Kadant (NYSE:KAI) Releases FY 2026 Earnings Guidance

Kadant (NYSE:KAI) issued an update on its FY 2026 earnings guidance on Tuesday morning. The company provided EPS guidance of 12.430-12.680 for the period, compared to the consensus earnings per share estimate of 11.550. The company issued revenue guidance of $1.2 billion-$1.2 billion, compared to the consensus revenue estimate of $1.2 billion. Kadant also updated its Q3 2026 guidance to 2.900-3.000 EPS.

Kadant Stock Up 3.1%

KAI stock traded up $10.11 during midday trading on Tuesday, reaching $334.67. 121,657 shares of the company were exchanged, compared to its average volume of 156,276. The company has a debt-to-equity ratio of 0.36, a quick ratio of 1.53 and a current ratio of 2.47. Kadant has a 1-year low of $244.87 and a 1-year high of $357.65. The stock’s 50-day simple moving average is $306.50 and its 200 day simple moving average is $315.86. The company has a market cap of $3.95 billion, a price-to-earnings ratio of 38.16 and a beta of 1.20.

Kadant (NYSE:KAI) last issued its quarterly earnings data on Tuesday, August 4th. The industrial products company reported $3.42 earnings per share for the quarter, topping the consensus estimate of $2.94 by $0.48. Kadant had a net margin of 9.45% and a return on equity of 12.13%. The business had revenue of $312.88 million during the quarter, compared to the consensus estimate of $299.17 million. During the same quarter in the previous year, the firm earned $2.31 EPS. The company’s revenue was up 22.6% compared to the same quarter last year. Kadant has set its FY 2026 guidance at 12.430-12.680 EPS and its Q3 2026 guidance at 2.900-3.000 EPS. On average, equities analysts forecast that Kadant will post 12.42 earnings per share for the current year.

Kadant Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, August 13th. Investors of record on Thursday, July 16th will be given a $0.36 dividend. The ex-dividend date of this dividend is Thursday, July 16th. This represents a $1.44 dividend on an annualized basis and a yield of 0.4%. Kadant’s payout ratio is 16.42%.

Kadant declared that its board has initiated a stock repurchase plan on Thursday, May 21st that authorizes the company to repurchase $50.00 million in shares. This repurchase authorization authorizes the industrial products company to reacquire up to 1.4% of its stock through open market purchases. Stock repurchase plans are usually a sign that the company’s board of directors believes its stock is undervalued.

Wall Street Analysts Forecast Growth

Several equities analysts have issued reports on KAI shares. Barrington Research reaffirmed an “outperform” rating and set a $380.00 price objective on shares of Kadant in a report on Monday, May 4th. Weiss Ratings downgraded Kadant from a “hold (c+)” rating to a “hold (c)” rating in a report on Monday. Zacks Research cut Kadant from a “strong-buy” rating to a “hold” rating in a research report on Wednesday, May 20th. Finally, Wall Street Zen raised Kadant from a “hold” rating to a “buy” rating in a research report on Saturday, May 9th. One investment analyst has rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. Based on data from MarketBeat, Kadant currently has an average rating of “Hold” and a consensus price target of $341.50.

Insider Activity at Kadant

In related news, SVP Stacy D. Krause sold 1,227 shares of the company’s stock in a transaction on Wednesday, May 27th. The shares were sold at an average price of $334.17, for a total value of $410,026.59. Following the completion of the sale, the senior vice president owned 1,363 shares in the company, valued at $455,473.71. This represents a 47.37% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. 1.30% of the stock is owned by insiders.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the business. Caitong International Asset Management Co. Ltd boosted its stake in shares of Kadant by 1,300.0% during the third quarter. Caitong International Asset Management Co. Ltd now owns 84 shares of the industrial products company’s stock worth $25,000 after buying an additional 78 shares during the period. Kestra Advisory Services LLC acquired a new position in Kadant in the 4th quarter valued at about $27,000. Kestra Investment Management LLC purchased a new stake in Kadant during the 2nd quarter valued at approximately $27,000. Allworth Financial LP raised its stake in Kadant by 89.1% during the 3rd quarter. Allworth Financial LP now owns 104 shares of the industrial products company’s stock valued at $31,000 after acquiring an additional 49 shares during the last quarter. Finally, Smartleaf Asset Management LLC lifted its position in Kadant by 278.0% during the 2nd quarter. Smartleaf Asset Management LLC now owns 189 shares of the industrial products company’s stock worth $59,000 after acquiring an additional 139 shares during the period. 96.13% of the stock is currently owned by institutional investors and hedge funds.

Kadant Company Profile

Kadant Inc, headquartered in Westford, Massachusetts, is a global supplier of high‐value, critical components and engineered systems for the pulp and paper industry and other process industries. The company’s product portfolio spans stock preparation technologies, refiners and pulpers, fluid handling systems, and web‐handling equipment designed to optimize the efficiency and quality of paper production. In addition to capital equipment, Kadant offers aftermarket services, including spare parts, maintenance programs and process optimization consulting, which together support long‐term customer productivity and reliability.

Originally part of a larger industrial conglomerate, Kadant was established as an independent public company in 1991.