(KD) Kyndryl Holdings - Ratings and Ratios
Cloud Services, Enterprise Infrastructure, AI
Dividends
Currently no dividends paid| Risk via 10d forecast | |
|---|---|
| Volatility | 42.8% |
| Value at Risk 5%th | 57.2% |
| Relative Tail Risk | -18.70% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | -0.51 |
| Alpha | -41.42 |
| CAGR/Max DD | 0.79 |
| Character TTM | |
|---|---|
| Hurst Exponent | 0.521 |
| Beta | 1.350 |
| Beta Downside | 1.336 |
| Drawdowns 3y | |
|---|---|
| Max DD | 45.75% |
| Mean DD | 13.05% |
| Median DD | 10.13% |
Description: KD Kyndryl Holdings October 31, 2025
Kyndryl Holdings Inc. (NYSE:KD) is a global IT infrastructure services firm that spun out of IBM in 2020 and is headquartered in New York. The company delivers a portfolio that includes cloud migration and management, core enterprise and zCloud services, AI-driven data solutions, digital workplace tools, security and resiliency, as well as network and edge services to clients across financial services, healthcare, government, technology, media, retail, travel, and automotive sectors.
In its most recent fiscal year, Kyndryl reported revenue of approximately $13.5 billion, with an operating margin hovering around 3 %, reflecting the capital-intensive nature of its business and ongoing integration costs. Cloud-related services grew at roughly 12 % year-over-year, outpacing the broader IT services market, while its backlog of signed contracts exceeded $30 billion, indicating strong demand pipeline.
Key macro drivers for Kyndryl include sustained enterprise IT spending growth-estimated at a 5 % compound annual rate through 2027-and the accelerating shift toward hybrid-cloud and edge computing architectures, which are reshaping the competitive landscape for traditional data-center operators. Additionally, heightened cybersecurity regulations across the U.S. and Europe are boosting demand for Kyndryl’s security and resiliency offerings.
For a deeper, data-driven valuation of KD, you may find the analytics on ValueRay worth exploring.
Piotroski VR‑10 (Strict, 0-10) 4.0
| Net Income (567.0m TTM) > 0 and > 6% of Revenue (6% = 900.5m TTM) |
| FCFTA -0.00 (>2.0%) and ΔFCFTA 4.48pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue 1.93% (prev 0.91%; Δ 1.01pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.06 (>3.0%) and CFO 602.0m > Net Income 567.0m (YES >=105%, WARN >=100%) |
| Net Debt (2.17b) to EBITDA (1.85b) ratio: 1.17 <= 3.0 (WARN <= 3.5) |
| Current Ratio 1.07 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (235.9m) change vs 12m ago 1.86% (target <= -2.0% for YES) |
| Gross Margin 21.00% (prev 20.04%; Δ 0.96pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 144.0% (prev 145.6%; Δ -1.62pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 9.04 (EBITDA TTM 1.85b / Interest Expense TTM 91.0m) >= 6 (WARN >= 3) |
Altman Z'' 0.23
| (A) 0.03 = (Total Current Assets 4.59b - Total Current Liabilities 4.30b) / Total Assets 10.45b |
| (B) -0.20 = Retained Earnings (Balance) -2.07b / Total Assets 10.45b |
| (C) 0.08 = EBIT TTM 823.0m / Avg Total Assets 10.42b |
| (D) 0.15 = Book Value of Equity 1.40b / Total Liabilities 9.12b |
| Total Rating: 0.23 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 56.92
| 1. Piotroski 4.0pt |
| 2. FCF Yield -0.56% |
| 3. FCF Margin -0.31% |
| 4. Debt/Equity 3.25 |
| 5. Debt/Ebitda 1.17 |
| 6. ROIC - WACC (= 6.35)% |
| 7. RoE 47.59% |
| 8. Rev. Trend -89.49% |
| 9. EPS Trend 84.07% |
What is the price of KD shares?
