Kyndryl (NYSE:KD) Sets New 1-Year Low on Analyst Downgrade

Kyndryl Holdings, Inc. (NYSE:KD)’s stock price hit a new 52-week low during trading on Tuesday after JPMorgan Chase & Co. downgraded the stock from an overweight rating to an underweight rating. JPMorgan Chase & Co. now has a $16.00 price target on the stock. Kyndryl traded as low as $10.10 and last traded at $10.57, with a volume of 60829172 shares. The stock had previously closed at $23.49.

KD has been the subject of several other reports. Susquehanna set a $35.00 target price on shares of Kyndryl in a research report on Thursday, November 6th. Zacks Research raised Kyndryl from a “strong sell” rating to a “hold” rating in a research note on Wednesday, November 12th. Scotiabank began coverage on Kyndryl in a report on Tuesday, January 27th. They issued an “outperform” rating for the company. Finally, Guggenheim decreased their price objective on Kyndryl from $30.00 to $28.00 and set a “buy” rating on the stock in a report on Tuesday, February 3rd. Three research analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Hold” and an average target price of $32.80.

Insider Activity at Kyndryl

In other news, SVP Vineet Khurana sold 6,641 shares of the business’s stock in a transaction dated Friday, December 5th. The stock was sold at an average price of $26.69, for a total value of $177,248.29. Following the completion of the sale, the senior vice president owned 59,708 shares of the company’s stock, valued at approximately $1,593,606.52. The trade was a 10.01% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Corporate insiders own 1.90% of the company’s stock.

Key Stories Impacting Kyndryl

Here are the key news stories impacting Kyndryl this week:

• Positive Sentiment: Kyndryl said its Kyndryl Consult business delivered double‑digit revenue growth in the quarter, and the company reported positive adjusted EBITDA — a bright spot that could support medium‑term cash generation. KYNDRYL REPORTS THIRD QUARTER FISCAL 2026 RESULTS
• Neutral Sentiment: Reported Q3 results: EPS $0.52 and revenue ~ $3.9B, narrowly missing consensus — the operational picture has mixed signals vs. expectations. Kyndryl earnings report
• Neutral Sentiment: Trading was temporarily halted (LULD pauses) during the volatile session — standard market mechanism during extreme moves.
• Negative Sentiment: Kyndryl said it cannot timely file its Form 10‑Q, expects material weaknesses in internal control for multiple periods and disclosed an internal review plus voluntary SEC document requests — a major governance and disclosure red flag. Kyndryl delays quarterly filing, flags financial reporting concerns (Reuters)
• Negative Sentiment: Chief Financial Officer David Wyshner and General Counsel Edward Sebold departed effective immediately amid the accounting review — sudden exits at the top of finance and legal heighten investor concern. Kyndryl Finance Chief Wyshner Leaves (WSJ)
• Negative Sentiment: Multiple plaintiff and securities‑law firms have opened investigations and solicited investors for potential class actions — this increases legal risk and potential future liabilities. Kyndryl Shares Crater; Hagens Berman Investigation
• Negative Sentiment: Analysts reacted: JPMorgan downgraded KD to underweight (lower near‑term outlook), adding sell‑side pressure. JPMorgan downgrade report

Institutional Trading of Kyndryl

Several hedge funds and other institutional investors have recently bought and sold shares of KD. Assetmark Inc. increased its stake in shares of Kyndryl by 75.3% in the second quarter. Assetmark Inc. now owns 775 shares of the company’s stock worth $33,000 after buying an additional 333 shares during the period. Smartleaf Asset Management LLC boosted its position in Kyndryl by 192.0% during the 3rd quarter. Smartleaf Asset Management LLC now owns 1,171 shares of the company’s stock valued at $35,000 after buying an additional 770 shares during the period. NBT Bank N A NY grew its holdings in Kyndryl by 3,220.0% in 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 last quarter. Thurston Springer Miller Herd & Titak Inc. increased its position in shares of Kyndryl by 4,475.0% in the fourth quarter. Thurston Springer Miller Herd & Titak Inc. now owns 1,464 shares of the company’s stock valued at $39,000 after acquiring an additional 1,432 shares during the period. Finally, Flagship Harbor Advisors LLC bought a new position in shares of Kyndryl during the fourth quarter valued at about $39,000. Institutional investors own 71.53% of the company’s stock.

Kyndryl Trading Down 55.0%

The company has a debt-to-equity ratio of 2.24, a current ratio of 1.02 and a quick ratio of 1.02. The firm’s 50 day moving average price is $25.52 and its 200 day moving average price is $28.28. The stock has a market capitalization of $2.42 billion, a P/E ratio of 6.25 and a beta of 1.85.

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.