Klarna Group (NYSE:KLAR) Upgraded to Hold at BMO Capital Markets

Key Points

• Klarna Group was upgraded to a "hold" by BMO Capital Markets, while analysts overall remain mixed — 11 Buys, 7 Holds and 1 Sell — with a consensus target of $36.94 despite recent cuts.
• The stock opened at $14.85 (market cap about $5.61B) and reported an EPS loss of ($0.12) that missed estimates, though revenue rose roughly 38.5% year-over-year; profitability metrics remain negative (negative P/E, ROE and net margin).
• Several major firms have sharply reduced price targets (JPMorgan to $20, Morgan Stanley to $23, UBS to $20) even as Bank of America initiated coverage with a $21 "buy," reflecting divergent views on Klarna's near-term outlook.

Klarna Group (NYSE:KLAR - Get Free Report) was upgraded by stock analysts at BMO Capital Markets to a "hold" rating in a report released on Tuesday,Zacks.com reports.

Other analysts have also issued research reports about the stock. JPMorgan Chase & Co. dropped their price objective on shares of Klarna Group from $40.00 to $20.00 and set an "overweight" rating for the company in a report on Friday, February 20th. Bank of America assumed coverage on shares of Klarna Group in a research note on Thursday, March 5th. They issued a "buy" rating and a $21.00 target price for the company. Morgan Stanley dropped their target price on shares of Klarna Group from $39.00 to $23.00 and set an "equal weight" rating for the company in a research note on Wednesday, February 18th. Wall Street Zen downgraded shares of Klarna Group from a "hold" rating to a "sell" rating in a research note on Tuesday, March 31st. Finally, UBS Group dropped their target price on shares of Klarna Group from $46.00 to $20.00 and set a "buy" rating for the company in a research note on Friday, February 20th. Eleven equities research analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat, the company has an average rating of "Moderate Buy" and a consensus target price of $36.94.

Klarna Group Trading Up 2.0%

NYSE KLAR opened at $14.85 on Tuesday. The firm has a market cap of $5.61 billion and a price-to-earnings ratio of -19.28. The company has a 50 day moving average of $14.29 and a 200-day moving average of $25.51. Klarna Group has a 1-year low of $12.06 and a 1-year high of $57.20.

Klarna Group (NYSE:KLAR - Get Free Report) last posted its quarterly earnings data on Saturday, February 14th. The company reported ($0.12) earnings per share for the quarter, missing the consensus estimate of ($0.03) by ($0.09). The firm had revenue of $0.87 million for the quarter. Klarna Group had a negative return on equity of 11.62% and a negative net margin of 8.41%.Klarna Group's revenue for the quarter was up 38.5% on a year-over-year basis. On average, analysts forecast that Klarna Group will post 0.05 earnings per share for the current year.

Institutional Investors Weigh In On Klarna Group

A number of institutional investors and hedge funds have recently modified their holdings of KLAR. Global Retirement Partners LLC raised its stake in shares of Klarna Group by 800.0% during the fourth quarter. Global Retirement Partners LLC now owns 900 shares of the company's stock worth $26,000 after buying an additional 800 shares during the last quarter. Leonteq Securities AG bought a new stake in shares of Klarna Group during the fourth quarter worth approximately $29,000. US Bancorp DE bought a new stake in shares of Klarna Group during the third quarter worth approximately $30,000. BIT Capital GmbH bought a new stake in shares of Klarna Group during the third quarter worth approximately $37,000. Finally, Allworth Financial LP bought a new stake in shares of Klarna Group during the third quarter worth approximately $37,000.

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.

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