Kyndryl (NYSE:KD) Shares Gap Down – Here’s What Happened

Kyndryl Holdings, Inc. (NYSE:KD)’s stock price gapped down before the market opened on Tuesday . The stock had previously closed at $12.32, but opened at $11.49. Kyndryl shares last traded at $11.2310, with a volume of 1,197,557 shares.

Analysts Set New Price Targets

Several brokerages have recently issued reports on KD. Zacks Research upgraded shares of Kyndryl from a “strong sell” rating to a “hold” rating in a research report on Monday. Scotiabank reduced their price target on shares of Kyndryl from $16.50 to $15.00 and set a “sector perform” rating for the company in a research report on Friday, May 8th. Susquehanna cut Kyndryl from a “positive” rating to a “neutral” rating and lowered their price objective for the stock from $16.00 to $13.00 in a report on Thursday, May 21st. Weiss Ratings reiterated a “sell (d+)” rating on shares of Kyndryl in a research note on Monday, June 15th. Finally, Wall Street Zen cut Kyndryl from a “buy” rating to a “hold” rating in a report on Saturday, May 9th. Seven analysts have rated the stock with a Hold rating and two have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the company has an average rating of “Reduce” and an average price target of $16.67.

Kyndryl Price Performance

The stock’s fifty day moving average price is $11.77 and its 200-day moving average price is $15.20. The firm has a market cap of $2.59 billion, a PE ratio of 13.80 and a beta of 1.67. The company has a debt-to-equity ratio of 1.77, a current ratio of 0.88 and a quick ratio of 0.88.

Kyndryl (NYSE:KD) last posted its quarterly earnings results on Wednesday, May 6th. The company reported $0.18 earnings per share for the quarter, missing the consensus estimate of $0.43 by ($0.25). Kyndryl had a return on equity of 20.43% and a net margin of 1.31%.The business had revenue of $3.77 billion during the quarter, compared to analysts’ expectations of $3.74 billion. During the same period in the prior year, the business posted $0.52 earnings per share. The business’s quarterly revenue was down .8% on a year-over-year basis. As a group, equities analysts expect that Kyndryl Holdings, Inc. will post 1.54 EPS for the current fiscal year.

Institutional Investors Weigh In On Kyndryl

Large investors have recently made changes to their positions in the stock. Versant Capital Management Inc lifted its position in Kyndryl by 104.1% during the second quarter. Versant Capital Management Inc now owns 2,418 shares of the company’s stock worth $27,000 after buying an additional 1,233 shares in the last quarter. Western Wealth Management LLC acquired a new stake in shares of Kyndryl in the 1st quarter worth $29,000. Los Angeles Capital Management LLC acquired a new stake in shares of Kyndryl in the 4th quarter worth $29,000. Quarry LP acquired a new stake in shares of Kyndryl in the 4th quarter worth $31,000. Finally, NBT Bank N A NY raised its holdings in shares of Kyndryl by 3,220.0% during 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 period. 71.53% of the stock is currently owned by hedge funds and other institutional investors.

About Kyndryl

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.