Loop Capital Raises Kennametal (NYSE:KMT) Price Target to $24.00

Kennametal (NYSE:KMT) had its target price lifted by Loop Capital from $23.00 to $24.00 in a research note issued to investors on Thursday morning, Benzinga reports. The brokerage currently has a hold rating on the industrial products company’s stock.

Other analysts have also issued reports about the company. StockNews.com upgraded Kennametal from a hold rating to a buy rating in a research note on Friday, May 10th. Barclays lifted their price objective on Kennametal from $24.00 to $25.00 and gave the company an equal weight rating in a report on Thursday, May 9th. Finally, JPMorgan Chase & Co. cut their price objective on Kennametal from $26.00 to $24.00 and set an underweight rating on the stock in a report on Thursday, February 8th. Two research analysts have rated the stock with a sell rating, three have issued a hold rating and one has assigned a buy rating to the stock. According to MarketBeat, the company presently has an average rating of Hold and an average price target of $24.17.

Kennametal Stock Down 0.4 %

KMT opened at $25.27 on Thursday. The stock has a market capitalization of $1.99 billion, a price-to-earnings ratio of 18.72, a P/E/G ratio of 2.55 and a beta of 1.76. Kennametal has a 1-year low of $22.08 and a 1-year high of $30.60. The business has a 50 day moving average of $24.63 and a 200-day moving average of $24.61. The company has a current ratio of 2.42, a quick ratio of 1.09 and a debt-to-equity ratio of 0.46.

Kennametal (NYSE:KMT) last issued its earnings results on Wednesday, May 8th. The industrial products company reported $0.30 EPS for the quarter, missing the consensus estimate of $0.31 by ($0.01). The firm had revenue of $515.80 million during the quarter, compared to the consensus estimate of $518.50 million. Kennametal had a return on equity of 9.35% and a net margin of 5.29%. The firm’s revenue for the quarter was down 3.8% compared to the same quarter last year. During the same period last year, the business earned $0.39 earnings per share. As a group, sell-side analysts anticipate that Kennametal will post 1.47 earnings per share for the current year.

Kennametal Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Tuesday, May 28th. Investors of record on Tuesday, May 14th will be given a $0.20 dividend. This represents a $0.80 dividend on an annualized basis and a yield of 3.17%. The ex-dividend date is Monday, May 13th. Kennametal’s dividend payout ratio is presently 59.26%.

Kennametal declared that its board has authorized a stock buyback program on Wednesday, February 7th that authorizes the company to buyback $200.00 million in outstanding shares. This buyback authorization authorizes the industrial products company to reacquire up to 10.6% of its shares through open market purchases. Shares buyback programs are generally a sign that the company’s leadership believes its shares are undervalued.

Insiders Place Their Bets

In related news, VP John Wayne Witt sold 1,000 shares of the business’s stock in a transaction that occurred on Thursday, March 7th. The stock was sold at an average price of $25.55, for a total transaction of $25,550.00. Following the transaction, the vice president now directly owns 1,343 shares of the company’s stock, valued at approximately $34,313.65. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Insiders own 1.61% of the company’s stock.

Institutional Trading of Kennametal

Institutional investors have recently modified their holdings of the stock. Louisiana State Employees Retirement System acquired a new position in Kennametal in the 4th quarter worth about $1,026,000. Ontario Teachers Pension Plan Board bought a new position in shares of Kennametal during the third quarter worth about $517,000. Jump Financial LLC increased its holdings in Kennametal by 946.7% in the third quarter. Jump Financial LLC now owns 81,300 shares of the industrial products company’s stock worth $2,023,000 after purchasing an additional 73,533 shares in the last quarter. GAMMA Investing LLC bought a new stake in Kennametal in the fourth quarter worth approximately $48,000. Finally, DekaBank Deutsche Girozentrale acquired a new stake in Kennametal in the third quarter valued at approximately $62,000.

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.