Sumitomo Mitsui Trust Group Inc. Raises Stake in Klarna Group plc $KLAR

Key Points

• Sumitomo Mitsui Trust Group raised its stake in Klarna by 53.5% in Q4 to 812,743 shares (about 0.11% ownership), worth roughly $23.5 million.
• Analyst sentiment is mixed — the consensus is a “Moderate Buy” with a $38.33 target, but several firms (including Morgan Stanley, Wells Fargo, Weiss and Wall Street Zen) have cut targets or issued neutral/sell views.
• Klarna remains unprofitable and recently missed EPS (‑$0.12 vs. est. ‑$0.03); shares trade near $14.64, well below the 200‑day average of $26.27 and far under the consensus target.

Sumitomo Mitsui Trust Group Inc. grew its stake in shares of Klarna Group plc (NYSE:KLAR - Free Report) by 53.5% during the 4th quarter, according to its most recent 13F filing with the SEC. The institutional investor owned 812,743 shares of the company's stock after purchasing an additional 283,261 shares during the period. Sumitomo Mitsui Trust Group Inc. owned approximately 0.11% of Klarna Group worth $23,496,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also made changes to their positions in the company. Robeco Institutional Asset Management B.V. raised its stake in Klarna Group by 150.0% in the 4th quarter. Robeco Institutional Asset Management B.V. now owns 150,000 shares of the company's stock valued at $4,336,000 after purchasing an additional 90,000 shares during the last quarter. Compagnie Lombard Odier SCmA increased its position in Klarna Group by 43.5% during the 4th quarter. Compagnie Lombard Odier SCmA now owns 1,650 shares of the company's stock worth $48,000 after purchasing an additional 500 shares in the last quarter. Royal Fund Management LLC acquired a new stake in Klarna Group during the 4th quarter worth approximately $885,000. Salem Investment Counselors Inc. increased its position in Klarna Group by 5,475.0% during the 4th quarter. Salem Investment Counselors Inc. now owns 22,300 shares of the company's stock worth $645,000 after purchasing an additional 21,900 shares in the last quarter. Finally, Harbour Capital Advisors LLC acquired a new stake in Klarna Group during the 4th quarter worth approximately $229,000.

Wall Street Analyst Weigh In

A number of research firms recently issued reports on KLAR. Weiss Ratings reissued a "sell (e+)" rating on shares of Klarna Group in a research report on Monday, December 29th. Wall Street Zen downgraded shares of Klarna Group from a "hold" rating to a "sell" rating in a research report on Tuesday, March 31st. Morgan Stanley decreased their price target on Klarna Group from $39.00 to $23.00 and set an "equal weight" rating for the company in a report on Wednesday, February 18th. Bank of America assumed coverage on Klarna Group in a report on Thursday, March 5th. They issued a "buy" rating and a $21.00 price target for the company. Finally, Wells Fargo & Company decreased their price target on Klarna Group from $45.00 to $32.00 and set an "overweight" rating for the company in a report on Friday, February 20th. Eleven investment analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $38.33.

Klarna Group Price Performance

Shares of KLAR opened at $14.64 on Friday. The business's fifty day moving average price is $14.71 and its 200 day moving average price is $26.27. Klarna Group plc has a 12-month low of $12.06 and a 12-month high of $57.20. The stock has a market capitalization of $5.53 billion and a PE ratio of -19.01.

Klarna Group (NYSE:KLAR - Get Free Report) last announced its quarterly earnings data on Saturday, February 14th. The company reported ($0.12) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.03) by ($0.09). Klarna Group had a negative return on equity of 11.62% and a negative net margin of 8.41%.The firm had revenue of $0.87 million for the quarter. The company's revenue was up 38.5% compared to the same quarter last year.

Klarna Group Company Profile

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.

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