Kyndryl Holdings (FRA:7XU) ROCE %: 10.45% (As of Mar. 2026)


FRA:7XU Kyndryl Holdings Inc FRA:7XU
46 GF Score
Price €9.18
GF Value €19.48
Valuation Possible Value Trap
! 3 Warning Signs
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What is Kyndryl Holdings ROCE %?

Kyndryl Holdings FRA:7XU -4.36% 46 ROCE % is 10.45% as of Mar. 2026. GuruFocus rates FRA:7XU with a GF Score™ of 46/100 and a GF Value™ of €19.48 (Possible Value Trap). The stock has 3 warning signs investors should review.

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. Kyndryl Holdings's annualized ROCE % for the quarter that ended in Mar. 2026 was 10.45%.

Kyndryl Holdings  (FRA:7XU) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.

Kyndryl Holdings ROCE % Related Terms

Kyndryl Holdings ROCE % Historical Data

* Premium members only.

The historical data trend for Kyndryl Holdings's ROCE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Kyndryl Holdings ROCE % Chart

Kyndryl Holdings Annual Data
Trend Dec18 Dec19 Dec20 Mar21 Mar23 Mar24 Mar25 Mar26
ROCE %
Get a 7-Day Free Trial -25.76 -11.48 -0.72 8.83 7.85

Kyndryl Holdings Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROCE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 9.14 6.43 6.54 6.76 10.45
FRA:7XU
46GF Score
Kyndryl Holdings Inc FRA:7XU
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Kyndryl Holdings ROCE % Calculation

Kyndryl Holdings's annualized ROCE % for the fiscal year that ended in Mar. 2026 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Mar. 2026 )  (A: Mar. 2025 )(A: Mar. 2026 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Mar. 2026 )  (A: Mar. 2025 )(A: Mar. 2026 )
=435.095/( ( (9668.1 - 3977.5) + (10856.615 - 5455.555) )/ 2 )
=435.095/( (5690.6+5401.06)/ 2 )
=435.095/5545.83
=7.85 %

Kyndryl Holdings's ROCE % of for the quarter that ended in Mar. 2026 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=560.52/( ( (9629.704 - 4306.722) + (10856.615 - 5455.555) )/ 2 )
=560.52/( ( 5322.982 + 5401.06 )/ 2 )
=560.52/5362.021
=10.45 %

(1) Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about ROCE % →
What does a ROCE % of 10.45% mean?
Kyndryl Holdings (FRA:7XU) has a ROCE % of 10.45% as of Mar. 2026.
Is Kyndryl Holdings' ROCE % too high?
Kyndryl Holdings' current ROCE % is 10.45%. The Software industry median ROCE % is 5.28. Kyndryl Holdings' value of 10.45% is 97.9% above this industry median. Overall, Kyndryl Holdings has a GF Score™ of 46/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Kyndryl Holdings' ROCE % compare to PENG and CHRN?
Kyndryl Holdings' ROCE % of 10.45% can be compared against companies in the Software industry. The industry median ROCE % is 5.28. Kyndryl Holdings' value of 10.45% is 97.9% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROCE % for a Software company?
The median ROCE % among Software companies is 5.28, based on 2,711 companies in the industry. Companies in the top quartile (top 25%) have a ROCE % significantly above this median, while those in the bottom quartile fall well below. However, ROCE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Kyndryl Holdings's current ROCE % of 10.45% is 97.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROCE % mean?
A high ROCE % can signal that a stock is expensive relative to its fundamentals. For the Software industry, the median ROCE % is 5.28 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kyndryl Holdings's current ROCE % is 10.45%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kyndryl Holdings stock overvalued right now?
Based on GuruFocus' analysis, Kyndryl Holdings (FRA:7XU) is currently considered Possible Value Trap. The stock's GF Value™ is €19.48, compared to a current price of €9.18 — trading 52.9% below its estimated fair value. The current ROCE % is 10.45% and 97.9% above the Software industry median of 5.28. Kyndryl Holdings' overall GF Score™ is 46/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROCE % calculated?
ROCE % is calculated from a company's financial statements. For Kyndryl Holdings (FRA:7XU), the current ROCE % is 10.45% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Kyndryl Holdings (FRA:7XU) Overvalued in 2026?

Based on GuruFocus' analysis, Kyndryl Holdings stock appears to be undervalued. The current stock price of €9.18 is trading 52.9% below its estimated GF Value™ of €19.48. GuruFocus considers Kyndryl Holdings to be Possible Value Trap.

Key valuation signals for FRA:7XU:

  • ROCE %: 10.45%
  • GF Value™: €19.48 vs. price of €9.18 (52.9% below fair value)
  • GF Score™: 46/100 with 3 warning signs
  • Industry Position: 97.9% above the Software median

No single metric tells the full story. See the FRA:7XU stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Kyndryl Holdings Business Description

Address One Vanderbilt Avenue, 15th Floor, New York, NY, USA, 10017
Kyndryl Holdings Inc is a technology services and infrastructure services provider company. It provides advisory, implementation, and managed services across a range of technology domains to help customers manage and modernize enterprise IT environments in support of their business and transformation objectives. The company's reportable segments consist of the following: Principal Markets which represents its operations in operations in Australia / New Zealand, Canada, France, Germany, India, Italy, Spain, Portugal, and the United Kingdom / Ireland, United States, Japan, and Strategic Markets. It derives maximum revenue from the United States.
46GF Score

Get the complete analysis for FRA:7XU

ROCE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€9.18
Price
€19.48
GF Value