Kyndryl (NYSE:KD) Shares Down 9.3% – Time to Sell?

Kyndryl Holdings, Inc. (NYSE:KD)’s stock price traded down 9.3% on Wednesday . The company traded as low as $12.85 and last traded at $13.32. Approximately 1,045,162 shares were traded during trading, a decline of 77% from the average session volume of 4,634,747 shares. The stock had previously closed at $14.69.

Wall Street Analyst Weigh In

KD has been the topic of several research analyst reports. Zacks Research upgraded shares of Kyndryl from a “strong sell” rating to a “hold” rating in a research report on Monday, July 13th. BMO Capital Markets initiated coverage on shares of Kyndryl in a research report on Monday, April 20th. They set a “market perform” rating and a $15.00 price target for the company. Wall Street Zen lowered shares of Kyndryl from a “buy” rating to a “hold” rating in a research note on Saturday, May 9th. 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. Finally, Scotiabank lowered their price objective on Kyndryl from $16.50 to $15.00 and set a “sector perform” rating on the stock in a report on Friday, May 8th. 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 stock has an average rating of “Reduce” and an average target price of $16.67.

Kyndryl Trading Down 2.9%

The company has a 50 day moving average of $12.04 and a 200 day moving average of $13.82. The company has a debt-to-equity ratio of 1.77, a quick ratio of 0.88 and a current ratio of 0.88. The stock has a market capitalization of $3.15 billion, a price-to-earnings ratio of 16.84 and a beta of 1.65.

Kyndryl (NYSE:KD) last announced its quarterly earnings data on Wednesday, August 5th. The company reported ($0.12) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.16) by $0.04. Kyndryl had a return on equity of 20.43% and a net margin of 1.31%.The company had revenue of $3.62 billion for the quarter, compared to analyst estimates of $3.64 billion. During the same quarter last year, the firm posted $0.37 EPS. The firm’s revenue for the quarter was down 3.3% on a year-over-year basis. On average, research analysts predict that Kyndryl Holdings, Inc. will post 1.54 EPS for the current fiscal year.

Hedge Funds Weigh In On Kyndryl

Several hedge funds and other institutional investors have recently modified their holdings of KD. Royal Bank of Canada grew its position 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 valued at $4,653,000 after purchasing an additional 49,504 shares in the last quarter. Integrated Wealth Concepts LLC boosted its stake in Kyndryl by 15.8% during the first quarter. Integrated Wealth Concepts LLC now owns 8,025 shares of the company’s stock worth $252,000 after buying an additional 1,093 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its stake in Kyndryl by 1.5% during 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 buying an additional 11,177 shares during the last quarter. Northwestern Mutual Wealth Management Co. grew its holdings in Kyndryl by 116.9% in the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 2,616 shares of the company’s stock valued at $110,000 after buying an additional 1,410 shares in the last quarter. Finally, First Trust Advisors LP grew its holdings in Kyndryl by 29.8% in the 2nd quarter. First Trust Advisors LP now owns 408,123 shares of the company’s stock valued at $17,125,000 after buying an additional 93,726 shares in the last quarter. 71.53% of the stock is 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.