Kennametal (NYSE:KMT) Stock Rating Cut to Hold at Zacks Research

Kennametal (NYSE:KMT) was downgraded by equities research analysts at Zacks Research from a “strong-buy” rating to a “hold” rating in a report issued on Wednesday, Zacks reports.

KMT has been the subject of several other reports. Morgan Stanley cut shares of Kennametal from an “equal weight” rating to an “underweight” rating and lowered their price objective for the company from $31.00 to $27.00 in a research report on Monday, August 10th. Weiss Ratings upgraded shares of Kennametal from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Thursday, October 8th. JPMorgan Chase & Co. reduced their target price on shares of Kennametal from $34.00 to $30.00 and set an “underweight” rating on the stock in a research report on Thursday, October 8th. UBS Group reduced their target price 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, DA Davidson decreased their price target on shares of Kennametal from $34.00 to $30.00 and set a “neutral” rating for the company in a research note on Tuesday, August 11th. One equities research analyst has rated the stock with a Buy rating, four have issued a Hold rating and four have issued a Sell rating to the company’s stock. Based on data from MarketBeat, Kennametal presently has a consensus rating of “Reduce” and a consensus price target of $33.50.

Kennametal Stock Up 0.3%

Shares of KMT opened at $30.99 on Wednesday. The firm has a market capitalization of $2.37 billion, a P/E ratio of 7.04, a P/E/G ratio of 0.30 and a beta of 1.33. Kennametal has a 12-month low of $21.70 and a 12-month high of $43.81. The company has a current ratio of 2.62, a quick ratio of 0.98 and a debt-to-equity ratio of 0.42. The firm has a fifty day moving average price of $30.59 and a 200-day moving average price of $33.91.

Kennametal (NYSE:KMT) last posted its quarterly earnings results on Wednesday, August 5th. The industrial products company reported $2.96 EPS 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 business’s revenue for the quarter was up 42.6% on a year-over-year basis. During the same period in the prior year, the business 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. Equities research analysts expect that Kennametal will post 4.92 earnings per share for the current year.

Insiders Place Their Bets

In other news, VP Judith Bacchus sold 9,676 shares of the stock in a transaction on Tuesday, September 8th. The stock was sold at an average price of $30.29, for a total transaction of $293,086.04. Following the transaction, the vice president owned 15,721 shares of the company’s stock, valued at approximately $476,189.09. This represents a 38.10% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Sanjay Chowbey purchased 7,000 shares of the business’s stock in a transaction dated Thursday, September 10th. The shares were purchased at an average price of $29.10 per share, for a total transaction of $203,700.00. Following the purchase, the chief executive officer owned 246,839 shares of the company’s stock, valued at approximately $7,183,014.90. This trade represents a 2.92% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. 1.65% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in KMT. Amundi increased its position in Kennametal by 244.7% during the 2nd quarter. Amundi now owns 162,786 shares of the industrial products company’s stock valued at $5,706,000 after purchasing an additional 115,557 shares during the period. WINTON GROUP Ltd lifted its position in shares of Kennametal by 170.1% in the 2nd quarter. WINTON GROUP Ltd now owns 58,366 shares of the industrial products company’s stock worth $2,046,000 after purchasing an additional 36,757 shares during the period. William Blair Investment Management LLC purchased a new stake in shares of Kennametal in the 2nd quarter worth approximately $69,614,000. Deutsche Bank AG purchased a new stake in shares of Kennametal in the 2nd quarter worth approximately $9,166,000. Finally, Legal & General Group Plc purchased a new stake in shares of Kennametal in the 2nd quarter worth approximately $6,243,000.

Kennametal Company Profile

Kennametal Inc (NYSE: KMT) is an industrial technology company that develops and manufactures tooling, engineered components, and wear-resistant solutions. Its products are designed to help customers machine, shape, and protect materials used in demanding industrial applications.

The company’s offerings include cutting tools and tooling systems for metalworking, as well as engineered components, advanced materials, and surface technologies intended to improve durability and performance.