UBS Group Has Lowered Expectations for Klarna Group (NYSE:KLAR) Stock Price

Klarna Group (NYSE:KLAR) had its price target reduced by stock analysts at UBS Group from $46.00 to $20.00 in a research note issued on Friday,Benzinga reports. The firm currently has a “buy” rating on the stock. UBS Group’s price target indicates a potential upside of 53.39% from the stock’s current price.

Other equities analysts also recently issued reports about the stock. Weiss Ratings reaffirmed a “sell (e+)” rating on shares of Klarna Group in a research note on Monday, December 29th. Keefe, Bruyette & Woods dropped their price objective on shares of Klarna Group from $45.00 to $26.00 and set an “outperform” rating for the company in a research report on Friday. Wolfe Research decreased their price objective on Klarna Group from $50.00 to $45.00 and set an “outperform” rating on the stock in a research report on Wednesday, November 19th. Wells Fargo & Company dropped their target price on Klarna Group from $45.00 to $32.00 and set an “overweight” rating for the company in a research report on Friday. Finally, Bank of America decreased their price target on Klarna Group from $51.00 to $46.00 and set a “buy” rating on the stock in a report on Tuesday, November 18th. Eleven equities research analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average price target of $40.00.

Klarna Group Price Performance

Klarna Group stock opened at $13.04 on Friday. The firm has a 50-day simple moving average of $26.04. The company has a market capitalization of $9.36 billion and a PE ratio of -16.93. Klarna Group has a 12-month low of $13.00 and a 12-month high of $57.20.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in KLAR. SC US Ttgp LTD. bought a new position in shares of Klarna Group in the 3rd quarter worth $2,016,821,000. Commonwealth Bank of Australia acquired a new position in shares of Klarna Group during the 4th quarter worth about $503,243,000. Wellington Management Group LLP bought a new stake in shares of Klarna Group in the 3rd quarter valued at about $348,834,000. Dragoneer Investment Group LLC acquired a new stake in shares of Klarna Group in the 3rd quarter valued at approximately $303,595,000. Finally, Scge Management L.P. bought a new position in Klarna Group during the 3rd quarter worth approximately $193,018,000.

Key Headlines Impacting Klarna Group

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

• Positive Sentiment: Klarna delivered its first $1 billion revenue quarter (Q4 revenue ~$1.08B) and reported strong GMV and U.S. growth — evidence the business is scaling its payments + banking strategy. Klarna Accelerates U.S. Growth and Delivers $1bn Revenue
• Positive Sentiment: Klarna more than doubled its banking customers (to ~15.8M) and is converting checkout activity into deposits and card usage — a structural growth signal for lifetime customer value and cross-sell. Klarna Converts Checkout Traffic Into $13 Billion in Deposits
• Neutral Sentiment: Klarna filed its 2025 earnings presentation with U.S. regulators (slides/transcript available) — useful for digging into guidance, credit metrics and segment detail but no surprise in itself. Klarna Group Files 2025 Earnings Presentation with U.S. Regulators
• Negative Sentiment: Profitability disappointed: Q4 EPS missed materially (reported loss ~$0.18 vs. consensus around -$0.03) and the company swung to a net loss — investors punished the miss despite revenue strength. Klarna Group plc (KLAR) Q4 2025 Earnings Call Transcript
• Negative Sentiment: Rising credit costs and a softer near-term outlook amplified concerns; Q1 revenue guidance ($900M–$980M) sits near consensus but credit reserve trajectory is the key risk for earnings recovery. Stock Market Today: Klarna shares plunge after Q4 results miss
• Negative Sentiment: Multiple brokerages cut price targets (JPMorgan, UBS, Keefe, Wells Fargo among others), lowering the near-term upside and signaling increased uncertainty about recovery timing. Analyst Price Target Updates
• Negative Sentiment: Several securities law firms have filed or issued lead-plaintiff reminders in class-action suits tied to Klarna’s IPO and disclosures — added legal overhang and potential litigation costs heighten investor risk. Bronstein, Gewirtz & Grossman LLC Urges Klarna Group plc Investors to Act

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.