Klarna Group (NYSE:KLAR) Rating Lowered to Sell at Wall Street Zen

Klarna Group (NYSE:KLAR) was downgraded by equities researchers at Wall Street Zen from a “hold” rating to a “sell” rating in a research note issued on Saturday, Wall Street Zen reports.

A number of other equities research analysts have also recently commented on KLAR. Scotiabank assumed coverage on shares of Klarna Group in a research report on Wednesday, September 2nd. They set a “sector perform” rating and a $16.00 target price for the company. Morgan Stanley cut their price target on shares of Klarna Group from $21.00 to $17.00 and set an “equal weight” rating on the stock in a report on Wednesday, August 19th. UBS Group downgraded Klarna Group from a “buy” rating to a “neutral” rating and reduced their price target for the stock from $23.00 to $16.00 in a research report on Monday, August 24th. The Goldman Sachs Group increased their price objective on Klarna Group from $21.00 to $25.00 and gave the company a “buy” rating in a report on Thursday, July 9th. Finally, TD Cowen dropped their target price on Klarna Group from $18.00 to $16.00 and set a “hold” rating on the stock in a research note on Tuesday, October 6th. One research analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating, eleven have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, Klarna Group currently has an average rating of “Hold” and an average target price of $22.60.

Klarna Group Stock Performance

Shares of Klarna Group stock opened at $12.85 on Friday. The company has a market capitalization of $4.85 billion and a PE ratio of -34.72. The company has a 50-day simple moving average of $13.78 and a two-hundred day simple moving average of $15.99. Klarna Group has a one year low of $12.06 and a one year high of $40.05.

Klarna Group (NYSE:KLAR) last released its quarterly earnings results on Friday, August 14th. The company reported $0.01 earnings per share for the quarter, beating analysts’ consensus estimates of ($0.06) by $0.07. Klarna Group had a negative net margin of 3.54% and a negative return on equity of 5.39%. The business had revenue of $1.04 billion for the quarter, compared to analysts’ expectations of $992.56 million. The firm’s quarterly revenue was up 26.6% compared to the same quarter last year. On average, equities analysts predict that Klarna Group will post -0.01 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, CEO Sebastian Siemiatkowski bought 692,506 shares of the stock in a transaction that occurred on Wednesday, August 26th. The stock was bought at an average cost of $14.37 per share, for a total transaction of $9,951,311.22. Following the purchase, the chief executive officer directly owned 25,344,322 shares of the company’s stock, valued at approximately $364,197,907.14. This trade represents a 2.81% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the SEC, which is accessible through this hyperlink.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of the stock. Renaissance Capital LLC lifted its stake in shares of Klarna Group by 532.5% during the second quarter. Renaissance Capital LLC now owns 103,656 shares of the company’s stock worth $2,098,000 after buying an additional 87,267 shares during the period. State Street Corp grew its holdings in shares of Klarna Group by 1,428.3% during the second quarter. State Street Corp now owns 305,742 shares of the company’s stock valued at $6,188,000 after buying an additional 285,736 shares during the last quarter. Renaissance Technologies LLC grew its holdings in shares of Klarna Group by 173.9% during the first quarter. Renaissance Technologies LLC now owns 2,043,100 shares of the company’s stock valued at $26,744,000 after buying an additional 1,297,200 shares during the last quarter. Baader Bank Aktiengesellschaft acquired a new position in shares of Klarna Group in the 1st quarter valued at $1,964,000. Finally, Sumitomo Mitsui Trust Group Inc. increased its position in shares of Klarna Group by 47.5% in the 1st quarter. Sumitomo Mitsui Trust Group Inc. now owns 1,198,554 shares of the company’s stock valued at $15,689,000 after acquiring an additional 385,811 shares during the period.

Klarna Group Company Profile

Klarna Group is a global financial technology company that provides digital payment and consumer-finance services. Its platform enables shoppers to pay immediately, later, or over time, while giving merchants tools to process payments, manage checkout experiences, and engage customers.

The company’s products include buy now, pay later options, installment plans, direct payments, digital checkout services, and the Klarna Card. Klarna also operates a consumer shopping platform that allows users to discover products, compare offers, track purchases, and manage payments.