Kyndryl Holdings, Inc. (KD) ended the recent trading session at $26.74, demonstrating a +1.75% change from the preceding day's closing price. The stock outperformed the S&P 500, which registered a daily gain of 0.62%. Meanwhile, the Dow gained 0.99%, and the Nasdaq, a tech-heavy index, added 0.65%.
Coming into today, shares of the company had gained 1.15% in the past month. In that same time, the Business Services sector gained 1.64%, while the S&P 500 gained 0.59%.
The investment community will be closely monitoring the performance of Kyndryl Holdings, Inc. in its forthcoming earnings report. The company's earnings per share (EPS) are projected to be $0.6, reflecting a 17.65% increase from the same quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $3.91 billion, up 4.51% from the year-ago period.
For the full year, the Zacks Consensus Estimates project earnings of $2.23 per share and a revenue of $15.61 billion, demonstrating changes of +87.39% and +3.66%, respectively, from the preceding year.
Investors should also pay attention to any latest changes in analyst estimates for Kyndryl Holdings, Inc. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.18% higher. Kyndryl Holdings, Inc. is currently a Zacks Rank #2 (Buy).
In terms of valuation, Kyndryl Holdings, Inc. is currently trading at a Forward P/E ratio of 11.77. This signifies a discount in comparison to the average Forward P/E of 16.62 for its industry.
The Technology Services industry is part of the Business Services sector. At present, this industry carries a Zacks Industry Rank of 161, placing it within the bottom 35% of over 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Kyndryl Holdings, Inc. (KD): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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