Kadant (NYSE:KAI) Board of Directors Authorizes Share Buyback Program

Kadant (NYSE:KAI) announced that its board has approved a stock repurchase program on Thursday, May 15th, RTT News reports. The company plans to buyback $50.00 million in outstanding shares. This buyback authorization authorizes the industrial products company to purchase up to 1.3% of its shares through open market purchases. Shares buyback programs are usually an indication that the company’s leadership believes its shares are undervalued.

Analysts Set New Price Targets

Several equities analysts have recently weighed in on the company. Barrington Research restated an “outperform” rating and issued a $380.00 target price on shares of Kadant in a research report on Thursday, May 1st. DA Davidson lowered their target price on Kadant from $300.00 to $275.00 and set a “neutral” rating for the company in a research note on Thursday, May 1st.

Kadant Stock Performance

NYSE KAI opened at $325.69 on Friday. Kadant has a 1-year low of $266.23 and a 1-year high of $429.95. The company has a market capitalization of $3.84 billion, a P/E ratio of 34.36 and a beta of 1.30. The business has a 50 day moving average price of $319.77 and a 200 day moving average price of $355.81. The company has a debt-to-equity ratio of 0.37, a current ratio of 2.29 and a quick ratio of 1.46.

Kadant (NYSE:KAI) last posted its quarterly earnings data on Tuesday, April 29th. The industrial products company reported $2.10 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.97 by $0.13. Kadant had a return on equity of 14.66% and a net margin of 10.59%. The business had revenue of $239.21 million for the quarter, compared to analysts’ expectations of $239.41 million. During the same quarter last year, the firm earned $2.38 earnings per share. The business’s revenue was down 3.9% on a year-over-year basis. Sell-side analysts expect that Kadant will post 9.97 EPS for the current fiscal year.

Kadant Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, August 7th. Shareholders of record on Thursday, July 10th will be paid a dividend of $0.34 per share. This represents a $1.36 annualized dividend and a yield of 0.42%. The ex-dividend date is Thursday, July 10th. Kadant’s dividend payout ratio (DPR) is currently 14.44%.

Kadant Company Profile

Kadant Inc supplies technologies and engineered systems worldwide. It operates in three segments: Flow Control, Industrial Processing, and Material Handling. The Flow Control segment develops, manufactures, and markets fluid-handling systems and equipment, such as rotary joints, syphons, turbulator bars, expansion joints, and engineered steam and condensate systems; and doctoring, cleaning, and filtration systems and related consumables consisting of doctor systems and holders, doctor blades, cleaning shower and fabric-conditioning systems, forming systems and wear surfaces, and water-filtration systems.