Klaviyo (NYSE:KVYO) Shares Gap Down on Analyst Downgrade

Key Points

• Klaviyo shares fell sharply after Stifel Nicolaus cut its price target from $24 to $22, opening at $16.20 versus the prior close of $19.30. Stifel maintained a “buy” rating.
• Analyst sentiment remains broadly positive, with a “Moderate Buy” consensus and an average price target of $28.90, despite several recent target reductions.
• Klaviyo’s latest quarter exceeded revenue expectations, generating $370.6 million in revenue, up 26.4% year over year, while adjusted EPS of $0.19 matched estimates. The company also highlighted growing AI-product adoption and its acquisition of startup Agency’s team and technology.

Klaviyo, Inc. (NYSE:KVYO - Get Free Report) shares gapped down before the market opened on Thursday after Stifel Nicolaus lowered their price target on the stock from $24.00 to $22.00. The stock had previously closed at $19.30, but opened at $16.20. Stifel Nicolaus currently has a buy rating on the stock. Klaviyo shares last traded at $16.5950, with a volume of 1,250,686 shares traded.

Several other research firms have also commented on KVYO. TD Cowen reaffirmed a "buy" rating on shares of Klaviyo in a report on Thursday. Canaccord Genuity Group set a $29.00 price objective on Klaviyo in a research note on Thursday. Jefferies Financial Group reiterated a "buy" rating and issued a $21.00 target price on shares of Klaviyo in a research note on Thursday. BTIG Research reduced their price target on shares of Klaviyo from $30.00 to $25.00 and set a "buy" rating for the company in a report on Thursday. Finally, Weiss Ratings restated a "sell (e+)" rating on shares of Klaviyo in a research report on Wednesday, May 20th. One investment analyst has rated the stock with a Strong Buy rating, sixteen have issued a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average target price of $28.90.

Insider Transactions at Klaviyo

In other news, CEO Andrew Bialecki sold 212,529 shares of the firm's stock in a transaction on Tuesday, May 26th. The stock was sold at an average price of $14.61, for a total transaction of $3,105,048.69. Following the transaction, the chief executive officer directly owned 212,529 shares of the company's stock, valued at approximately $3,105,048.69. This trade represents a 50.00% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Ledger Susan St. sold 9,334 shares of Klaviyo stock in a transaction dated Monday, May 18th. The shares were sold at an average price of $14.27, for a total transaction of $133,196.18. Following the sale, the director owned 10,939 shares in the company, valued at approximately $156,099.53. This represents a 46.04% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders sold 649,863 shares of company stock valued at $9,521,105. 37.42% of the stock is currently owned by corporate insiders.

More Klaviyo News

Here are the key news stories impacting Klaviyo this week:

• Positive Sentiment: Revenue exceeded expectations: Klaviyo reported second-quarter revenue of $370.6 million, above the $362.1 million consensus estimate and up 26.4% year over year. Adjusted earnings of $0.19 per share matched expectations and improved from $0.16 a year earlier. Klaviyo second-quarter earnings report
• Positive Sentiment: AI strategy gains momentum: Management highlighted adoption of its Composer and Customer Agent products, which support its autonomous B2C customer relationship management strategy. Klaviyo also agreed to acquire the team and technology of AI-powered customer-success startup Agency. The deal’s financial terms were not disclosed, and Agency co-founder Elias Torres is expected to become Klaviyo’s chief product officer. Klaviyo Agency acquisition announcement
• Neutral Sentiment: Forward revenue outlook was broadly in line: Klaviyo guided for third-quarter revenue of $377 million to $381 million, compared with the $378.6 million consensus estimate. Full-year 2026 revenue guidance of approximately $1.5 billion was also consistent with analyst expectations. The company did not provide a specific EPS outlook in the available guidance. Klaviyo Q2 earnings estimates
• Negative Sentiment: Analysts lowered price targets: Piper Sandler cut its target from $26 to $23 while maintaining an “overweight” rating. BTIG Research reduced its target from $30 to $25 but retained a “buy” rating. The cuts suggest analysts see less near-term upside, which is likely weighing on the stock despite their continued positive recommendations. Klaviyo analyst price-target revisions

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in the stock. Capital International Investors bought a new position in Klaviyo during the fourth quarter valued at about $415,254,000. Morgan Stanley raised its position in Klaviyo by 36.1% in the fourth quarter. Morgan Stanley now owns 14,547,090 shares of the company's stock worth $472,344,000 after acquiring an additional 3,855,160 shares in the last quarter. Fuller & Thaler Asset Management Inc. acquired a new stake in Klaviyo in the 4th quarter valued at about $92,675,000. JPMorgan Chase & Co. boosted its position in shares of Klaviyo by 86.8% during the 4th quarter. JPMorgan Chase & Co. now owns 3,564,743 shares of the company's stock valued at $115,747,000 after purchasing an additional 1,656,912 shares in the last quarter. Finally, Vanguard Group Inc. boosted its position in shares of Klaviyo by 12.3% during the 4th quarter. Vanguard Group Inc. now owns 14,361,540 shares of the company's stock valued at $466,319,000 after purchasing an additional 1,573,812 shares in the last quarter. 45.43% of the stock is currently owned by institutional investors.

Klaviyo Stock Performance

The company's 50 day moving average price is $16.18 and its 200-day moving average price is $17.99. The company has a market cap of $4.91 billion, a price-to-earnings ratio of -408.95 and a beta of 0.54.

Klaviyo (NYSE:KVYO - Get Free Report) last released its earnings results on Wednesday, August 5th. The company reported $0.19 EPS for the quarter, meeting the consensus estimate of $0.19. The business had revenue of $370.58 million during the quarter, compared to analyst estimates of $362.08 million. Klaviyo had a negative net margin of 0.66% and a positive return on equity of 4.16%. The business's quarterly revenue was up 26.4% on a year-over-year basis. During the same period in the prior year, the business earned $0.16 earnings per share. As a group, sell-side analysts forecast that Klaviyo, Inc. will post 0.25 earnings per share for the current year.

About Klaviyo

Klaviyo, Inc is a cloud-based marketing automation platform that enables businesses to leverage customer data for targeted email and SMS campaigns. The company's platform centralizes first-party data from various sources—including e-commerce storefronts, websites, and CRM systems—to help organizations deliver personalized marketing across the customer lifecycle. Klaviyo's core offerings include segmented email marketing, automated messaging workflows, and performance analytics designed to drive customer engagement and revenue growth.

The platform provides a suite of tools for campaign creation and management, including drag-and-drop email and SMS builders, dynamic content rendering, and A/B testing capabilities.

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