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

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

Several other research firms have also commented on KMT. JPMorgan Chase & Co. dropped their price target on Kennametal from $34.00 to $30.00 and set an “underweight” rating for the company in a research report on Thursday, October 8th. UBS Group reduced their price objective on Kennametal from $39.00 to $35.00 and set a “neutral” rating on the stock in a research note on Monday, August 10th. Morgan Stanley downgraded Kennametal from an “equal weight” rating to an “underweight” rating and decreased their price objective for the company from $31.00 to $27.00 in a research report on Monday, August 10th. DA Davidson lowered their price objective on Kennametal from $34.00 to $30.00 and set a “neutral” rating for the company in a research note on Tuesday, August 11th. Finally, Weiss Ratings raised Kennametal from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Thursday, October 8th. One equities research analyst has rated the stock with a Buy rating, four have assigned a Hold rating and four have assigned a Sell rating to the stock. According to data from MarketBeat.com, Kennametal has a consensus rating of “Reduce” and an average price target of $33.50.

Kennametal Price Performance

Kennametal stock opened at $30.99 on Wednesday. Kennametal has a 52-week low of $21.70 and a 52-week high of $43.81. The company has a quick ratio of 0.98, a current ratio of 2.62 and a debt-to-equity ratio of 0.42. The firm’s fifty day moving average is $30.59 and its 200 day moving average is $33.91. The company has a market cap of $2.37 billion, a price-to-earnings ratio of 7.04, a PEG ratio of 0.30 and a beta of 1.33.

Kennametal (NYSE:KMT) last issued its quarterly earnings data 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. Kennametal had a net margin of 14.53% and a return on equity of 24.83%. The business had revenue of $736.61 million during the quarter, compared to analysts’ expectations of $725.74 million. During the same period last year, the company posted $0.34 EPS. 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. Sell-side analysts forecast that Kennametal will post 4.92 EPS for the current fiscal year.

Insider Buying and Selling at Kennametal

In related news, VP Judith L. Bacchus sold 9,676 shares of Kennametal stock in a transaction dated Tuesday, September 8th. The shares were sold at an average price of $30.29, for a total transaction of $293,086.04. Following the completion of the transaction, the vice president directly owned 15,721 shares of the company’s stock, valued at approximately $476,189.09. The trade was a 38.10% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Sanjay Chowbey purchased 7,000 shares of the business’s stock in a transaction that occurred on 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 completion of the acquisition, the chief executive officer directly owned 246,839 shares in the company, valued at $7,183,014.90. The trade was a 2.92% increase in their position. The SEC filing for this purchase provides additional information. Corporate insiders own 1.65% of the company’s stock.

Institutional Trading of Kennametal

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