Zacks Research Downgrades Kennametal (NYSE:KMT) to Hold

Kennametal (NYSE:KMT) was downgraded by analysts at Zacks Research from a “strong-buy” rating to a “hold” rating in a research report issued to clients and investors on Tuesday,Zacks.com reports.

KMT has been the subject of several other research reports. Weiss Ratings downgraded shares of Kennametal from a “buy (b-)” rating to a “hold (c+)” rating in a report on Wednesday, May 20th. Barclays cut shares of Kennametal from an “equal weight” rating to an “underweight” rating and dropped their price objective for the stock from $40.00 to $33.00 in a report on Wednesday, May 27th. Jefferies Financial Group downgraded shares of Kennametal from a “buy” rating to a “hold” rating and set a $47.50 price objective on the stock. in a research report on Thursday, May 7th. JPMorgan Chase & Co. decreased their target price on shares of Kennametal from $40.00 to $34.00 and set an “underweight” rating for the company in a research report on Monday. Finally, DA Davidson began coverage on shares of Kennametal in a research note on Tuesday, June 16th. They issued a “neutral” rating and a $34.00 price target on the stock. Six investment analysts have rated the stock with a Hold rating and three have given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Reduce” and an average target price of $36.50.

Kennametal Trading Up 1.4%

Shares of NYSE KMT opened at $34.80 on Tuesday. The company has a market cap of $2.65 billion, a price-to-earnings ratio of 19.66, a price-to-earnings-growth ratio of 0.22 and a beta of 1.36. Kennametal has a 12-month low of $17.62 and a 12-month high of $43.81. The company has a current ratio of 2.38, a quick ratio of 0.99 and a debt-to-equity ratio of 0.43. The stock’s 50 day simple moving average is $34.79 and its 200 day simple moving average is $35.93.

Kennametal (NYSE:KMT) last released 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. The business had revenue of $592.59 million during the quarter, compared to analyst estimates of $568.03 million. Kennametal had a return on equity of 11.02% and a net margin of 6.41%.The business’s revenue for the quarter was up 21.8% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $0.47 EPS. Kennametal has set its FY 2026 guidance at 3.750-4.000 EPS. Equities research analysts expect that Kennametal will post 3.23 EPS for the current year.

Insider Transactions at Kennametal

In related news, 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 transaction, the vice president owned 4,554 shares in the company, valued at $163,670.76. This trade represents a 54.65% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, VP Carlonda R. Reilly sold 12,013 shares of the business’s stock in a transaction that occurred on Tuesday, June 2nd. The stock was sold at an average price of $33.12, for a total value of $397,870.56. Following the sale, the vice president directly owned 25,143 shares in the company, valued at approximately $832,736.16. The trade was a 32.33% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 47,000 shares of company stock valued at $1,583,326. Company insiders own 1.43% of the company’s stock.

Hedge Funds Weigh In On Kennametal

Hedge funds have recently modified their holdings of the company. Dimensional Fund Advisors LP raised its stake in shares of Kennametal by 2.1% in the 4th quarter. Dimensional Fund Advisors LP now owns 4,750,538 shares of the industrial products company’s stock worth $134,964,000 after buying an additional 96,888 shares in the last quarter. State Street Corp boosted its stake in Kennametal by 0.3% during the fourth quarter. State Street Corp now owns 2,899,770 shares of the industrial products company’s stock valued at $82,382,000 after buying an additional 9,963 shares in the last quarter. Arrowstreet Capital Limited Partnership boosted its stake in Kennametal by 15.4% during the first quarter. Arrowstreet Capital Limited Partnership now owns 2,298,349 shares of the industrial products company’s stock valued at $83,039,000 after buying an additional 307,209 shares in the last quarter. Wellington Management Group LLP grew its holdings in Kennametal by 20.7% during the third quarter. Wellington Management Group LLP now owns 1,546,374 shares of the industrial products company’s stock worth $32,366,000 after acquiring an additional 265,664 shares during the period. Finally, Deprince Race & Zollo Inc. grew its holdings in Kennametal by 3.7% during the fourth quarter. Deprince Race & Zollo Inc. now owns 1,343,451 shares of the industrial products company’s stock worth $38,167,000 after acquiring an additional 47,839 shares during the period.

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.