Kennametal (NYSE:KMT) Issues Q1 2027 Earnings Guidance

Kennametal (NYSE:KMT) issued an update on its first quarter 2027 earnings guidance on Wednesday morning. The company provided earnings per share guidance of 2.500-2.800 for the period, compared to the consensus EPS estimate of 1.090. The company issued revenue guidance of $745.0 million-$775.0 million, compared to the consensus revenue estimate of $675.0 million. Kennametal also updated its FY 2027 guidance to 4.150-5.150 EPS.

Kennametal Stock Down 1.2%

NYSE KMT traded down $0.42 during trading on Thursday, hitting $33.74. 880,854 shares of the company traded hands, compared to its average volume of 1,368,335. The business has a fifty day simple moving average of $34.37 and a 200 day simple moving average of $36.40. Kennametal has a 12 month low of $19.78 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 company has a market capitalization of $2.57 billion, a P/E ratio of 19.04, a PEG ratio of 0.62 and a beta of 1.36.

Kennametal (NYSE:KMT) last issued its quarterly earnings results on Wednesday, August 5th. The industrial products company reported $2.96 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.31 by $0.65. Kennametal had a return on equity of 11.02% and a net margin of 6.41%.The company had revenue of $736.61 million for the quarter, compared to the consensus estimate of $725.74 million. During the same period last year, the business posted $0.34 earnings per share. The firm’s revenue was up 42.6% compared to the same quarter last year. Kennametal has set its Q1 2027 guidance at 2.500-2.800 EPS and its FY 2027 guidance at 4.150-5.150 EPS. As a group, sell-side analysts predict that Kennametal will post 3.23 EPS for the current year.

Kennametal Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Tuesday, August 25th. Shareholders of record on Tuesday, August 11th will be issued a dividend of $0.20 per share. This represents a $0.80 dividend on an annualized basis and a yield of 2.4%. The ex-dividend date is Tuesday, August 11th. Kennametal’s dividend payout ratio is 45.20%.

Wall Street Analysts Forecast Growth

Several research analysts have weighed in on the company. DA Davidson started coverage on Kennametal in a research report on Tuesday, June 16th. They set a “neutral” rating and a $34.00 price target on the stock. Zacks Research cut shares of Kennametal from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, July 14th. Weiss Ratings lowered shares of Kennametal from a “buy (b-)” rating to a “hold (c+)” rating in a report on Wednesday, May 20th. Morgan Stanley reduced their price objective on Kennametal from $36.00 to $31.00 and set an “equal weight” rating on the stock in a research report on Friday, July 17th. Finally, Jefferies Financial Group lowered shares of Kennametal from a “buy” rating to a “hold” rating and set a $47.50 target price on the stock. in a report on Thursday, May 7th. Six equities research analysts have rated the stock with a Hold rating and three have given a Sell rating to the stock. According to MarketBeat, the company has a consensus rating of “Reduce” and a consensus target price of $35.79.

Insider Buying and Selling

In other news, VP Judith L. Bacchus sold 5,488 shares of the company’s stock in a transaction on Monday, June 15th. The stock was 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 of the company’s stock, valued at $163,670.76. This represents a 54.65% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, VP Carlonda R. Reilly sold 12,013 shares of Kennametal stock in a transaction that occurred on Tuesday, June 2nd. The shares were sold at an average price of $33.12, for a total transaction of $397,870.56. Following the sale, the vice president owned 25,143 shares of the company’s stock, valued at approximately $832,736.16. The trade was a 32.33% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last three months, insiders have sold 47,000 shares of company stock worth $1,583,326. 1.43% of the stock is owned by company insiders.

Kennametal News Summary

Here are the key news stories impacting Kennametal this week:

• Positive Sentiment: Fiscal Q4 sales rose 43% year over year to approximately $737 million, exceeding the $725.7 million consensus estimate. Organic sales increased 42%, supported by pricing, favorable timing and broad-based improvement across end markets. Kennametal Reports Fiscal 2026 and Fourth Quarter Results
• Positive Sentiment: Adjusted Q4 EPS was a record $2.96, beating the $2.31 analyst consensus by $0.65 and rising from $0.34 a year earlier. Kennametal also reported fiscal 2026 adjusted EPS of $4.57, another record. Kennametal Surpasses Q4 Earnings and Revenue Estimates
• Positive Sentiment: Management issued fiscal 2027 revenue guidance of $3.3 billion-$3.5 billion versus the $2.7 billion consensus and EPS guidance of $4.15-$5.15 versus expectations of $3.78. First-quarter guidance was also substantially above estimates, indicating continued momentum.
• Positive Sentiment: Management attributed the performance to improving market conditions and strategic growth initiatives, while pricing and volume helped lift margins. The earnings call and related coverage reinforce the view that demand is recovering across Kennametal’s industrial markets. Kennametal Q4 Earnings and Sales Beat Estimates
• Neutral Sentiment: The shares reportedly surged 14.2% after sales topped estimates. The subsequent decrease likely reflects profit-taking or digestion of the strong earnings reaction rather than deterioration in the reported operating outlook. Kennametal Sales Top Estimates

Hedge Funds Weigh In On Kennametal

Several large investors have recently modified their holdings of KMT. ARK Investment Management LLC raised its position in Kennametal by 16.6% in the 4th quarter. ARK Investment Management LLC now owns 3,210 shares of the industrial products company’s stock worth $91,000 after buying an additional 457 shares during the last quarter. Smartleaf Asset Management LLC raised its position in Kennametal by 21.7% in the fourth quarter. Smartleaf Asset Management LLC now owns 3,088 shares of the industrial products company’s stock worth $88,000 after acquiring an additional 551 shares during the period. Headlands Technologies LLC boosted its stake in shares of Kennametal by 80.7% during the 2nd quarter. Headlands Technologies LLC now owns 1,527 shares of the industrial products company’s stock worth $35,000 after acquiring an additional 682 shares during the last quarter. California State Teachers Retirement System raised its holdings in Kennametal by 1.6% in the 2nd quarter. California State Teachers Retirement System now owns 68,650 shares of the industrial products company’s stock worth $1,576,000 after purchasing an additional 1,112 shares during the period. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its holdings in Kennametal by 4.5% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 46,307 shares of the industrial products company’s stock worth $986,000 after acquiring an additional 2,013 shares in the last quarter.

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.