Wells Fargo & Company Cuts Klarna Group (NYSE:KLAR) Price Target to $32.00

Klarna Group (NYSE:KLAR) had its price objective dropped by research analysts at Wells Fargo & Company from $45.00 to $32.00 in a report issued on Friday,Benzinga reports. The brokerage presently has an “overweight” rating on the stock. Wells Fargo & Company‘s price objective indicates a potential upside of 142.15% from the company’s previous close.

A number of other brokerages also recently commented on KLAR. Keefe, Bruyette & Woods lowered their price target on shares of Klarna Group from $45.00 to $26.00 and set an “outperform” rating for the company in a report on Friday. JPMorgan Chase & Co. reduced their target price on Klarna Group from $50.00 to $45.00 and set an “overweight” rating on the stock in a research report on Wednesday, November 19th. Weiss Ratings reaffirmed a “sell (e+)” rating on shares of Klarna Group in a research note on Monday, December 29th. Citigroup dropped their price target on shares of Klarna Group from $58.00 to $45.00 and set a “buy” rating for the company in a research report on Thursday, November 20th. Finally, Bank of America cut their target price on Klarna Group from $51.00 to $46.00 and set a “buy” rating on the stock in a research report on Tuesday, November 18th. Eleven investment analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, Klarna Group presently has a consensus rating of “Moderate Buy” and a consensus price target of $43.40.

Klarna Group Trading Down 4.6%

KLAR stock traded down $0.64 on Friday, reaching $13.22. The company had a trading volume of 16,122,331 shares, compared to its average volume of 4,906,297. The firm’s fifty day moving average price is $26.40. The company has a market capitalization of $9.49 billion and a P/E ratio of -20.39. Klarna Group has a 1 year low of $13.00 and a 1 year high of $57.20.

Institutional Investors Weigh In On Klarna Group

Hedge funds have recently bought and sold shares of the business. Global Retirement Partners LLC boosted its holdings in Klarna Group by 800.0% during the fourth quarter. Global Retirement Partners LLC now owns 900 shares of the company’s stock worth $26,000 after buying an additional 800 shares in the last quarter. Leonteq Securities AG acquired a new stake in shares of Klarna Group during the fourth quarter valued at approximately $29,000. US Bancorp DE acquired a new position in Klarna Group in the 3rd quarter worth approximately $30,000. BIT Capital GmbH purchased a new stake in shares of Klarna Group in the third quarter valued at $37,000. Finally, Allworth Financial LP acquired a new position in Klarna Group during the third quarter valued at $37,000.

Key Headlines Impacting Klarna Group

Here are the key news stories impacting Klarna Group this week:

• Positive Sentiment: Record revenue and scale: Klarna reported its first $1 billion quarter, 38% revenue growth and faster U.S. banking adoption (banking customers doubled to ~15.8M), evidence of product/market traction that supports long‑term growth. Klarna Accelerates U.S. Growth and Delivers $1bn Revenue
• Positive Sentiment: Stronger deposits and network effects: reporting and coverage note sizable deposits and checkout-to-deposit flows that deepen Klarna’s payment/banking ecosystem — a structural positive if credit costs normalize. Klarna Converts Checkout Traffic Into $13 Billion in Deposits
• Neutral Sentiment: Analyst target reset but still positive rating: Keefe, Bruyette & Woods cut its price target from $45 to $26 while keeping an “outperform” rating — reduces upside expectations but not outright negative endorsement. KBW Lowers Klarna Target
• Neutral Sentiment: Mixed guidance: Klarna issued Q1 revenue guidance in a range that overlaps street estimates but is slightly cautious versus consensus — a near‑term uncertainty factor for investors. Klarna Files 2025 Earnings Presentation
• Negative Sentiment: Profitability miss: Q4 EPS and net‑loss surprised to the downside (wider loss vs. estimates), which prompted investor concern that rapid growth is currently dilutive. Klarna Q4 Earnings: EPS Miss
• Negative Sentiment: Sharp share reaction: The market punished the miss and guidance, producing a steep selloff after results as investors repriced near‑term profitability risk. Klarna shares drop sharply on fourth quarter earnings miss
• Negative Sentiment: Legal overhang: Multiple law firms have filed or are soliciting investors for securities class actions tied to Klarna’s IPO and disclosures, with several lead‑plaintiff deadlines — this increases potential litigation risk and market uncertainty. Faruqi & Faruqi Class Action Reminder

Klarna Group Company Profile

Klarna Group is a global payments provider specializing in “buy now, pay later” (BNPL) solutions for online and in-store shoppers. The company partners with merchants to offer flexible payment options, including interest-free installments and deferred payments, aiming to enhance conversion rates and customer loyalty. Klarna’s platform integrates risk assessment, fraud prevention, and a one-click checkout experience to streamline transactions for both retailers and consumers.

Through its digital wallet and mobile app, Klarna enables users to manage purchases, track spending and access exclusive shopping offers from partner merchants.