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Kyndryl Holdings, Inc. (KD) Stock Dips While Market Gains: Key Facts

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Kyndryl Holdings, Inc. (KD - Free Report) ended the recent trading session at $31.48, demonstrating a -1.01% change from the preceding day's closing price. This change lagged the S&P 500's daily gain of 0.48%. Meanwhile, the Dow gained 0.27%, and the Nasdaq, a tech-heavy index, added 0.94%.

The company's shares have seen an increase of 4.88% over the last month, surpassing the Business Services sector's gain of 2.59% and the S&P 500's gain of 2.46%.

Market participants will be closely following the financial results of Kyndryl Holdings, Inc. in its upcoming release. The company is forecasted to report an EPS of $0.33, showcasing a 3200% upward movement from the corresponding quarter of the prior year. At the same time, our most recent consensus estimate is projecting a revenue of $3.82 billion, reflecting a 1.3% rise from the equivalent quarter last year.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $2.21 per share and a revenue of $15.68 billion, signifying shifts of +85.71% and +4.17%, respectively, from the last year.

Any recent changes to analyst estimates for Kyndryl Holdings, Inc. should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.

Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.73% decrease. Right now, Kyndryl Holdings, Inc. possesses a Zacks Rank of #4 (Sell).

Valuation is also important, so investors should note that Kyndryl Holdings, Inc. has a Forward P/E ratio of 14.39 right now. For comparison, its industry has an average Forward P/E of 22.29, which means Kyndryl Holdings, Inc. is trading at a discount to the group.

One should further note that KD currently holds a PEG ratio of 2.88. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. By the end of yesterday's trading, the Technology Services industry had an average PEG ratio of 1.85.

The Technology Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 82, which puts it in the top 34% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow KD in the coming trading sessions, be sure to utilize Zacks.com.


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