KLAR

Technology

Klarna Group plc · Software - Infrastructure · $6B

UQS Score — Balanced Preset
41.7
Below Average

Klarna Group plc scores 41.7/100 using the Balanced preset.

UQS vs Technology Sector
KLAR
41.7
Sector avg
38.0
Quality
Weak
Moat
Weak
Growth
Good
Risk
Neutral
Valuation
Good

What is Klarna Group plc?

Klarna Group plc is a technology-driven payments company operating across the UK, US, Germany, Sweden, and other international markets. It blends consumer finance, digital banking, and retail commerce tools into one platform.

Klarna generates revenue through buy-now-pay-later lending, advertising and marketing solutions for merchants, and digital banking products including savings accounts and fixed-term deposits. It also offers personal finance management tools and loyalty card services, connecting shoppers and retailers within a single ecosystem.

Founded in 2005 and headquartered in London, United Kingdom.

  • Buy-now-pay-later consumer financing
  • Merchant advertising and marketing solutions
  • Digital banking and savings accounts
  • Personal finance and shopping assistance tools

Is KLAR a Good Stock to Buy?

UQS Score rates KLAR as Below Average overall.

Growth stands out as the strongest pillar in Klarna's profile, reflecting expanding revenue streams across its payments and banking segments. Risk and Valuation both register as Neutral, suggesting neither extreme danger nor obvious mispricing relative to peers.

Quality and Moat are both rated Weak, indicating limited earnings durability and a competitive position that has yet to prove durable advantages over rivals.

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Past performance does not guarantee future results. UQS Score is based on fundamental data and is not a buy/sell recommendation.

Does KLAR pay dividends?

No — Klarna Group plc does not currently pay a dividend.

Klarna does not currently pay a dividend. As a growth-oriented fintech, the company reinvests available resources into expanding its payments network, banking products, and merchant services rather than returning cash to shareholders.

When does KLAR report earnings?

Klarna Group reports earnings on a quarterly cadence, typical for internationally listed equities.

Klarna's growth pillar suggests the business has been expanding its top line, though profitability metrics remain a work in progress given the Weak Quality rating. Investors should monitor progress on path-to-profitability alongside revenue trends.

For the most recent quarter's results, visit Klarna Group's official investor relations page.

KLAR Price History

-60.3% over 5Y

Monthly close, adjusted for stock splits and dividend reinvestment.

Frequently Asked Questions

What does Klarna Group do?

Klarna is a payments and fintech company offering buy-now-pay-later financing, digital banking products, and merchant marketing tools. It connects consumers and retailers across multiple countries through a single technology platform.

Does KLAR pay dividends?

No, Klarna does not pay a dividend at this time. The company is focused on growth and reinvests capital into expanding its product suite and geographic reach rather than distributing cash to shareholders.

When does KLAR report earnings?

Klarna reports on a quarterly basis. Specific dates are not available through our data source. Check Klarna Group's investor relations page for the most current earnings schedule.

Is KLAR a good stock to buy?

UQS Score rates KLAR as Below Average, driven by Weak Quality and Moat scores. Growth is rated Good, which may appeal to certain investors, but the overall profile warrants careful review. See the full breakdown with a Pro membership.

Is KLAR overvalued?

Klarna's Valuation pillar is rated Neutral, suggesting the market is pricing the stock in line with its current fundamental profile — neither clearly cheap nor obviously expensive relative to sector peers.

What is KLAR's market cap bracket?

Klarna Group is classified as a mid-cap company based on current market capitalization.

Who founded Klarna Group?

Klarna was founded in 2005 in Stockholm, Sweden. The company was co-founded by Sebastian Siemiatkowski, Niklas Adalberth, and Victor Jacobsson. It has since grown into one of Europe's largest fintech companies.

Is KLAR a long-term quality investment?

As a long-term quality indicator, KLAR's Below Average UQS Score — anchored by Weak Quality and Moat ratings — suggests the business has not yet demonstrated the durable characteristics typically associated with high-quality long-term holdings. Growth trends are worth monitoring.