Over the past week, the price has changed by +2.75%, over one month by +2.32%, over three months by -15.74% and over the past year by -24.74%.
Is KD a buy, sell or hold?
- Strong Buy: 3
- Buy: 3
- Hold: 0
- Sell: 0
- Strong Sell: 0
What are the forecasts/targets for the KD price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 37.6 | 39.7% |
| Analysts Target Price | 37.6 | 39.7% |
| ValueRay Target Price | 29.1 | 8.2% |
KD Fundamental Data Overview December 10, 2025
P/E Trailing = 15.193
P/E Forward = 7.9177
P/S = 0.4001
P/B = 4.8395
Beta = 1.935
Revenue TTM = 15.01b USD
EBIT TTM = 823.0m USD
EBITDA TTM = 1.85b USD
Long Term Debt = 3.00b USD (from longTermDebt, last quarter)
Short Term Debt = 403.0m USD (from shortTermDebt, last quarter)
Debt = 3.96b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 2.17b USD (from netDebt column, last quarter)
Enterprise Value = 8.18b USD (6.01b + Debt 3.96b - CCE 1.79b)
Interest Coverage Ratio = 9.04 (Ebit TTM 823.0m / Interest Expense TTM 91.0m)
FCF Yield = -0.56% (FCF TTM -46.0m / Enterprise Value 8.18b)
FCF Margin = -0.31% (FCF TTM -46.0m / Revenue TTM 15.01b)
Net Margin = 3.78% (Net Income TTM 567.0m / Revenue TTM 15.01b)
Gross Margin = 21.00% ((Revenue TTM 15.01b - Cost of Revenue TTM 11.86b) / Revenue TTM)
Gross Margin QoQ = 21.53% (prev 21.71%)
Tobins Q-Ratio = 0.78 (Enterprise Value 8.18b / Total Assets 10.45b)
Interest Expense / Debt = 0.51% (Interest Expense 20.0m / Debt 3.96b)
Taxrate = 30.61% (30.0m / 98.0m)
NOPAT = 571.1m (EBIT 823.0m * (1 - 30.61%))
Current Ratio = 1.07 (Total Current Assets 4.59b / Total Current Liabilities 4.30b)
Debt / Equity = 3.25 (Debt 3.96b / totalStockholderEquity, last quarter 1.22b)
Debt / EBITDA = 1.17 (Net Debt 2.17b / EBITDA 1.85b)
Debt / FCF = -47.17 (negative FCF - burning cash) (Net Debt 2.17b / FCF TTM -46.0m)
Total Stockholder Equity = 1.19b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.42% (Net Income 567.0m / Total Assets 10.45b)
RoE = 47.59% (Net Income TTM 567.0m / Total Stockholder Equity 1.19b)
RoCE = 19.62% (EBIT 823.0m / Capital Employed (Equity 1.19b + L.T.Debt 3.00b))
RoIC = 13.12% (NOPAT 571.1m / Invested Capital 4.35b)
WACC = 6.76% (E(6.01b)/V(9.96b) * Re(10.99%) + D(3.96b)/V(9.96b) * Rd(0.51%) * (1-Tc(0.31)))
Discount Rate = 10.99% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: 33.33 | Cagr: 1.36%
Fair Price DCF = unknown (Cash Flow -46.0m)
EPS Correlation: 84.07 | EPS CAGR: 16.34% | SUE: 0.43 | # QB: 0
Revenue Correlation: -89.49 | Revenue CAGR: -4.55% | SUE: -1.08 | # QB: 0
EPS current Year (2026-03-31): EPS=2.32 | Chg30d=+0.115 | Revisions Net=+0 | Growth EPS=+95.0% | Growth Revenue=+3.3%
EPS next Year (2027-03-31): EPS=3.45 | Chg30d=+0.013 | Revisions Net=+0 | Growth EPS=+48.8% | Growth Revenue=+3.6%
Additional Sources for KD Stock
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Fund Manager Positions: Dataroma | Stockcircle