Kennametal Inc. (NYSE:KMT) Given Average Recommendation of “Reduce” by Analysts

Kennametal Inc. (NYSE:KMT) has been assigned a consensus recommendation of “Reduce” from the five research firms that are covering the company, Marketbeat.com reports. Two research analysts have rated the stock with a sell rating and three have issued a hold rating on the company. The average 12 month price objective among brokerages that have updated their coverage on the stock in the last year is $23.67.

Several research firms have recently issued reports on KMT. Barclays cut their price objective on shares of Kennametal from $25.00 to $24.00 and set an “equal weight” rating on the stock in a report on Wednesday, July 10th. Loop Capital decreased their price target on shares of Kennametal from $24.00 to $22.00 and set a “hold” rating for the company in a report on Friday, June 21st. Finally, StockNews.com lowered shares of Kennametal from a “buy” rating to a “hold” rating in a report on Friday, July 12th.

Insiders Place Their Bets

In related news, CEO Sanjay Chowbey purchased 5,000 shares of the firm’s stock in a transaction on Monday, June 10th. The stock was bought at an average cost of $24.28 per share, with a total value of $121,400.00. Following the completion of the acquisition, the chief executive officer now owns 49,270 shares of the company’s stock, valued at approximately $1,196,275.60. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. 1.61% of the stock is owned by insiders.

Institutional Trading of Kennametal

Institutional investors have recently made changes to their positions in the company. Wellington Management Group LLP raised its position in Kennametal by 7.8% in the fourth quarter. Wellington Management Group LLP now owns 4,240,814 shares of the industrial products company’s stock valued at $109,371,000 after purchasing an additional 305,542 shares during the period. Azarias Capital Management L.P. purchased a new stake in Kennametal in the 1st quarter valued at about $4,795,000. Hsbc Holdings PLC raised its holdings in Kennametal by 188.0% in the 4th quarter. Hsbc Holdings PLC now owns 84,070 shares of the industrial products company’s stock valued at $2,167,000 after buying an additional 54,882 shares during the period. Louisiana State Employees Retirement System acquired a new position in Kennametal in the fourth quarter valued at about $1,026,000. Finally, GAMMA Investing LLC purchased a new position in Kennametal during the fourth quarter worth about $48,000.

Kennametal Stock Up 3.0 %

Shares of KMT opened at $25.20 on Friday. The company has a quick ratio of 1.09, a current ratio of 2.42 and a debt-to-equity ratio of 0.46. The business has a fifty day moving average of $24.53 and a 200 day moving average of $24.50. The company has a market cap of $1.98 billion, a PE ratio of 18.67, a P/E/G ratio of 2.26 and a beta of 1.67. Kennametal has a 52-week low of $22.08 and a 52-week high of $30.60.

Kennametal (NYSE:KMT) last released its earnings results on Wednesday, May 8th. The industrial products company reported $0.30 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.31 by ($0.01). The firm had revenue of $515.80 million during the quarter, compared to the consensus estimate of $518.50 million. Kennametal had a return on equity of 9.35% and a net margin of 5.29%. Kennametal’s revenue was down 3.8% compared to the same quarter last year. During the same quarter last year, the business posted $0.39 EPS. On average, sell-side analysts expect that Kennametal will post 1.45 EPS for the current year.

Kennametal Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Tuesday, May 28th. Investors of record on Tuesday, May 14th were given a dividend of $0.20 per share. The ex-dividend date was Monday, May 13th. This represents a $0.80 dividend on an annualized basis and a yield of 3.17%. Kennametal’s dividend payout ratio is presently 59.26%.

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.