Morgan Stanley Cuts Kyndryl (NYSE:KD) Price Target to $13.00

Kyndryl (NYSE:KD) had its target price cut by Morgan Stanley from $28.00 to $13.00 in a report issued on Tuesday morning,Benzinga reports. They currently have an equal weight rating on the stock.

Other analysts also recently issued research reports about the company. Scotiabank began coverage on Kyndryl in a research report on Tuesday, January 27th. They set an “outperform” rating for the company. JPMorgan Chase & Co. cut shares of Kyndryl from an “overweight” rating to an “underweight” rating and set a $16.00 price objective on the stock. in a research report on Monday, February 9th. Zacks Research downgraded shares of Kyndryl from a “hold” rating to a “strong sell” rating in a research note on Wednesday, February 18th. Guggenheim lowered shares of Kyndryl from a “buy” rating to a “neutral” rating in a research report on Tuesday, February 10th. Finally, Wall Street Zen raised shares of Kyndryl from a “hold” rating to a “buy” rating in a research note on Sunday, February 22nd. Two analysts have rated the stock with a Buy rating, three have issued a Hold rating and three have assigned a Sell rating to the company. According to MarketBeat.com, the company has a consensus rating of “Reduce” and an average price target of $25.60.

Kyndryl Trading Up 1.3%

Kyndryl stock opened at $12.81 on Tuesday. The company has a debt-to-equity ratio of 1.75, a quick ratio of 0.86 and a current ratio of 0.86. Kyndryl has a fifty-two week low of $10.10 and a fifty-two week high of $44.20. The stock has a market cap of $2.89 billion, a P/E ratio of 12.20 and a beta of 1.92. The firm’s fifty day moving average price is $16.09 and its 200-day moving average price is $23.78.

Kyndryl (NYSE:KD) last posted its earnings results on Monday, February 9th. The company reported $0.52 EPS for the quarter, missing the consensus estimate of $0.60 by ($0.08). The business had revenue of $3.86 billion for the quarter, compared to analysts’ expectations of $3.89 billion. Kyndryl had a return on equity of 25.91% and a net margin of 1.65%.Kyndryl’s quarterly revenue was up .6% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.51 earnings per share. Equities research analysts forecast that Kyndryl will post 0.73 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Kyndryl

Several institutional investors have recently modified their holdings of KD. Los Angeles Capital Management LLC bought a new stake in Kyndryl in the 4th quarter worth approximately $29,000. Employees Retirement System of Texas bought a new position in Kyndryl during the second quarter valued at approximately $49,000. Smartleaf Asset Management LLC raised its stake in shares of Kyndryl by 192.0% during the third quarter. Smartleaf Asset Management LLC now owns 1,171 shares of the company’s stock worth $35,000 after acquiring an additional 770 shares in the last quarter. Quarry LP purchased a new position in shares of Kyndryl during the fourth quarter worth approximately $31,000. Finally, NBT Bank N A NY lifted its holdings in shares of Kyndryl by 3,220.0% in the 4th quarter. NBT Bank N A NY now owns 1,328 shares of the company’s stock worth $35,000 after acquiring an additional 1,288 shares during the last quarter. 71.53% of the stock is currently owned by institutional investors.

Key Kyndryl News

Here are the key news stories impacting Kyndryl this week:

• Neutral Sentiment: Analysis pieces are re?examining Kyndryl’s valuation and the stock after the ~52% slide, prompting some investors to reassess risk/reward. Is It Time To Reconsider Kyndryl (KD) After Its 52% Share Price Slide?
• Neutral Sentiment: Valuation reviews highlight that Kyndryl’s shares now trade at depressed multiples, which some investors view as a buying opportunity if legal risks are resolved. A Look At Kyndryl Holdings (KD) Valuation After New Securities Class Action Over Cash Flow Disclosures
• Negative Sentiment: Hagens Berman filed an expanded securities class action that extends the alleged class period and adds claims about free?cash?flow reporting, increasing potential legal exposure and investor uncertainty. KD ALERT: New Kyndryl (KD) Securities Class Action Complaint Expands Class Period to August 1, 2024- Hagens Berman
• Negative Sentiment: Multiple plaintiff law firms (Glancy Prongay, Bronstein, Pomerantz, Berger Montague and others) have announced or are soliciting participants in separate class actions alleging misstatements about cash management and controls; overlapping suits raise settlement/defense cost risk and distract management. Kyndryl Holdings, Inc. (KD) Shareholders Who Lost Money Have Opportunity to Lead Securities Fraud Lawsuit
• Negative Sentiment: Bronstein, Gewirtz & Grossman announced a class action naming Kyndryl and officers, covering Aug 7, 2024–Feb 9, 2026; that filing is another indicator of coordinated litigation risk. Bronstein, Gewirtz & Grossman LLC Urges Kyndryl Holdings, Inc to Act
• Negative Sentiment: Pomerantz, Berger Montague, Kessler Topaz and others are reminding investors of the April 13, 2026 lead?plaintiff deadline and soliciting claims — a sign of broad plaintiff interest that can amplify legal costs and settlement risk. INVESTOR ALERT: Pomerantz Law Firm Reminds Investors of Class Action
• Negative Sentiment: Morgan Stanley lowered its price target for KD to $13.00, signaling analyst caution on near?term earnings/valuation given legal overhang and prior quarterly EPS/revenue misses. Morgan Stanley Lowers Kyndryl Price Target to $13.00

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.