Kyndryl Set to Report Q2 Earnings: Here's What Investors Should Know

Kyndryl KD will report second-quarter fiscal 2026 results on Nov. 4, after market close.KD’s earnings surprise history is impressive. It surpassed the Zacks Consensus Estimate in three of the four trailing quarters and met once, delivering an average earnings surprise of 36.1%.Kyndryl Holdings, Inc. Price and EPS Surprise  Kyndryl Holdings, Inc. price-eps-surprise | Kyndryl Holdings, Inc. QuoteKD’s Q2 ExpectationsThe Zacks Consensus Estimate for revenues is set at $3.8 billion, indicating a 1.1% year-over-year increase. The top line is expected to have grown due to new signings in services related to AI adoption, cyber resiliency and cloud migration.Automation and insights through Kyndryl Bridge and expanded technology partnerships are expected to have provided the company with the support to achieve above-market growth in Kyndryl Consult. This is likely to have aided the company in winning logos and adding scope to its customer relationships.The consensus estimate for earnings is set at 35 cents per share, indicating a more than 100% upsurge from the year-ago quarter. Prudent cost control and strong margins are expected to have fueled the bottom line.What Our Model Says About KyndrylOur proven model does not conclusively predict an earnings beat for KD this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that is not the case here. You can uncover the best stocks before they are reported with our Earnings ESP Filter.KD has an Earnings ESP of +12.50% and a Zacks Rank of 4 (Sell) at present.Stocks to ConsiderHere are a few stocks from the broader  Business Services sector, which, according to our model, have the right combination of elements to beat on earnings this season.Dave Inc. DAVE: The Zacks Consensus Estimate for the company’s second-quarter 2025 revenues is pegged at $131.1 million, indicating year-over-year growth of 41.8%. For earnings, the consensus estimate is pegged at $2.29 per share, implying a 51.7% increase from the year-ago quarter’s actual. The company beat the consensus estimate in the trailing four quarters, with an average surprise of 105.4%.DAVE has an Earnings ESP of +1.53% and a Zacks Rank of 2 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.The company is scheduled to announce third-quarter 2025 results on Nov. 4.Fidelity National Information Services FIS: The Zacks Consensus Estimate for the company’s third-quarter 2025 revenues is set at $2.7 billion, suggesting year-over-year growth of 3.3%. For earnings, the consensus mark is pinned at $1.48 per share, indicating 5.7% growth from the year-ago quarter’s actual. The company beat the consensus estimate in three of the past four quarters and met once, with an average surprise of 3.3%.FIS has an Earnings ESP of +0.20% and a Zacks Rank of 3 at present. The company is scheduled to announce third-quarter 2025 results on Nov. 5.#1 Semiconductor Stock to Buy (Not NVDA)The incredible demand for data is fueling the market's next digital gold rush. As data centers continue to be built and constantly upgraded, the companies that provide the hardware for these behemoths will become the NVIDIAs of tomorrow.One under-the-radar chipmaker is uniquely positioned to take advantage of the next growth stage of this market. It specializes in semiconductor products that titans like NVIDIA don't build. It's just beginning to enter the spotlight, which is exactly where you want to be.See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Fidelity National Information Services, Inc. (FIS): Free Stock Analysis Report Dave Inc. (DAVE): Free Stock Analysis Report Kyndryl Holdings, Inc. (KD): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks