Hsbc Holdings PLC Makes New $2.09 Million Investment in Kennametal Inc. $KMT

Hsbc Holdings PLC bought a new stake in Kennametal Inc. (NYSE:KMT) during the second quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund bought 59,645 shares of the industrial products company’s stock, valued at approximately $2,091,000. Hsbc Holdings PLC owned 0.08% of Kennametal as of its most recent SEC filing.

Several other hedge funds have also recently added to or reduced their stakes in the business. BlackRock Inc. acquired a new stake in Kennametal during the second quarter valued at approximately $440,446,000. Dimensional Fund Advisors LP lifted its position in Kennametal by 2.1% during 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 grew its stake in shares of 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 purchasing an additional 9,963 shares during the last quarter. Arrowstreet Capital Limited Partnership increased its stake in shares of Kennametal by 15.4% in the 1st 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 during the period. Finally, William Blair Investment Management LLC acquired a new position in Kennametal during the 2nd quarter valued at about $69,614,000.

Insider Activity

In other Kennametal news, Director Sagar A. Patel sold 29,499 shares of the business’s stock in a transaction that occurred on Monday, June 8th. The shares were sold at an average price of $33.50, for a total transaction of $988,216.50. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, VP Judith L. Bacchus sold 5,488 shares of the company’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 transaction, the vice president owned 4,554 shares of the company’s stock, valued at approximately $163,670.76. This trade represents a 54.65% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 47,000 shares of company stock valued at $1,583,326 over the last quarter. 1.43% of the stock is owned by company insiders.

Kennametal Price Performance

Shares of NYSE:KMT opened at $29.52 on Monday. Kennametal Inc. has a one year low of $20.35 and a one year high of $43.81. The company has a debt-to-equity ratio of 0.42, a current ratio of 2.62 and a quick ratio of 0.98. The company has a market cap of $2.25 billion, a price-to-earnings ratio of 6.71, a PEG ratio of 0.29 and a beta of 1.36. The firm has a 50 day simple moving average of $33.19 and a 200 day simple moving average of $35.81.

Kennametal (NYSE:KMT) last posted its earnings results on Wednesday, August 5th. The industrial products company reported $2.96 earnings per share for the quarter, topping analysts’ consensus estimates of $2.31 by $0.65. The firm had revenue of $736.61 million for the quarter, compared to analysts’ expectations of $725.74 million. Kennametal had a net margin of 14.53% and a return on equity of 24.83%. The company’s revenue was up 42.6% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.34 earnings per share. Kennametal has set its Q1 2027 guidance at 2.500-2.800 EPS and its FY 2027 guidance at 4.150-5.150 EPS. Research analysts predict that Kennametal Inc. will post 4.82 earnings per share for the current fiscal year.

Kennametal Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Tuesday, August 25th. Stockholders of record on Tuesday, August 11th were issued a dividend of $0.20 per share. This represents a $0.80 annualized dividend and a dividend yield of 2.7%. The ex-dividend date was Tuesday, August 11th. Kennametal’s payout ratio is 18.18%.

Analysts Set New Price Targets

KMT has been the subject of a number of research analyst reports. Barclays cut Kennametal from an “equal weight” rating to an “underweight” rating and decreased their target price for the company from $40.00 to $33.00 in a research note on Wednesday, May 27th. DA Davidson cut their price objective on Kennametal from $34.00 to $30.00 and set a “neutral” rating for the company in a research report on Tuesday, August 11th. Morgan Stanley lowered shares of Kennametal from an “equal weight” rating to an “underweight” rating and decreased their price target for the company from $31.00 to $27.00 in a research note on Monday, August 10th. UBS Group lowered their price target on shares of Kennametal from $39.00 to $35.00 and set a “neutral” rating on the stock in a research report on Monday, August 10th. Finally, Weiss Ratings reiterated a “hold (c+)” rating on shares of Kennametal in a research report on Monday, August 17th. Five equities research analysts have rated the stock with a Hold rating and four have issued a Sell rating to the company. According to MarketBeat, the company has a consensus rating of “Reduce” and an average price target of $34.07.

Kennametal 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.