Klarna Group plc (NYSE:KLAR) Given Average Rating of "Moderate Buy" by Brokerages

Key Points

• Analysts give Klarna an average rating of Moderate Buy from 18 firms (11 buys, 6 holds, 1 sell) with an average 1‑year price target of $38.33; several brokers have recently cut targets sharply (UBS $20, Morgan Stanley $23, Keefe Bruyette & Woods $26, Bank of America $21).
• Klarna missed its latest quarter (EPS -$0.12 vs. -$0.03 expected) and reported negative net margin (-8.41%) and ROE (-11.62%) despite 38.5% YoY revenue growth. The stock opened at $12.28 (near its 12‑month low of $12.18), has a $4.64B market cap, and is trading below its 50‑ and 200‑day moving averages ($17.99 and $28.98).

Klarna Group plc (NYSE:KLAR - Get Free Report) has received an average rating of "Moderate Buy" from the eighteen research firms that are presently covering the stock, Marketbeat.com reports. One equities research analyst has rated the stock with a sell recommendation, six have issued a hold recommendation and eleven have assigned a buy recommendation to the company. The average 1-year price target among brokerages that have updated their coverage on the stock in the last year is $38.3333.

Several brokerages have recently weighed in on KLAR. UBS Group reduced their price target on Klarna Group from $46.00 to $20.00 and set a "buy" rating for the company in a research report on Friday, February 20th. Morgan Stanley dropped their price objective on Klarna Group from $39.00 to $23.00 and set an "equal weight" rating on the stock in a report on Wednesday, February 18th. Keefe, Bruyette & Woods reduced their target price on Klarna Group from $45.00 to $26.00 and set an "outperform" rating for the company in a report on Friday, February 20th. Bank of America started coverage on Klarna Group in a research report on Thursday, March 5th. They set a "buy" rating and a $21.00 price target on the stock. Finally, Weiss Ratings restated a "sell (e+)" rating on shares of Klarna Group in a research report on Monday, December 29th.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the company. US Bancorp DE purchased a new stake in shares of Klarna Group in the third quarter worth $30,000. Global Retirement Partners LLC grew its position in 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 in the last quarter. BIT Capital GmbH bought a new position in Klarna Group in the 3rd quarter worth about $37,000. Allworth Financial LP purchased a new stake in shares of Klarna Group in the 3rd quarter valued at about $37,000. Finally, Leonteq Securities AG purchased a new stake in shares of Klarna Group in the 4th quarter valued at about $29,000.

Klarna Group Stock Up 0.1%

NYSE KLAR opened at $12.28 on Monday. The firm has a market cap of $4.64 billion and a P/E ratio of -15.95. The company's 50 day moving average is $17.99 and its 200-day moving average is $28.98. Klarna Group has a 12-month low of $12.18 and a 12-month high of $57.20.

Klarna Group (NYSE:KLAR - Get Free Report) last released its quarterly earnings data on Saturday, February 14th. The company reported ($0.12) earnings per share for the quarter, missing analysts' consensus estimates of ($0.03) by ($0.09). Klarna Group had a negative net margin of 8.41% and a negative return on equity of 11.62%. The business had revenue of $0.87 million during the quarter. The firm's revenue for the quarter 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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