Kyndryl (NYSE:KD) Stock Price Expected to Rise, Scotiabank Analyst Says

Kyndryl (NYSE:KD) had its price target raised by stock analysts at Scotiabank from $15.00 to $19.00 in a report released on Thursday, Benzinga reports. The brokerage currently has a “sector perform” rating on the stock. Scotiabank‘s price objective indicates a potential upside of 16.25% from the stock’s previous close.

Several other equities analysts have also commented on the stock. Susquehanna upped their price target on shares of Kyndryl from $13.00 to $16.00 and gave the stock a “neutral” rating in a research report on Thursday. BMO Capital Markets reissued a “market perform” rating and set a $16.00 target price on shares of Kyndryl in a research note on Thursday, August 6th. Zacks Research raised shares of Kyndryl from a “strong sell” rating to a “hold” rating in a research note on Monday, September 14th. JPMorgan Chase & Co. upped their target price on shares of Kyndryl from $13.00 to $14.00 and gave the stock an “underweight” rating in a research report on Monday, August 10th. Finally, Weiss Ratings restated a “sell (d)” rating on shares of Kyndryl in a research note on Tuesday. Seven equities research analysts have rated the stock with a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat.com, Kyndryl currently has an average rating of “Reduce” and a consensus price target of $17.67.

Kyndryl Stock Performance

Shares of NYSE KD traded up $0.16 during mid-day trading on Thursday, hitting $16.34. The company had a trading volume of 5,119,687 shares, compared to its average volume of 3,827,999. The stock has a market cap of $3.56 billion, a price-to-earnings ratio of 46.70 and a beta of 1.62. Kyndryl has a 12 month low of $10.10 and a 12 month high of $27.83. The company has a debt-to-equity ratio of 1.96, a current ratio of 0.85 and a quick ratio of 0.85. The firm’s 50 day simple moving average is $13.03 and its two-hundred day simple moving average is $13.37.

Kyndryl (NYSE:KD) last released its quarterly earnings data on Wednesday, November 4th. The company reported $0.42 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.38 by $0.04. Kyndryl had a return on equity of 12.24% and a net margin of 0.58%. The business had revenue of $3.65 billion during the quarter, compared to analyst estimates of $3.62 billion. During the same quarter in the previous year, the firm posted $0.38 EPS. The business’s revenue for the quarter was down 1.9% compared to the same quarter last year. As a group, equities research analysts forecast that Kyndryl will post 1.36 earnings per share for the current year.

Institutional Investors Weigh In On Kyndryl

Institutional investors have recently bought and sold shares of the stock. State Street Corp lifted its stake in shares of Kyndryl by 6.8% in the 2nd quarter. State Street Corp now owns 7,792,865 shares of the company’s stock worth $88,137,000 after acquiring an additional 492,925 shares during the period. Sound Shore Management Inc. CT increased its stake in shares of Kyndryl by 39.5% during the first quarter. Sound Shore Management Inc. CT now owns 4,147,984 shares of the company’s stock valued at $54,422,000 after acquiring an additional 1,173,761 shares during the period. Cooper Creek Partners Management LLC increased its stake in shares of Kyndryl by 498.5% during the first quarter. Cooper Creek Partners Management LLC now owns 3,895,949 shares of the company’s stock valued at $51,115,000 after acquiring an additional 3,245,013 shares during the period. Arnhold LLC raised its holdings in Kyndryl by 6.1% during the third quarter. Arnhold LLC now owns 2,058,952 shares of the company’s stock worth $23,184,000 after purchasing an additional 118,880 shares in the last quarter. Finally, Bank of America Corp DE raised its holdings in Kyndryl by 12.8% during the first quarter. Bank of America Corp DE now owns 1,792,792 shares of the company’s stock worth $23,521,000 after purchasing an additional 203,032 shares in the last quarter. Institutional investors and hedge funds own 71.53% of the company’s stock.

Kyndryl News Summary

Here are the key news stories impacting Kyndryl this week:

• Positive Sentiment: Kyndryl reported adjusted earnings of $0.42 per share, above the $0.38 consensus, and revenue of $3.65 billion, slightly ahead of expectations. Investors also responded to signs that AI-led modernization and efficiency efforts are improving margins. AI-led modernization and efficiency drive margin gains
• Positive Sentiment: The company reaffirmed its fiscal 2027 free-cash-flow outlook of $400 million to $500 million and is targeting $400 million to $500 million in annualized operating-cost savings in fiscal 2028, supporting its efficiency narrative. Kyndryl reaffirms free-cash-flow outlook and savings target
• Positive Sentiment: Kyndryl and AWS announced an agentic-AI modernization solution intended to help customers modernize applications faster, reduce transformation risk and build AI-ready systems. The partnership could support demand for Kyndryl’s services. Kyndryl uses agentic AI to accelerate enterprise modernization with AWS
• Neutral Sentiment: Scotiabank raised its price target from $15 to $19 while maintaining a “sector perform” rating. Susquehanna raised its target from $13 to $16 but kept a “neutral” rating, suggesting analysts see limited near-term upside at the recent share price. Susquehanna raises Kyndryl price target
• Negative Sentiment: Despite beating estimates, revenue declined 1.9% year over year. One valuation analysis also argued that the earnings-driven rally may have left KD overvalued, highlighting the risk that expectations have moved ahead of fundamentals. Valuation analysis of Kyndryl Holdings

About Kyndryl

Kyndryl Holdings, Inc (NYSE:KD) is an information technology services company that designs, builds, manages and modernizes mission-critical technology systems for businesses and public-sector organizations. Its services help customers operate and transform complex IT environments, including cloud, data centers, networks, applications and digital workplaces.

The company provides consulting and implementation services as well as ongoing managed services. Its capabilities include cloud solutions, network and edge services, cybersecurity, data and artificial intelligence, application management, enterprise computing and technology modernization.