Kyndryl Holdings, Inc. (NYSE:KD) Receives Average Rating of "Reduce" from Brokerages

Key Points

• Consensus "Reduce": Eight analysts covering Kyndryl give an average rating of "Reduce" (3 sell, 3 hold, 2 buy) with a 12‑month average price target of $25.60.
• Recent broker moves skew negative—Morgan Stanley cut its target to $13 (equal weight) and JPMorgan downgraded to underweight with a $16 target, while Zacks moved to "strong sell" even as Wall Street Zen upgraded to "buy."
• Kyndryl trades near $14.40 (market cap ~$3.25B) after a quarterly EPS miss ($0.52 vs. $0.60 est.) and slight revenue shortfall, and institutional ownership is high at about 71.5% with several large investors increasing positions.

Kyndryl Holdings, Inc. (NYSE:KD - Get Free Report) has earned a consensus rating of "Reduce" from the eight ratings firms that are presently covering the stock, Marketbeat reports. Three research analysts have rated the stock with a sell rating, three have issued a hold rating and two have assigned a buy rating to the company. The average twelve-month target price among brokers that have issued ratings on the stock in the last year is $25.60.

A number of equities research analysts recently commented on the company. Morgan Stanley dropped their price objective on Kyndryl from $28.00 to $13.00 and set an "equal weight" rating for the company in a report on Tuesday, March 24th. Susquehanna dropped their price objective on Kyndryl from $35.00 to $16.00 and set a "positive" rating for the company in a report on Friday, February 13th. JPMorgan Chase & Co. downgraded Kyndryl from an "overweight" rating to an "underweight" rating and set a $16.00 price objective for the company. in a report on Monday, February 9th. Wall Street Zen upgraded Kyndryl from a "hold" rating to a "buy" rating in a report on Sunday, February 22nd. Finally, Zacks Research downgraded Kyndryl from a "hold" rating to a "strong sell" rating in a report on Wednesday, February 18th.

Institutional Investors Weigh In On Kyndryl

Several large investors have recently modified their holdings of KD. Royal Bank of Canada increased its holdings in shares of Kyndryl by 50.2% in the first quarter. Royal Bank of Canada now owns 148,178 shares of the company's stock worth $4,653,000 after acquiring an additional 49,504 shares in the last quarter. Integrated Wealth Concepts LLC increased its holdings in shares of Kyndryl by 15.8% in the first quarter. Integrated Wealth Concepts LLC now owns 8,025 shares of the company's stock worth $252,000 after acquiring an additional 1,093 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its holdings in shares of Kyndryl by 1.5% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 733,068 shares of the company's stock worth $23,018,000 after acquiring an additional 11,177 shares in the last quarter. Northwestern Mutual Wealth Management Co. increased its holdings in shares of Kyndryl by 116.9% in the second quarter. Northwestern Mutual Wealth Management Co. now owns 2,616 shares of the company's stock worth $110,000 after acquiring an additional 1,410 shares in the last quarter. Finally, First Trust Advisors LP increased its holdings in shares of Kyndryl by 29.8% in the second quarter. First Trust Advisors LP now owns 408,123 shares of the company's stock worth $17,125,000 after acquiring an additional 93,726 shares in the last quarter. 71.53% of the stock is currently owned by institutional investors.

Kyndryl Trading Up 3.3%

NYSE KD opened at $14.40 on Friday. The stock has a 50-day simple moving average of $12.65 and a 200 day simple moving average of $21.66. The company has a market capitalization of $3.25 billion, a PE ratio of 13.72 and a beta of 1.83. The company has a current ratio of 0.86, a quick ratio of 0.86 and a debt-to-equity ratio of 1.75. Kyndryl has a 12 month low of $10.10 and a 12 month high of $44.20.

Kyndryl (NYSE:KD - Get Free Report) last released its quarterly earnings data on Monday, February 9th. The company reported $0.52 EPS for the quarter, missing analysts' consensus estimates of $0.60 by ($0.08). The company had revenue of $3.86 billion during the quarter, compared to the consensus estimate of $3.89 billion. Kyndryl had a net margin of 1.65% and a return on equity of 25.91%. The company's revenue for the quarter was up .6% compared to the same quarter last year. During the same quarter in the prior year, the company posted $0.51 EPS. Research analysts forecast that Kyndryl will post 0.73 EPS for the current year.

Kyndryl Company Profile

Kyndryl NYSE: KD is a global managed infrastructure services provider formed in November 2021 through the spin-off of IBM's Managed Infrastructure Services business. The company designs, builds, manages and modernizes critical information technology systems for enterprises worldwide. Kyndryl's core offerings include cloud migration and management, network and edge computing solutions, digital workplace services and IT resiliency and security capabilities.

With a workforce of approximately 90,000 professionals and operations in more than 60 countries, Kyndryl serves clients across a broad range of industries, including financial services, telecommunications, healthcare, manufacturing and retail.

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.