Kyndryl Holdings, Inc. (KD) ended the recent trading session at $10.62, demonstrating a -3.45% change from the preceding day's closing price. This move lagged the S&P 500's daily loss of 0.37%. Meanwhile, the Dow gained 0.29%, and the Nasdaq, a tech-heavy index, lost 1.33%.
The stock of company has fallen by 10.5% in the past month, lagging the Business Services sector's loss of 1.59% and the S&P 500's gain of 2.02%.
Investors will be eagerly watching for the performance of Kyndryl Holdings, Inc. in its upcoming earnings disclosure. The company's earnings per share (EPS) are projected to be $0.17, reflecting a 54.05% decrease from the same quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $3.69 billion, down 1.42% from the prior-year quarter.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $1.98 per share and a revenue of $14.76 billion, indicating changes of +35.62% and -2.19%, respectively, from the former year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Kyndryl Holdings, Inc. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable 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 an unchanged state. Right now, Kyndryl Holdings, Inc. possesses a Zacks Rank of #5 (Strong Sell).
From a valuation perspective, Kyndryl Holdings, Inc. is currently exchanging hands at a Forward P/E ratio of 5.56. This expresses a discount compared to the average Forward P/E of 16.05 of its industry.
The Technology Services industry is part of the Business Services sector. Currently, this industry holds a Zacks Industry Rank of 172, positioning it in the bottom 30% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Kyndryl Holdings, Inc. (KD): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).