JPM cuts Klarna to 'neutral' on limited earnings visibility, execution concerns

Klarna

19/08/2026 09:08

** J.P.Morgan downgrades rating on Klarna KLAR.N shares to "neutral" from "overweight", flagging limited visibility into medium-term trends and the need for several quarters of consistent execution to rebuild investor confidence
** The Swedish fintech firm on Tuesday cut its FY volume and revenue forecast and announced planned transitions of CFO and CMO in early 2027
** JPM says the confluence of the H2 guidance cut, an unexpected shift to fair-value accounting and management departure creates incremental operational and sentiment hurdles for KLAR
** JPM trims PT to $18 from $22; new PT represents a 19.5% upside to the stock's last close
** At least nine brokerages cut PT on KLAR following results - LSEG-compiled data
** Shares have dropped 47.9% YTD, underperforming 12.4% rise in the S&P 500 .SPX, and the stock is ~74% below its all-time high of $57.20


 (Reporting by Joel Jose in Bengaluru)
 ((joeljose@thomsonreuters.com))