Zacks Research Upgrades Kennametal (NYSE:KMT) to Strong-Buy

Kennametal (NYSE:KMT) was upgraded by research analysts at Zacks Research from a “hold” rating to a “strong-buy” rating in a research report issued to clients and investors on Tuesday, Zacks reports.

Several other research analysts also recently commented on the stock. DA Davidson dropped their price objective on shares of Kennametal from $34.00 to $30.00 and set a “neutral” rating for the company in a report on Tuesday, August 11th. Morgan Stanley lowered Kennametal from an “equal weight” rating to an “underweight” rating and decreased their price target for the stock from $31.00 to $27.00 in a research note on Monday, August 10th. Barclays lowered 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 report on Wednesday, May 27th. Weiss Ratings reissued a “hold (c+)” rating on shares of Kennametal in a research report on Monday, August 17th. Finally, UBS Group cut their price target on Kennametal from $39.00 to $35.00 and set a “neutral” rating on the stock in a research note on Monday, August 10th. One research analyst has rated the stock with a Strong Buy rating, four have given a Hold rating and four have issued a Sell rating to the company’s stock. According to MarketBeat.com, the stock presently has an average rating of “Reduce” and a consensus target price of $34.07.

Kennametal Trading Up 1.3%

Shares of KMT stock opened at $29.69 on Tuesday. The company has a debt-to-equity ratio of 0.42, a quick ratio of 0.98 and a current ratio of 2.62. The stock has a fifty day simple moving average of $31.94 and a two-hundred day simple moving average of $34.90. The firm has a market capitalization of $2.27 billion, a PE ratio of 6.75, a PEG ratio of 0.29 and a beta of 1.34. Kennametal has a 52-week low of $20.35 and a 52-week high of $43.81.

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

Insider Activity at Kennametal

In other news, VP Judith L. Bacchus sold 9,676 shares of the company’s 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 directly owned 15,721 shares of the company’s stock, valued at approximately $476,189.09. This represents a 38.10% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO Sanjay Chowbey acquired 7,000 shares of the firm’s stock in a transaction dated Thursday, September 10th. The shares were acquired at an average price of $29.10 per share, with a total value of $203,700.00. Following the acquisition, the chief executive officer owned 246,839 shares in the company, valued at approximately $7,183,014.90. The trade was a 2.92% increase in their position. The SEC filing for this purchase provides additional information. 1.43% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Allworth Financial LP purchased a new stake in Kennametal in the second quarter valued at about $25,000. Rockefeller Capital Management L.P. grew its stake in shares of Kennametal by 3,600.0% during the fourth quarter. Rockefeller Capital Management L.P. now owns 999 shares of the industrial products company’s stock worth $28,000 after acquiring an additional 972 shares during the last quarter. Nykredit A S acquired a new position in shares of Kennametal during the second quarter valued at about $37,000. Integrated Wealth Concepts LLC acquired a new position in shares of Kennametal during the second quarter valued at about $44,000. Finally, C M Bidwell & Associates Ltd. purchased a new position in shares of Kennametal in the 2nd quarter valued at approximately $70,000.

About Kennametal

Kennametal Inc (NYSE: KMT) is an industrial technology company that develops and manufactures tooling, engineered components and wear-resistant solutions for demanding applications. Its products are designed to help customers cut, shape, drill and protect materials used in manufacturing, transportation, energy, infrastructure and other industrial markets.

The company’s offerings include carbide and ceramic cutting tools, indexable inserts, solid carbide tooling, toolholding systems and related metal-cutting products.