JPMorgan double owngraded Kyndryl (KD) to Underweight from Overweight with a price target of $16, down from $40. The firm cites the company’s sales and profit guidance cuts along with the “surprise” CFO departure and delayed quarterly filing for the downgrade. Kyndryl’s negative guidance revision and “stunning” CFO change delays the company’s turnaround, the analyst tells investors in a research note. JPMorgan believes today’s news creates new questions across the investment thesis, “forcing bulls to return to the drawing board.” The stock in early trading is down 55%, or $12.88, to $10.61.
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