Kyndryl (NYSE:KD) Downgraded by Zacks Research to “Strong Sell”

Kyndryl (NYSE:KD) was downgraded by research analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a report released on Wednesday,Zacks.com reports.

Other equities research analysts have also recently issued research reports about the company. Susquehanna cut their price target on Kyndryl from $35.00 to $16.00 and set a “positive” rating for the company in a report on Friday, February 13th. Scotiabank started coverage on shares of Kyndryl in a research report on Tuesday, January 27th. They set an “outperform” rating on the stock. Wall Street Zen cut shares of Kyndryl from a “buy” rating to a “hold” rating in a research report on Saturday, February 14th. JPMorgan Chase & Co. downgraded shares of Kyndryl from an “overweight” rating to an “underweight” rating and set a $16.00 target price on the stock. in a research note on Monday, February 9th. Finally, Oppenheimer reissued a “market perform” rating on shares of Kyndryl in a research note on Monday, February 9th. Two investment analysts have rated the stock with a Buy rating, four have assigned a Hold rating and two have issued a Sell rating to the company’s stock. According to MarketBeat, the company presently has a consensus rating of “Hold” and an average price target of $29.00.

Kyndryl Trading Down 2.5%

KD stock opened at $12.79 on Wednesday. Kyndryl has a 12-month low of $10.10 and a 12-month high of $44.20. The business’s 50-day moving average is $23.26 and its 200 day moving average is $26.98. The company has a current ratio of 0.86, a quick ratio of 1.02 and a debt-to-equity ratio of 1.75. The stock has a market cap of $2.88 billion, a price-to-earnings ratio of 12.18 and a beta of 1.84.

Kyndryl (NYSE:KD) last issued its quarterly earnings results on Monday, February 9th. The company reported $0.52 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.60 by ($0.08). Kyndryl had a return on equity of 25.91% and a net margin of 1.65%.The firm had revenue of $3.86 billion during the quarter, compared to analyst estimates of $3.89 billion. During the same period in the prior year, the firm earned $0.51 earnings per share. The business’s revenue was up .6% on a year-over-year basis. On average, sell-side analysts anticipate that Kyndryl will post 0.73 EPS for the current fiscal year.

Insider Buying and Selling

In other Kyndryl news, SVP Vineet Khurana sold 6,641 shares of the firm’s stock in a transaction that occurred on Friday, December 5th. The shares were sold at an average price of $26.69, for a total value of $177,248.29. Following the completion of the transaction, the senior vice president owned 59,708 shares of the company’s stock, valued at $1,593,606.52. This trade represents a 10.01% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. 1.90% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Kyndryl

Large investors have recently bought and sold shares of the stock. ING Groep NV purchased a new stake in shares of Kyndryl during the third quarter worth approximately $9,188,000. Arnhold LLC increased its stake in Kyndryl by 19.5% in the 3rd quarter. Arnhold LLC now owns 1,010,671 shares of the company’s stock valued at $30,350,000 after buying an additional 164,856 shares during the period. Penserra Capital Management LLC raised its position in Kyndryl by 21.1% during the 3rd quarter. Penserra Capital Management LLC now owns 315,439 shares of the company’s stock worth $9,472,000 after buying an additional 54,945 shares during the last quarter. Thrivent Financial for Lutherans lifted its stake in shares of Kyndryl by 18.2% in the 3rd quarter. Thrivent Financial for Lutherans now owns 616,006 shares of the company’s stock worth $18,499,000 after acquiring an additional 94,908 shares during the period. Finally, Bastion Asset Management Inc. acquired a new stake in shares of Kyndryl in the 3rd quarter worth $7,326,000. Hedge funds and other institutional investors own 71.53% of the company’s stock.

Trending Headlines about Kyndryl

Here are the key news stories impacting Kyndryl this week:

• Positive Sentiment: Kyndryl launched a Cyber Defense Operations Center in Bengaluru to unify network and security operations — a business development that could strengthen managed-security offerings and customer retention over time. Read More.
• Neutral Sentiment: Many plaintiff law firms and shareholder‑notice services are circulating reminders about the April 13, 2026 lead-plaintiff deadline; these notices increase awareness but largely repeat the same class‑period and deadline details. Investors should note the deadline if they intend to participate. Read More.
• Negative Sentiment: Multiple securities class actions have been filed alleging material misstatements/omissions tied to Kyndryl’s cash-management and internal control practices after the company disclosed it would not timely file its quarterly report. The filings cite “material internal control weaknesses,” “tone at the top” concerns, senior executive departures and an SEC document request — facts that materially raise regulatory, remediation and litigation risk for KD. Read More.
• Negative Sentiment: Analyst sentiment turned more negative: Zacks added KD to its Rank #5 (Strong Sell) list — a near-term signal that further selling pressure and lower coverage expectations may follow until visibility on controls and filings improves. Read More.

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.