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Kyndryl Set to Report Q2 Earnings: Here's What Investors Should Know

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Key Takeaways

  • Kyndryl will release 2Q26 results on Nov. 4 after market close.
  • Revenues are expected to rise 1.1% y/y to $3.8B on strength in AI, cloud and cyber resiliency services.
  • EPS is estimated at $0.35, more than doubling y/y on cost control and margin gains.

Kyndryl (KD - Free Report) will report second-quarter fiscal 2026 results on Nov. 4, after market close.

KD’s earnings surprise history is impressive. It surpassed the Zacks Consensus Estimate in three of the four trailing quarters and met once, delivering an average earnings surprise of 36.1%.

Kyndryl Holdings, Inc. Price and EPS Surprise

 

Kyndryl Holdings, Inc. Price and EPS Surprise

Kyndryl Holdings, Inc. price-eps-surprise | Kyndryl Holdings, Inc. Quote

KD’s Q2 Expectations

The Zacks Consensus Estimate for revenues is set at $3.8 billion, indicating a 1.1% year-over-year increase. The top line is expected to have grown due to new signings in services related to AI adoption, cyber resiliency and cloud migration.

Automation and insights through Kyndryl Bridge and expanded technology partnerships are expected to have provided the company with the support to achieve above-market growth in Kyndryl Consult. This is likely to have aided the company in winning logos and adding scope to its customer relationships.

The consensus estimate for earnings is set at 35 cents per share, indicating a more than 100% upsurge from the year-ago quarter. Prudent cost control and strong margins are expected to have fueled the bottom line.

What Our Model Says About Kyndryl

Our proven model does not conclusively predict an earnings beat for KD this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that is not the case here. You can uncover the best stocks before they are reported with our Earnings ESP Filter.

KD has an Earnings ESP of +12.50% and a Zacks Rank of 4 (Sell) at present.

Stocks to Consider

Here are a few stocks from the broader  Business Services sector, which, according to our model, have the right combination of elements to beat on earnings this season.

Dave Inc. (DAVE - Free Report) : The Zacks Consensus Estimate for the company’s second-quarter 2025 revenues is pegged at $131.1 million, indicating year-over-year growth of 41.8%. For earnings, the consensus estimate is pegged at $2.29 per share, implying a 51.7% increase from the year-ago quarter’s actual. The company beat the consensus estimate in the trailing four quarters, with an average surprise of 105.4%.

DAVE has an Earnings ESP of +1.53% and a Zacks Rank of 2 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

The company is scheduled to announce third-quarter 2025 results on Nov. 4.

Fidelity National Information Services (FIS - Free Report) : The Zacks Consensus Estimate for the company’s third-quarter 2025 revenues is set at $2.7 billion, suggesting year-over-year growth of 3.3%. For earnings, the consensus mark is pinned at $1.48 per share, indicating 5.7% growth from the year-ago quarter’s actual. The company beat the consensus estimate in three of the past four quarters and met once, with an average surprise of 3.3%.

FIS has an Earnings ESP of +0.20% and a Zacks Rank of 3 at present. The company is scheduled to announce third-quarter 2025 results on Nov. 5.


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