Kennametal Inc. (NYSE:KMT) Announces $0.20 Quarterly Dividend

Kennametal Inc. (NYSE:KMT) declared a quarterly dividend on Tuesday, July 30th, Wall Street Journal reports. Shareholders of record on Tuesday, August 13th will be given a dividend of 0.20 per share by the industrial products company on Tuesday, August 27th. This represents a $0.80 dividend on an annualized basis and a yield of 3.24%. The ex-dividend date of this dividend is Tuesday, August 13th.

Kennametal has a dividend payout ratio of 52.6% meaning its dividend is sufficiently covered by earnings. Equities research analysts expect Kennametal to earn $1.57 per share next year, which means the company should continue to be able to cover its $0.80 annual dividend with an expected future payout ratio of 51.0%.

Kennametal Stock Performance

Shares of NYSE KMT opened at $24.68 on Monday. Kennametal has a 12-month low of $22.08 and a 12-month high of $27.75. The company has a current ratio of 2.42, a quick ratio of 1.09 and a debt-to-equity ratio of 0.46. The company has a market cap of $1.94 billion, a PE ratio of 18.28, a P/E/G ratio of 2.37 and a beta of 1.66. The stock has a 50 day simple moving average of $24.23 and a 200-day simple moving average of $24.54.

Kennametal (NYSE:KMT) last released its quarterly earnings results on Wednesday, August 7th. The industrial products company reported $0.49 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.44 by $0.05. Kennametal had a return on equity of 9.35% and a net margin of 5.29%. The company had revenue of $543.31 million during the quarter, compared to analysts’ expectations of $532.72 million. During the same quarter in the prior year, the business posted $0.51 earnings per share. The company’s revenue for the quarter was down 1.3% compared to the same quarter last year. On average, equities research analysts forecast that Kennametal will post 1.45 EPS for the current year.

Insider Buying and Selling

In other Kennametal news, CEO Sanjay Chowbey purchased 5,000 shares of the firm’s stock in a transaction on Monday, June 10th. The shares were purchased at an average price of $24.28 per share, for a total transaction of $121,400.00. Following the completion of the transaction, the chief executive officer now owns 49,270 shares in the company, valued at approximately $1,196,275.60. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Insiders own 1.61% of the company’s stock.

Analyst Upgrades and Downgrades

A number of research firms have commented on KMT. Barclays boosted their price target on shares of Kennametal from $24.00 to $25.00 and gave the stock an “equal weight” rating in a research report on Friday. StockNews.com downgraded Kennametal from a “buy” rating to a “hold” rating in a research report on Friday, July 12th. Finally, Loop Capital lowered their price target on Kennametal from $24.00 to $22.00 and set a “hold” rating on the stock in a research report on Friday, June 21st. Two investment analysts have rated the stock with a sell rating and four have assigned a hold rating to the company. According to MarketBeat, the company currently has a consensus rating of “Hold” and a consensus target price of $23.83.

Kennametal Company Profile

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.