Kennametal (NYSE:KMT) Issues Earnings Results, Misses Estimates By $0.02 EPS

Kennametal (NYSE:KMT) posted its quarterly earnings results on Wednesday. The industrial products company reported $0.25 earnings per share for the quarter, missing analysts’ consensus estimates of $0.27 by ($0.02), Zacks reports. Kennametal had a return on equity of 8.35% and a net margin of 4.98%. Kennametal updated its FY 2025 guidance to 1.050-1.300 EPS and its Q3 2025 guidance to 0.200-0.300 EPS.

Kennametal Stock Performance

Shares of KMT traded up $0.05 during mid-day trading on Friday, hitting $22.02. 85,614 shares of the company traded hands, compared to its average volume of 914,418. The stock has a market cap of $1.71 billion, a price-to-earnings ratio of 17.11, a P/E/G ratio of 2.32 and a beta of 1.66. The stock has a 50-day moving average price of $24.96 and a two-hundred day moving average price of $25.61. Kennametal has a 1 year low of $20.50 and a 1 year high of $32.18. The company has a debt-to-equity ratio of 0.45, a quick ratio of 1.16 and a current ratio of 2.52.

Kennametal Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Tuesday, February 25th. Stockholders of record on Tuesday, February 11th will be issued a dividend of $0.20 per share. This represents a $0.80 dividend on an annualized basis and a dividend yield of 3.63%. The ex-dividend date is Tuesday, February 11th. Kennametal’s payout ratio is presently 62.50%.

Insiders Place Their Bets

In other news, VP John Wayne Witt sold 1,765 shares of the business’s stock in a transaction on Friday, November 22nd. The shares were sold at an average price of $29.35, for a total value of $51,802.75. Following the transaction, the vice president now owns 1,642 shares of the company’s stock, valued at approximately $48,192.70. The trade was a 51.81 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, VP Franklin Cardenas sold 20,470 shares of the firm’s stock in a transaction on Wednesday, December 4th. The shares were sold at an average price of $28.24, for a total transaction of $578,072.80. Following the transaction, the vice president now directly owns 39,581 shares of the company’s stock, valued at $1,117,767.44. The trade was a 34.09 % decrease in their ownership of the stock. The disclosure for this sale can be found here. 1.41% of the stock is currently owned by insiders.

Analysts Set New Price Targets

KMT has been the topic of several recent research reports. Barclays dropped their price target on shares of Kennametal from $31.00 to $30.00 and set an “equal weight” rating on the stock in a research report on Wednesday, January 8th. Bank of America lowered Kennametal from a “neutral” rating to an “underperform” rating and set a $26.00 price target for the company. in a report on Friday, October 18th. Jefferies Financial Group lowered shares of Kennametal from a “buy” rating to a “hold” rating and decreased their target price for the stock from $40.00 to $32.00 in a report on Friday, December 6th. Morgan Stanley raised their price target on Kennametal from $24.50 to $28.00 and gave the company an “equal weight” rating in a report on Tuesday, December 17th. Finally, Loop Capital increased their price objective on Kennametal from $24.00 to $26.00 and gave the company a “hold” rating in a research note on Tuesday, November 19th. Two investment analysts have rated the stock with a sell rating, four have assigned a hold rating and one has given a buy rating to the company. According to MarketBeat, Kennametal presently has a consensus rating of “Hold” and a consensus target price of $27.67.

About Kennametal

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.