Kyndryl Holdings Inc (NYSE: KD)’s stock price has decreased by -2.82 compared to its previous closing price of 35.52. However, the company has seen a 0.64% increase in its stock price over the last five trading sessions. seekingalpha.com reported 2025-03-18 that Kyndryl Holdings (NYSE: KD) is undergoing a strategic transformation, focusing on high-margin IT consulting, hybrid cloud, cybersecurity, and AI, driving revenue growth and margin expansion. Despite market skepticism, Kyndryl’s partnerships with hyperscalers like Amazon, Microsoft, and Google, and its shift to asset-light models, position it for significant fundamental growth. Kyndryl’s EBITDA and free cash flow are improving, with management projecting strong future performance and undervaluation compared to peers, suggesting substantial upside potential.
Is It Worth Investing in Kyndryl Holdings Inc (NYSE: KD) Right Now?
Kyndryl Holdings Inc (NYSE: KD) has a higher price-to-earnings ratio of 61.79x compared to its average ratio, The 36-month beta value for KD is at 1.93. Analysts have varying views on the stock, with 3 analysts rating it as a “buy,” 2 rating it as “overweight,” 0 as “hold,” and 0 as “sell.”
The public float for KD is 229.10M, and currently, shorts hold a 3.62% of that float. The average trading volume for KD on March 19, 2025 was 2.24M shares.
KD’s Market Performance
The stock of Kyndryl Holdings Inc (KD) has seen a 0.64% increase in the past week, with a -17.40% drop in the past month, and a -3.49% fall in the past quarter. The volatility ratio for the week is 3.76%, and the volatility levels for the past 30 days are at 4.04% for KD. The simple moving average for the past 20 days is -5.62% for KD’s stock, with a 16.76% simple moving average for the past 200 days.
Analysts’ Opinion of KD
Many brokerage firms have already submitted their reports for KD stocks, with Oppenheimer repeating the rating for KD by listing it as a “Outperform.” The predicted price for KD in the upcoming period, according to Oppenheimer is $37 based on the research report published on November 22, 2024 of the previous year 2024.
BofA Securities, on the other hand, stated in their research note that they expect to see KD reach a price target of $40. The rating they have provided for KD stocks is “Buy” according to the report published on November 22nd, 2024.
Oppenheimer gave a rating of “Outperform” to KD, setting the target price at $33 in the report published on June 27th of the previous year.
KD Trading at -9.61% from the 50-Day Moving Average
After a stumble in the market that brought KD to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -20.84% of loss for the given period.
Volatility was left at 4.04%, however, over the last 30 days, the volatility rate increased by 3.76%, as shares sank -17.55% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -2.82% lower at present.
During the last 5 trading sessions, KD rose by +0.64%, which changed the moving average for the period of 200-days by +29.24% in comparison to the 20-day moving average, which settled at $36.58. In addition, Kyndryl Holdings Inc saw -0.23% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at KD starting from Khurana Vineet, who sale 55,465 shares at the price of $42.81 back on Feb 06 ’25. After this action, Khurana Vineet now owns 43,877 shares of Kyndryl Holdings Inc, valued at $2,374,491 using the latest closing price.
Sebold Edward, the General Counsel and Secretary of Kyndryl Holdings Inc, sale 27,500 shares at $42.83 during a trade that took place back on Feb 06 ’25, which means that Sebold Edward is holding 132,818 shares at $1,177,782 based on the most recent closing price.
Stock Fundamentals for KD
Current profitability levels for the company are sitting at:
- 0.02 for the present operating margin
- 0.2 for the gross margin
The net margin for Kyndryl Holdings Inc stands at 0.01. The total capital return value is set at 0.05. Equity return is now at value 12.09, with 1.32 for asset returns.
Based on Kyndryl Holdings Inc (KD), the company’s capital structure generated 0.78 points at debt to capital in total, while cash flow to debt ratio is standing at 0.13. The debt to equity ratio resting at 3.61. The interest coverage ratio of the stock is 2.97.
Currently, EBITDA for the company is 1.14 billion with net debt to EBITDA at 1.72. When we switch over and look at the enterprise to sales, we see a ratio of 0.69. The receivables turnover for the company is 10.99for trailing twelve months and the total asset turnover is 1.52. The liquidity ratio also appears to be rather interesting for investors as it stands at 0.87.
Conclusion
In conclusion, Kyndryl Holdings Inc (KD) has had a mixed performance lately. Opinion on the stock among analysts is bullish, with some giving it a “buy” rating and others a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
