Kennametal Inc. (NYSE:KMT) Receives Consensus Rating of “Reduce” from Analysts

Shares of Kennametal Inc. (NYSE:KMT) have earned a consensus recommendation of “Reduce” from the ten ratings firms that are currently covering the stock, Marketbeat Ratings reports. Three investment analysts have rated the stock with a sell rating and seven have given a hold rating to the company. The average 1-year price target among brokerages that have covered the stock in the last year is $35.6875.

Several research analysts have weighed in on the stock. Weiss Ratings lowered shares of Kennametal from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Wednesday, May 20th. Barclays lowered shares of Kennametal from an “equal weight” rating to an “underweight” rating and lowered their target price for the stock from $40.00 to $33.00 in a research note on Wednesday, May 27th. JPMorgan Chase & Co. increased their target price on shares of Kennametal from $37.00 to $40.00 and gave the stock an “underweight” rating in a research note on Thursday, May 7th. Jefferies Financial Group lowered shares of Kennametal from a “buy” rating to a “hold” rating and set a $47.50 target price for the company. in a research note on Thursday, May 7th. Finally, Zacks Research cut shares of Kennametal from a “strong-buy” rating to a “hold” rating in a research report on Monday, May 11th.

Kennametal Trading Up 2.6%

Shares of KMT opened at $36.49 on Friday. The company has a current ratio of 2.38, a quick ratio of 0.99 and a debt-to-equity ratio of 0.43. Kennametal has a 12-month low of $17.62 and a 12-month high of $43.81. The firm has a 50-day moving average price of $36.53 and a 200 day moving average price of $35.03. The firm has a market capitalization of $2.78 billion, a P/E ratio of 20.62, a P/E/G ratio of 0.23 and a beta of 1.37.

Kennametal (NYSE:KMT) last announced its quarterly earnings data on Wednesday, May 6th. The industrial products company reported $0.77 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.68 by $0.09. Kennametal had a net margin of 6.41% and a return on equity of 11.02%. The firm had revenue of $592.59 million during the quarter, compared to analyst estimates of $568.03 million. During the same quarter in the prior year, the firm posted $0.47 earnings per share. Kennametal’s quarterly revenue was up 21.8% on a year-over-year basis. Kennametal has set its FY 2026 guidance at 3.750-4.000 EPS. Sell-side analysts forecast that Kennametal will post 2.99 EPS for the current year.

Kennametal Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Tuesday, May 26th. Investors of record on Tuesday, May 12th were issued a $0.20 dividend. The ex-dividend date of this dividend was Tuesday, May 12th. This represents a $0.80 annualized dividend and a yield of 2.2%. Kennametal’s dividend payout ratio (DPR) is 45.20%.

Insider Activity at Kennametal

In related news, VP Carlonda R. Reilly sold 12,013 shares of the firm’s stock in a transaction that occurred on Tuesday, June 2nd. The shares were sold at an average price of $33.12, for a total value of $397,870.56. Following the sale, the vice president owned 25,143 shares of the company’s stock, valued at $832,736.16. This trade represents a 32.33% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, VP Judith L. Bacchus sold 5,488 shares of the firm’s stock in a transaction that occurred on Monday, June 15th. The shares were sold at an average price of $35.94, for a total transaction of $197,238.72. Following the completion of the sale, the vice president directly owned 4,554 shares in the company, valued at approximately $163,670.76. This trade represents a 54.65% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 47,000 shares of company stock valued at $1,583,326 over the last 90 days. 1.43% of the stock is owned by corporate insiders.

Institutional Trading of Kennametal

Hedge funds have recently added to or reduced their stakes in the company. Rockefeller Capital Management L.P. raised its holdings in Kennametal by 3,600.0% in the fourth quarter. Rockefeller Capital Management L.P. now owns 999 shares of the industrial products company’s stock valued at $28,000 after acquiring an additional 972 shares in the last quarter. Kohmann Bosshard Financial Services LLC acquired a new stake in Kennametal in the fourth quarter valued at approximately $28,000. Danske Bank A S acquired a new stake in Kennametal in the fourth quarter valued at approximately $31,000. Hantz Financial Services Inc. raised its holdings in Kennametal by 350.2% in the third quarter. Hantz Financial Services Inc. now owns 1,373 shares of the industrial products company’s stock valued at $29,000 after acquiring an additional 1,068 shares in the last quarter. Finally, Headlands Technologies LLC raised its holdings in Kennametal by 80.7% in the second quarter. Headlands Technologies LLC now owns 1,527 shares of the industrial products company’s stock valued at $35,000 after acquiring an additional 682 shares in the last quarter.

About Kennametal

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.