Kyndryl Holdings, Inc. (KD) Laps the Stock Market: Here's Why

Core Points - Kyndryl Holdings, Inc. (KD) closed at $38.42, reflecting a +1.29% change from the previous session, outperforming the S&P 500's daily gain of 0.92% [1] - Over the past month, KD shares have increased by 9.85%, surpassing the Business Services sector's gain of 2.44% and the S&P 500's gain of 0.81% [1] Earnings Performance - Kyndryl is set to release earnings on February 3, 2025, with an anticipated EPS of$ 0.41, representing a 920% increase year-over-year [2] - Revenue is forecasted at $3.82 billion, indicating a 2.87% decline compared to the same quarter last year [2] Annual Estimates - For the annual period, the Zacks Consensus Estimates predict earnings of$ 1.14 per share and revenue of $15.26 billion, reflecting shifts of +1136.36% and -4.93% respectively from the previous year [3] - Recent changes to analyst estimates may indicate shifting near-term business trends, with positive revisions seen as a favorable sign for the company's outlook [3] Valuation Metrics - Kyndryl's Forward P/E ratio stands at 33.17, higher than the industry average of 23.5, suggesting the company is trading at a premium [6] - The PEG ratio is currently at 6.63, compared to the Technology Services industry's average PEG ratio of 1.53 [7] Industry Ranking - The Technology Services industry, part of the Business Services sector, holds a Zacks Industry Rank of 87, placing it in the top 35% of over 250 industries [8] - Research indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [8]