Kennametal Inc. (NYSE:KMT) Receives $24.33 Consensus Target Price from Brokerages

Kennametal Inc. (NYSE:KMT) has been given an average recommendation of “Reduce” by the six brokerages that are currently covering the stock, Marketbeat reports. Three equities research analysts have rated the stock with a sell recommendation and three have issued a hold recommendation on the company. The average 1 year price objective among analysts that have covered the stock in the last year is $24.33.

A number of brokerages have weighed in on KMT. Barclays raised their target price on Kennametal from $24.00 to $25.00 and gave the company an “equal weight” rating in a report on Friday, August 9th. StockNews.com raised Kennametal from a “hold” rating to a “buy” rating in a report on Friday, October 18th. Loop Capital raised their target price on Kennametal from $22.00 to $24.00 and gave the company a “hold” rating in a report on Thursday, August 22nd. Finally, Bank of America downgraded Kennametal from a “neutral” rating to an “underperform” rating and set a $26.00 target price on the stock. in a report on Friday, October 18th.

Kennametal Price Performance

Kennametal stock opened at $25.47 on Friday. The stock’s fifty day moving average price is $25.39 and its two-hundred day moving average price is $24.81. Kennametal has a one year low of $22.08 and a one year high of $27.04. The company has a debt-to-equity ratio of 0.46, a current ratio of 2.41 and a quick ratio of 1.17. The firm has a market cap of $2.00 billion, a PE ratio of 18.87, a price-to-earnings-growth ratio of 2.65 and a beta of 1.65.

Kennametal (NYSE:KMT) last posted its quarterly earnings data on Wednesday, August 7th. The industrial products company reported $0.49 EPS for the quarter, topping analysts’ consensus estimates of $0.44 by $0.05. The firm had revenue of $543.31 million for the quarter, compared to analyst estimates of $532.72 million. Kennametal had a return on equity of 9.17% and a net margin of 5.34%. The company’s revenue was down 1.3% on a year-over-year basis. During the same quarter last year, the company earned $0.51 EPS. As a group, research analysts expect that Kennametal will post 1.51 EPS for the current fiscal year.

Kennametal Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, August 27th. Shareholders of record on Tuesday, August 13th were issued a dividend of $0.20 per share. This represents a $0.80 dividend on an annualized basis and a yield of 3.14%. The ex-dividend date of this dividend was Tuesday, August 13th. Kennametal’s payout ratio is 59.26%.

Hedge Funds Weigh In On Kennametal

Several large investors have recently modified their holdings of the business. Quarry LP increased its holdings in Kennametal by 198.9% in the second quarter. Quarry LP now owns 1,058 shares of the industrial products company’s stock valued at $25,000 after purchasing an additional 704 shares during the period. Canada Pension Plan Investment Board bought a new stake in shares of Kennametal in the 2nd quarter valued at about $28,000. Headlands Technologies LLC acquired a new stake in shares of Kennametal in the first quarter valued at about $32,000. Quest Partners LLC bought a new position in shares of Kennametal during the second quarter worth about $44,000. Finally, Signaturefd LLC raised its position in shares of Kennametal by 98.7% during the third quarter. Signaturefd LLC now owns 2,029 shares of the industrial products company’s stock worth $53,000 after acquiring an additional 1,008 shares during the last quarter.

About Kennametal

Kennametal Inc engages in development and application of tungsten carbides, ceramics, and super-hard materials and solutions for use in metal cutting and extreme wear applications to enable customers work against corrosion and high temperatures conditions worldwide. The company operates through two segments, Metal Cutting and Infrastructure.