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Pro Analysis

KLAR — Score History

3035404550Apr 2Apr 12Apr 22May 2May 12May 22May 24v5
Score changes· 17 most recent
DateUQSQualityMoatGrowthRiskValueChange
May 22, 202641.73.028.072.559.071.0+3.6
May 10, 202638.10.028.072.636.973.4+0.1
May 8, 202638.00.028.072.636.972.9-1.9
May 7, 202639.93.128.072.659.957.90.0
May 3, 202639.93.128.072.659.957.5-0.1
May 2, 202640.03.128.072.659.958.20.0
Apr 28, 202640.03.128.072.659.958.4-0.1
Apr 26, 202640.13.128.072.659.958.7+0.4
Apr 22, 202639.73.128.072.659.956.3-0.4
Apr 21, 202640.13.128.072.659.959.1+0.4

KLAR — Pillar Breakdown

Quality

3.0/100 (25%)

Klarna Group plc currently shows below-average quality metrics, suggesting challenges with profitability.

Capital Efficiency (ROIC)Weak

How effectively capital is deployed to generate returns.

Return on EquityWeak

Profitability relative to shareholders' equity.

Operating ProfitabilityWeak

Ability to convert revenue into operating profit.

Net ProfitabilityWeak

Bottom-line profit as a share of revenue.

Gross Profit / AssetsWeak

Asset productivity — how much gross profit each dollar of assets generates.

Cash GenerationWeak

Free cash flow relative to market value.

Growth

72.5/100 (20%)

Klarna Group plc demonstrates healthy growth trends across revenue and earnings.

Recent Revenue TrendModerate

Revenue trajectory over the last twelve months.

3Y Revenue CAGRWeak

Compound annual revenue growth rate over 3 years.

Forward Revenue OutlookStrong

Analyst consensus for future revenue growth.

Forward EPS GrowthStrong

Analyst consensus for future earnings growth.

Risk

59.0/100 (15%)

Klarna Group plc maintains a reasonable risk profile with manageable debt levels.

Financial LeverageStrong

Debt levels relative to earnings capacity.

Debt/EquityStrong

Total debt relative to shareholder equity.

Current RatioWeak

Short-term liquidity — ability to pay near-term obligations.

Interest CoverageWeak

Earnings capacity relative to interest payments.

Valuation

71.0/100 (15%)

Klarna Group plc trades at a reasonable valuation with decent earnings yield and FCF multiples.

Earnings YieldModerate

Inverse of forward P/E — higher yield means cheaper stock.

PEG RatioStrong

P/E relative to earnings growth — lower is more attractive.

EV/EBITDA vs SectorModerate

Enterprise value multiple relative to sector median.

Moat

28/100 (25%)

Klarna Group plc operates in a highly competitive environment with limited sustainable advantages. The Moat pillar evaluates competitive advantages across five dimensions: Switching Costs, Network Effects, Cost Advantage, Intangible Assets, and Scale & Ecosystem. Sign in to customize moat ratings for KLAR.

Score Composition

Quality
3.0×25%0.8
Growth
72.5×20%14.5
Risk
59.0×15%8.8
Valuation
71.0×15%10.7
Moat
28.0×25%7.0
Total
41.7Below Average

Financial Data

More Stock Analysis

How is the KLAR UQS Score Calculated?

The UQS (Unified Quality Score) for Klarna Group plc is calculated using a proprietary 6-pillar framework with 29 financial metrics. Each pillar evaluates a different dimension on a 0–100 scale, then combines into a single weighted score. Scoring thresholds are calibrated per sector. Momentum is an optional Pro toggle — without it, you get the 5-pillar / 25-metric core shown below.

Quality (25%) measures profitability and capital efficiency — ROIC, ROE, margins, GP/Assets, and FCF Yield.

Moat (25%) assesses Klarna Group plc's competitive advantages across switching costs, network effects, cost advantages, intangible assets, and ecosystem scale.

Growth (20%) tracks revenue trajectory and earnings momentum, combining historical results with analyst forward estimates.

Risk (15%) is inversely scored — lower leverage and strong balance sheet health result in higher scores.

Valuation (15%) measures whether Klarna Group plc is fairly priced using earnings yield, price-to-FCF, PEG ratio, and EV/EBITDA relative to sector peers.

Six investor-inspired presets are available, each with different pillar weights: Balanced, Buffett, Munger, Lynch, Cathie Wood, and Graham. The public score shown here uses the Balanced preset. Learn more in our FAQ.