Kennametal Inc. (NYSE:KMT) Receives Consensus Rating of “Reduce” from Analysts

Shares of Kennametal Inc. (NYSE:KMT) have been given a consensus rating of “Reduce” by the five research firms that are covering the stock, Marketbeat Ratings reports. Two analysts have rated the stock with a sell recommendation and three have given a hold recommendation to the company. The average 1 year price objective among analysts that have issued ratings on the stock in the last year is $25.93.

A number of brokerages have commented on KMT. Barclays decreased their price target on shares of Kennametal from $28.00 to $26.00 and set an “equal weight” rating for the company in a research note on Thursday, November 2nd. The Goldman Sachs Group lowered their price target on shares of Kennametal from $26.00 to $23.00 and set a “sell” rating on the stock in a report on Thursday, November 2nd. Bank of America lowered their price target on shares of Kennametal from $28.00 to $25.00 in a report on Wednesday, October 11th. StockNews.com started coverage on shares of Kennametal in a report on Thursday, October 5th. They issued a “buy” rating on the stock. Finally, JPMorgan Chase & Co. decreased their price objective on shares of Kennametal from $30.00 to $26.00 and set an “underweight” rating on the stock in a research report on Monday, October 16th.

Insiders Place Their Bets

In other Kennametal news, Director William J. Harvey sold 1,215 shares of Kennametal stock in a transaction that occurred on Thursday, September 14th. The shares were sold at an average price of $25.50, for a total transaction of $30,982.50. Following the transaction, the director now directly owns 34,431 shares of the company’s stock, valued at $877,990.50. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Insiders own 1.61% of the company’s stock.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in KMT. JPMorgan Chase & Co. raised its stake in shares of Kennametal by 5.9% during the first quarter. JPMorgan Chase & Co. now owns 154,524 shares of the industrial products company’s stock worth $4,421,000 after acquiring an additional 8,542 shares in the last quarter. Raymond James & Associates increased its stake in shares of Kennametal by 21.5% in the first quarter. Raymond James & Associates now owns 9,920 shares of the industrial products company’s stock worth $284,000 after buying an additional 1,756 shares during the period. Bank of Montreal Can increased its stake in shares of Kennametal by 12.1% in the first quarter. Bank of Montreal Can now owns 7,089 shares of the industrial products company’s stock worth $206,000 after buying an additional 768 shares during the period. Healthcare of Ontario Pension Plan Trust Fund increased its stake in shares of Kennametal by 396.7% in the first quarter. Healthcare of Ontario Pension Plan Trust Fund now owns 36,169 shares of the industrial products company’s stock worth $1,035,000 after buying an additional 28,887 shares during the period. Finally, MetLife Investment Management LLC increased its stake in shares of Kennametal by 40.6% in the first quarter. MetLife Investment Management LLC now owns 97,137 shares of the industrial products company’s stock worth $2,779,000 after buying an additional 28,069 shares during the period.

Kennametal Stock Down 3.3 %

Kennametal stock opened at $23.02 on Tuesday. The company has a quick ratio of 1.08, a current ratio of 2.41 and a debt-to-equity ratio of 0.46. Kennametal has a 12-month low of $22.08 and a 12-month high of $30.60. The firm’s fifty day moving average is $24.59 and its 200 day moving average is $26.41. The company has a market capitalization of $1.83 billion, a PE ratio of 15.55, a PEG ratio of 2.48 and a beta of 1.87.

Kennametal (NYSE:KMT) last released its earnings results on Wednesday, November 1st. The industrial products company reported $0.41 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.35 by $0.06. Kennametal had a net margin of 5.80% and a return on equity of 9.85%. The company had revenue of $492.50 million for the quarter, compared to the consensus estimate of $503.60 million. During the same quarter in the previous year, the company earned $0.34 EPS. Kennametal’s quarterly revenue was down .5% compared to the same quarter last year. As a group, sell-side analysts predict that Kennametal will post 1.84 EPS for the current fiscal year.

Kennametal Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, November 21st. Investors of record on Tuesday, November 7th will be paid a $0.20 dividend. This represents a $0.80 dividend on an annualized basis and a yield of 3.48%. The ex-dividend date is Monday, November 6th. Kennametal’s dividend payout ratio is currently 54.05%.

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.