(KD) Kyndryl Holdings - Overview
Stock: Cloud, Infrastructure, Security, Network, Data
EPS (Earnings per Share)
Revenue
| Risk 5d forecast | |
|---|---|
| Volatility | 53.1% |
| Relative Tail Risk | -16.7% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | -1.22 |
| Alpha | -65.70 |
| Character TTM | |
|---|---|
| Beta | 1.357 |
| Beta Downside | 1.282 |
| Drawdowns 3y | |
|---|---|
| Max DD | 49.21% |
| CAGR/Max DD | 0.27 |
Description: KD Kyndryl Holdings January 03, 2026
Kyndryl Holdings Inc. (NYSE:KD) is a pure-play IT infrastructure services firm that spun out of IBM in 2020. It delivers a portfolio that spans cloud migration, core enterprise/zCloud platforms, AI-enabled applications, digital workplace, security-resilience, and network-edge solutions to clients across financial services, healthcare, government, media, retail, travel, automotive, and telecom sectors.
As of FY 2023 the company reported roughly $9.5 billion in revenue, with an operating margin hovering around 4 % and a backlog that grew about 12 % year-over-year-indicative of strong demand for hybrid-cloud and edge modernization projects. Two macro-level drivers underpin this growth: (1) corporate IT spend is expanding at a ~5 % CAGR globally, fueled by digital transformation mandates, and (2) the accelerating shift toward multi-cloud architectures is increasing outsourcing of legacy data-center workloads, a niche where Kyndryl has deep expertise.
If you’re interested in a deeper quantitative dive, the ValueRay platform provides granular, real-time KPI dashboards that can help you assess KD’s valuation relative to peers-worth a look before forming a trade thesis.
Piotroski VR‑10 (Strict, 0-10) 4.0
| Net Income: 567.0m TTM > 0 and > 6% of Revenue |
| FCF/TA: -0.00 > 0.02 and ΔFCF/TA 4.48 > 1.0 |
| NWC/Revenue: 1.93% < 20% (prev 0.91%; Δ 1.01% < -1%) |
| CFO/TA 0.06 > 3% & CFO 603.0m > Net Income 567.0m |
| Net Debt (2.17b) to EBITDA (1.85b): 1.17 < 3 |
| Current Ratio: 1.07 > 1.5 & < 3 |
| Outstanding Shares: last quarter (235.9m) vs 12m ago 1.86% < -2% |
| Gross Margin: 21.00% > 18% (prev 0.20%; Δ 2080 % > 0.5%) |
| Asset Turnover: 144.0% > 50% (prev 145.6%; Δ -1.62% > 0%) |
| Interest Coverage Ratio: 9.04 > 6 (EBITDA TTM 1.85b / Interest Expense TTM 91.0m) |
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 -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) |
| Altman-Z'' Score: 0.23 = B |
Beneish M -3.11
| DSRI: 0.94 (Receivables 1.34b/1.44b, Revenue 15.01b/15.14b) |
| GMI: 0.95 (GM 21.00% / 20.04%) |
| AQI: 1.03 (AQ_t 0.25 / AQ_t-1 0.24) |
| SGI: 0.99 (Revenue 15.01b / 15.14b) |
| TATA: -0.00 (NI 567.0m - CFO 603.0m) / TA 10.45b) |
| Beneish M-Score: -3.11 (Cap -4..+1) = AA |
What is the price of KD shares?
Over the past week, the price has changed by +0.77%, over one month by -13.83%, over three months by -9.86% and over the past year by -42.74%.
Is KD a buy, sell or hold?
- StrongBuy: 3
- Buy: 3
- Hold: 0
- Sell: 0
- StrongSell: 0
What are the forecasts/targets for the KD price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 38 | 61.8% |
| Analysts Target Price | 38 | 61.8% |
| ValueRay Target Price | 23.6 | 0.5% |
KD Fundamental Data Overview February 03, 2026
P/E Forward = 7.1073
P/S = 0.3542
P/B = 4.3422
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 = 7.94b USD (5.32b + Debt 3.96b - CCE 1.33b)
Interest Coverage Ratio = 9.04 (Ebit TTM 823.0m / Interest Expense TTM 91.0m)
EV/FCF = -176.5x (Enterprise Value 7.94b / FCF TTM -45.0m)
FCF Yield = -0.57% (FCF TTM -45.0m / Enterprise Value 7.94b)
FCF Margin = -0.30% (FCF TTM -45.0m / 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 = 0.76 (Enterprise Value 7.94b / 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 = -48.22 (negative FCF - burning cash) (Net Debt 2.17b / FCF TTM -45.0m)
Total Stockholder Equity = 1.19b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.44% (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 = 6.40% (E(5.32b)/V(9.27b) * Re(10.91%) + D(3.96b)/V(9.27b) * Rd(0.51%) * (1-Tc(0.31)))
Discount Rate = 10.91% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: 33.33 | Cagr: 1.36%
Fair Price DCF = unknown (Cash Flow -45.0m)
EPS Correlation: 80.42 | EPS CAGR: 10.41% | SUE: -4.0 | # QB: 0
Revenue Correlation: -89.49 | Revenue CAGR: -4.55% | SUE: -1.08 | # QB: 0
EPS next Year (2027-03-31): EPS=3.42 | Chg30d=-0.028 | Revisions Net=+0 | Growth EPS=+47.7% | Growth Revenue=+3.6%