Kyndryl (NYSE:KD) & Pony AI (NASDAQ:PONY) Critical Contrast

Kyndryl (NYSE:KD) and Pony AI (NASDAQ:PONY) are both mid-cap business services companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, profitability, earnings, analyst recommendations, institutional ownership, risk and valuation.

Insider and Institutional Ownership

71.5% of Kyndryl shares are held by institutional investors. 1.0% of Kyndryl shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Valuation & Earnings

This table compares Kyndryl and Pony AI”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kyndryl	$16.05 billion	0.56	-$340.00 million	$0.55	69.80
Pony AI	N/A	N/A	N/A	N/A	N/A

Pony AI has lower revenue, but higher earnings than Kyndryl.

Profitability

This table compares Kyndryl and Pony AI’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kyndryl	0.91%	7.22%	0.81%
Pony AI	N/A	N/A	N/A

Analyst Ratings

This is a summary of recent recommendations for Kyndryl and Pony AI, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kyndryl	0	0	4	0	3.00
Pony AI	0	0	3	0	3.00

Kyndryl currently has a consensus target price of $39.75, suggesting a potential upside of 3.54%. Pony AI has a consensus target price of $19.20, suggesting a potential downside of 18.68%. Given Kyndryl’s higher possible upside, research analysts plainly believe Kyndryl is more favorable than Pony AI.

Summary

Kyndryl beats Pony AI on 8 of the 8 factors compared between the two stocks.

About Kyndryl

Kyndryl Holdings, Inc. operates as a technology services company and IT infrastructure services provider worldwide. The company offers cloud services; core enterprise and zCloud services; application, data, and artificial intelligence services; digital workplace services; security and resiliency services; and network services and edge services. It serves financial, communications, retail and travel, and automotive industries. The company was incorporated in 2020 and is headquartered in New York, New York.

About Pony AI

Pony AI Inc., through its subsidiaries, engages in the autonomous mobility principally in the People’s Republic of China and the United States. The company provides robotruck services, such as transportation services to the logistics platforms. Pony AI Inc. is based in Guangzhou, the People’s Republic of China.