Klarna Group (NYSE:KLAR) Announces Earnings Results, Beats Estimates By $0.07 EPS

Klarna Group (NYSE:KLAR) posted its quarterly earnings results on Tuesday. The company reported $0.01 earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.06) by $0.07, Briefing.com reports. Klarna Group had a negative net margin of 5.21% and a negative return on equity of 7.62%. Klarna Group’s revenue for the quarter was up 26.6% on a year-over-year basis.

Klarna Group Price Performance

NYSE KLAR opened at $19.55 on Tuesday. The company has a market capitalization of $7.38 billion and a PE ratio of -37.60. The company has a fifty day moving average of $18.96 and a 200 day moving average of $16.80. Klarna Group has a 1 year low of $12.06 and a 1 year high of $57.20.

Analyst Ratings Changes

KLAR has been the subject of a number of recent analyst reports. TD Cowen increased their target price on shares of Klarna Group from $17.00 to $19.00 and gave the stock a “hold” rating in a research report on Tuesday, July 7th. Weiss Ratings reissued a “sell (e+)” rating on shares of Klarna Group in a research report on Thursday. Freedom Capital upgraded shares of Klarna Group to a “strong-buy” rating in a research note on Wednesday, June 24th. Keefe, Bruyette & Woods upped their price target on Klarna Group from $22.00 to $26.00 and gave the company an “outperform” rating in a research report on Friday, May 15th. Finally, Wells Fargo & Company dropped their price target on Klarna Group from $32.00 to $26.00 and set an “overweight” rating on the stock in a research note on Friday, May 15th. One equities research analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating, ten have issued a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus price target of $32.28.

Hedge Funds Weigh In On Klarna Group

Several hedge funds have recently bought and sold shares of the company. US Bancorp DE purchased a new stake in shares of Klarna Group in the 3rd quarter valued at about $30,000. Global Retirement Partners LLC raised its stake in shares of Klarna Group by 800.0% in the 4th quarter. Global Retirement Partners LLC now owns 900 shares of the company’s stock valued at $26,000 after purchasing an additional 800 shares in the last quarter. Legal & General Group Plc acquired a new position in Klarna Group during the 3rd quarter valued at approximately $148,000. Zurcher Kantonalbank Zurich Cantonalbank bought a new stake in Klarna Group in the third quarter worth about $153,000. Finally, National Bank of Canada FI acquired a new stake in Klarna Group during the 3rd quarter worth about $182,000.

Trending Headlines about Klarna Group

Here are the key news stories impacting Klarna Group this week:

• Positive Sentiment: Klarna reported better-than-expected second-quarter results, posting a profit when analysts had forecast a loss. Revenue rose 27% year over year to $1.042 billion, gross merchandise volume increased 18% to $36.6 billion, and adjusted operating income more than tripled to $91 million. Growth in the U.S. market and higher engagement from its 120 million consumers supported the results. Reuters article Klarna second-quarter results
• Neutral Sentiment: Klarna announced that Chief Financial Officer Niclas Neglén and Chief Marketing Officer David Sandström plan to leave their roles in early 2027. Both executives will remain in place during the transition, limiting any immediate disruption, but investors may monitor whether the changes affect execution during the company’s expansion. Klarna leadership transition announcement
• Negative Sentiment: Despite the earnings beat, management trimmed its volume outlook, raising concerns that transaction growth could moderate. That caution is particularly significant because the stock had rallied ahead of the report and investors were focused on whether rapid growth and improving profitability could continue.
• Negative Sentiment: Trading before the release reflected elevated event risk, including heavier-than-usual put-option activity and investor concern that second-quarter profitability could fall below first-quarter levels. Those positioning pressures likely contributed to the recent decline in KLAR even though the reported quarter was stronger than expected.

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.