Investigation into Klarna's IPO Misstatements Announced
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1d ago
0mins
Source: PRnewswire
- Lawsuit Notification: Hagens Berman law firm is notifying investors that Klarna Group plc (NYSE:KLAR) has a lead plaintiff deadline on February 20, 2026, related to alleged misstatements in its September 2025 IPO documents.
- Investor Losses: Investors who purchased Klarna (KLAR) shares and suffered significant losses are encouraged to contact the firm, focusing on allegations that Klarna's IPO documents failed to disclose its aggressive lending to financially unsophisticated consumers.
- Credit Loss Surge: Just weeks post-IPO, Klarna reported a staggering 102% year-over-year increase in credit loss provisions, causing its shares to plummet well below the $40 IPO price, raising serious questions about the transparency of its IPO documents.
- Legal Implications: Hagens Berman is actively investigating whether Klarna's IPO documents contained misleading statements, which, if confirmed, could lead to severe legal consequences for the company and its management, impacting future financing capabilities.
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Analyst Views on KLAR
Wall Street analysts forecast KLAR stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for KLAR is 44.36 USD with a low forecast of 36.00 USD and a high forecast of 55.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
11 Analyst Rating
9 Buy
2 Hold
0 Sell
Strong Buy
Current: 24.140
Low
36.00
Averages
44.36
High
55.00
Current: 24.140
Low
36.00
Averages
44.36
High
55.00
About KLAR
Klarna Group Plc is a United Kingdom-based technology company focused on developing commerce networks. The Company is an artificial intelligence (AI)-powered global payments network and shopping assistant. It provides consumers and merchants with a range of solutions, including payment, advertising and digital retail banking, through several channels. Its online payments solution is designed to bridge uncertainty in the transactions between consumers and merchants by providing short-term credit to consumers interest-free. Its range of payment options allows consumers to purchase what they choose, both online and offline. Its payment solutions include Pay in Full, Pay Later and Fair Financing. Its Pay in Full instantly settles purchases at the time of the transaction. Its Pay Later enables consumers to purchase goods or services at the time of the transaction and pay the full amount at a later date. Its Fair Financing allows consumers to pay for their purchase over a longer duration.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Klarna to Release Q4 2025 Earnings on February 19, 2026
- Earnings Release Schedule: Klarna will publish its Q4 2025 earnings on February 19, 2026, before market open, demonstrating the company's commitment to transparency and investor communication.
- Webcast Timing: Following the earnings release, Klarna will host a webcast at 8:30 a.m. ET, providing real-time insights into financial results and enhancing investor engagement.
- Shareholder Question Opportunity: In partnership with Say Technologies, Klarna allows shareholders to submit questions ahead of the earnings call, increasing shareholder interaction and ensuring transparency.
- Verification Process: Shareholders must go through Say's secure verification process to submit questions, ensuring that only verified shareholders can participate, reflecting the company's commitment to shareholder rights.
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