Klarna Group (NYSE:KLAR) Price Target Lowered to $23.00 at Morgan Stanley

Klarna Group (NYSE:KLAR) had its price target lowered by stock analysts at Morgan Stanley from $39.00 to $23.00 in a research report issued on Wednesday,Benzinga reports. The brokerage presently has an “equal weight” rating on the stock. Morgan Stanley’s price target would suggest a potential upside of 19.60% from the stock’s previous close.

A number of other brokerages have also recently commented on KLAR. Wolfe Research cut their price target on shares of Klarna Group from $50.00 to $45.00 and set an “outperform” rating for the company in a research note on Wednesday, November 19th. Keefe, Bruyette & Woods cut their target price on shares of Klarna Group from $52.00 to $45.00 and set an “outperform” rating for the company in a research note on Friday, January 2nd. JPMorgan Chase & Co. lowered their price target 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. UBS Group dropped their price objective on Klarna Group from $48.00 to $46.00 and set a “buy” rating on the stock in a research note on Thursday, November 20th. Finally, Wall Street Zen upgraded Klarna Group from a “sell” rating to a “hold” rating in a research note on Saturday, January 31st. Eleven equities research analysts have rated the stock with a Buy rating, six have given a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, Klarna Group currently has an average rating of “Moderate Buy” and an average price target of $45.53.

Klarna Group Trading Up 6.2%

Shares of Klarna Group stock opened at $19.23 on Wednesday. The company has a market cap of $13.80 billion and a PE ratio of -29.58. Klarna Group has a 12-month low of $17.74 and a 12-month high of $57.20. The business’s 50 day moving average is $27.03.

Institutional Trading of Klarna Group

Hedge funds have recently added to or reduced their stakes in the company. Robeco Institutional Asset Management B.V. acquired a new position in Klarna Group in the 3rd quarter valued at $2,199,000. SG Americas Securities LLC bought a new stake in shares of Klarna Group in the third quarter valued at about $868,000. Walmart Inc. acquired a new position in shares of Klarna Group in the third quarter valued at about $87,960,000. Sumitomo Mitsui Trust Group Inc. acquired a new stake in Klarna Group in the 3rd quarter worth about $19,406,000. Finally, Wealth Enhancement Advisory Services LLC bought a new stake in Klarna Group in the 3rd quarter valued at about $295,000.

Key Stories Impacting Klarna Group

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

• Positive Sentiment: Unusual options flow — traders bought ~64,250 call contracts (a ~1,251% jump vs. average), suggesting event-driven bullish wagers or hedging that can amplify intraday moves.
• Positive Sentiment: Analyst preview: Zacks expects ~18.5% revenue growth and GMV near $38B for Q4; a solid print could help stabilize the stock if credit metrics aren’t worse than feared. Zacks Q4 preview
• Neutral Sentiment: CEO comments on headcount: management expects employees to fall below 2,000 by 2030 (current ~3,000) as AI and hiring slowdowns reduce costs — long‑term efficiency play but also signals structural change. Business Insider
• Negative Sentiment: Hagens Berman highlights a securities class action alleging misstatements in Klarna’s IPO filings and points to a reported 102% spike in the credit loss provision — this directly raises concerns about credit underwriting, reserve adequacy and potential disclosure risk. Hagens Berman filing
• Negative Sentiment: Multiple law firms (Rosen, Pomerantz, Frank R. Cruz, Bernstein Liebhard, Schall, DJS, Bronstein, Faruqi & others) have filed or solicited lead‑plaintiff claims tied to the IPO with a Feb. 20 deadline — the volume of litigation notices increases legal/cost uncertainty and reputational risk. Rosen Law Firm notice

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.