Klarna (KLAR) Hits High Q3 2025 Growth According to UBS’ Timothy Chiodo

Klarna Group (NYSE:KLAR) is one of the best new tech stocks to buy right now. Earlier on November 20, UBS analyst Timothy Chiodo lowered the firm’s price target on Klarna to $46 from $48 and kept a Buy rating on the shares. This sentiment came out when Klarna showed strong Q3 2025 results, with both Gross Merchandise Volume/GMV and revenue growing by more than 20% year-over-year and exceeding expectations due to factors like the expansion of the merchant network, the forging of key retail partnerships, successful Payment Service Provider/PSPs integrations, and the rapid adoption of the Klarna Card.

In the quarter, Klarna achieved a record total revenue of $903 million, while GMV grew to $32.7 billion. US revenue particularly accelerated to 51% growth year-on-year, and US GMV grew 43%. For the upcoming Q4, Klarna is expecting to see above 30% revenue growth. A major contributor to the growth acceleration is the fair financing product, which grew over 139% in volume. This product’s success is directly linked to an expansion in its acceptance points.

Klarna is actively pursuing a transition from a payments provider to a full neobank, using its unique customer acquisition funnel. The company boasts 114 million active consumers and is available at 850,000 merchants. This quarter, the company also added Clover to its list of signed partners, which also includes Stripe and Apple Pay. This strategy paid off with a record addition of 235,000 merchants in Q3, marking a 38% growth compared to 13% a year ago

Klarna Group (NYSE:KLAR) operates as a technology-driven payments company in the UK, the US, Germany, Sweden, and internationally.

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Disclosure: None. This article is originally published at Insider Monkey.