th quarter. Global Retirement Partners LLC now owns 900 shares of the company's stock valued at $26,000 after purchasing an additional 800 shares during the last quarter. Leonteq Securities AG acquired a new stake in Klarna Group in the 4th quarter worth approximately $29,000. CWM LLC boosted its stake in Klarna Group by 172.9% in the 4th quarter. CWM LLC now owns 1,498 shares of the company's stock worth $43,000 after purchasing an additional 949 shares in the last quarter. Finally, Farther Finance Advisors LLC purchased a new stake in Klarna Group during the 4th quarter worth approximately $48,000.

Trending Headlines about Klarna Group

Here are the key news stories impacting Klarna Group this week:

• Positive Sentiment: CEO makes substantial insider purchase: Chief Executive Sebastian Siemiatkowski bought 692,506 KLAR shares at an average price of $14.37, investing approximately $9.95 million. The purchase increased his ownership by 2.81% to 25.34 million shares and may support investor confidence by signaling management’s belief that the stock is undervalued. Klarna CEO Sebastian Siemiatkowski Acquires 692,506 Shares for $10 Million
• Positive Sentiment: Affirm earnings lift BNPL peers: Affirm’s stronger-than-expected fourth-quarter results improved sentiment toward the broader BNPL industry. Investors appear to be interpreting the results as evidence of resilient consumer demand and potentially favorable operating trends for Klarna. Klarna stock climbs as Affirm's Q4 beat lifts buy-now-pay-later peers
• Positive Sentiment: Reduced competitive threat from a reported PayPal deal: The BNPL relief trade broadened after reports that Stripe and Advent International abandoned a potential acquisition of PayPal valued at more than $50 billion. The development may ease concerns about a major fintech combination intensifying competition in payments and BNPL. Buy Now Pay Later Relief Trade Broadens
• Neutral Sentiment: Apple leasing strategy draws attention: Coverage of Apple and Klarna’s new leasing strategy could affect perceptions of Klarna’s partnership and product expansion, but the available report provides insufficient detail to determine the financial impact. Apple and new Klarna leasing strategy
• Negative Sentiment: Wolfe Research downgrades the stock: The firm lowered Klarna to “Peer Perform,” potentially limiting upside expectations and reinforcing caution after the stock’s sharp decline from its 12-month high. Klarna Rating Lowered to Peer Perform
• Negative Sentiment: Investor investigation announced: Pomerantz LLP is investigating potential claims on behalf of Klarna investors. Although no findings or allegations were detailed, the announcement adds legal and reputational uncertainty to KLAR. Pomerantz Investor Alert

About Klarna Group

Klarna Group is a global payments provider specializing in “buy now, pay later” (BNPL) solutions for online and in-store shoppers. The company partners with merchants to offer flexible payment options, including interest-free installments and deferred payments, aiming to enhance conversion rates and customer loyalty. Klarna’s platform integrates risk assessment, fraud prevention, and a one-click checkout experience to streamline transactions for both retailers and consumers.

Through its digital wallet and mobile app, Klarna enables users to manage purchases, track spending and access exclusive shopping offers from partner merchants.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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