Kennametal (NYSE:KMT) Stock Price Up 15.1% Following Earnings Beat

Shares of Kennametal Inc. (NYSE:KMT) were up 15.1% during trading on Wednesday following a stronger than expected earnings report. The stock traded as high as $42.58 and last traded at $43.1560. Approximately 910,664 shares traded hands during mid-day trading, a decline of 35% from the average daily volume of 1,391,443 shares. The stock had previously closed at $37.51.

The industrial products company reported $0.77 earnings per share for the quarter, topping the consensus estimate of $0.68 by $0.09. Kennametal had a return on equity of 9.46% and a net margin of 5.43%.The business had revenue of $592.59 million for the quarter, compared to analysts’ expectations of $568.03 million. During the same quarter in the previous year, the firm earned $0.47 earnings per share. The business’s revenue was up 21.8% on a year-over-year basis. Kennametal has set its FY 2026 guidance at 3.750-4.000 EPS.

Kennametal Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Tuesday, May 26th. Stockholders of record on Tuesday, May 12th will be paid a $0.20 dividend. This represents a $0.80 dividend on an annualized basis and a dividend yield of 1.8%. The ex-dividend date is Tuesday, May 12th. Kennametal’s dividend payout ratio (DPR) is 55.94%.

Analyst Ratings Changes

A number of equities analysts have recently issued reports on KMT shares. The Goldman Sachs Group set a $32.00 price target on Kennametal in a research report on Friday, February 6th. UBS Group upped their price target on shares of Kennametal from $32.00 to $39.00 and gave the company a “neutral” rating in a report on Thursday, February 5th. Weiss Ratings upgraded shares of Kennametal from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Wednesday, April 29th. Barclays raised their price target on shares of Kennametal from $28.00 to $40.00 and gave the stock an “equal weight” rating in a report on Monday, February 9th. Finally, Morgan Stanley lifted their price target on shares of Kennametal from $29.00 to $36.00 and gave the stock an “equal weight” rating in a research note on Tuesday, February 10th. One investment analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating, four have issued a Hold rating and two have issued a Sell rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus target price of $34.67.

Insider Buying and Selling at Kennametal

In related news, VP John Wayne Witt sold 5,060 shares of the business’s stock in a transaction dated Thursday, February 19th. The shares were sold at an average price of $38.29, for a total transaction of $193,747.40. Following the completion of the sale, the vice president owned 1,634 shares of the company’s stock, valued at $62,565.86. This represents a 75.59% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, VP Carlonda R. Reilly sold 13,410 shares of Kennametal stock in a transaction that occurred on Monday, March 9th. The stock was sold at an average price of $36.31, for a total transaction of $486,917.10. Following the completion of the transaction, the vice president directly owned 38,746 shares in the company, valued at approximately $1,406,867.26. This trade represents a 25.71% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 1.43% of the stock is owned by company insiders.

Institutional Trading of Kennametal

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. OLD National Bancorp IN raised its position in shares of Kennametal by 3.8% in the 4th quarter. OLD National Bancorp IN now owns 10,226 shares of the industrial products company’s stock worth $291,000 after acquiring an additional 377 shares in the last quarter. Baron Wealth Management LLC increased its position in Kennametal by 3.8% during the first quarter. Baron Wealth Management LLC now owns 11,972 shares of the industrial products company’s stock valued at $433,000 after acquiring an additional 439 shares during the last quarter. Smartleaf Asset Management LLC increased its position in Kennametal by 21.3% in the third quarter. Smartleaf Asset Management LLC now owns 2,537 shares of the industrial products company’s stock worth $53,000 after buying an additional 446 shares in the last quarter. ProShare Advisors LLC grew its position in shares of Kennametal by 3.1% during the fourth quarter. ProShare Advisors LLC now owns 14,799 shares of the industrial products company’s stock worth $420,000 after purchasing an additional 450 shares in the last quarter. Finally, ARK Investment Management LLC grew its position in shares of Kennametal by 16.6% during the fourth quarter. ARK Investment Management LLC now owns 3,210 shares of the industrial products company’s stock worth $91,000 after purchasing an additional 457 shares in the last quarter.

Kennametal Price Performance

The stock has a market cap of $3.31 billion, a PE ratio of 30.37, a PEG ratio of 0.58 and a beta of 1.44. The firm has a 50-day moving average of $38.09 and a 200-day moving average of $32.82. The company has a debt-to-equity ratio of 0.44, a current ratio of 2.55 and a quick ratio of 1.14.

Kennametal Company Profile

Kennametal Inc is a global industrial technology company that designs and manufactures advanced materials, tooling systems, and engineered components for a range of demanding applications. Its solutions support precision metalworking, earthmoving, and wear-resistant environments, catering to customers seeking enhanced productivity, longer tool life, and reduced operating costs.

The company’s product portfolio spans indexable cutting tools, solid round tools, tool holders, metalworking fluid systems, wear parts, ceramics and composites, and custom-engineered components.