Morgan Stanley Forecasts Strong Price Appreciation for Kennametal (NYSE:KMT) Stock

Kennametal (NYSE:KMT) had its price objective upped by stock analysts at Morgan Stanley from $29.00 to $36.00 in a research report issued on Tuesday,Benzinga reports. The firm currently has an “equal weight” rating on the industrial products company’s stock. Morgan Stanley’s target price would indicate a potential downside of 10.77% from the company’s current price.

KMT has been the topic of a number of other research reports. The Goldman Sachs Group set a $32.00 target price on shares of Kennametal in a report on Friday, February 6th. Barclays increased their price objective on Kennametal from $28.00 to $40.00 and gave the stock an “equal weight” rating in a research note on Monday. Wall Street Zen raised Kennametal from a “buy” rating to a “strong-buy” rating in a research report on Saturday, November 29th. UBS Group upped their price target on Kennametal from $32.00 to $39.00 and gave the stock a “neutral” rating in a report on Thursday, February 5th. Finally, Zacks Research raised shares of Kennametal from a “hold” rating to a “strong-buy” rating in a report on Wednesday, November 12th. One analyst has rated the stock with a Strong Buy rating, five have issued a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat.com, the company has a consensus rating of “Hold” and a consensus price target of $34.67.

Kennametal Price Performance

KMT stock opened at $40.35 on Tuesday. The company has a debt-to-equity ratio of 0.44, a current ratio of 2.55 and a quick ratio of 1.14. The company’s 50-day moving average is $32.04 and its 200-day moving average is $26.12. The stock has a market capitalization of $3.07 billion, a PE ratio of 28.21, a price-to-earnings-growth ratio of 0.78 and a beta of 1.50. Kennametal has a 1 year low of $17.30 and a 1 year high of $41.74.

Kennametal (NYSE:KMT) last issued its earnings results on Wednesday, February 4th. The industrial products company reported $0.47 EPS for the quarter, beating analysts’ consensus estimates of $0.35 by $0.12. The business had revenue of $529.53 million during the quarter, compared to analyst estimates of $514.70 million. Kennametal had a return on equity of 9.46% and a net margin of 5.43%.The firm’s revenue was up 9.9% compared to the same quarter last year. During the same period in the previous year, the company posted $0.25 EPS. Kennametal has set its Q3 2026 guidance at 0.500-0.600 EPS and its FY 2026 guidance at 2.050-2.450 EPS. Equities research analysts expect that Kennametal will post 1.17 EPS for the current fiscal year.

Hedge Funds Weigh In On Kennametal

Several institutional investors have recently added to or reduced their stakes in KMT. ARK Investment Management LLC increased its holdings in Kennametal by 16.6% during the fourth quarter. ARK Investment Management LLC now owns 3,210 shares of the industrial products company’s stock worth $91,000 after buying an additional 457 shares during the last quarter. Empowered Funds LLC grew its position in shares of Kennametal by 3.0% during the 4th quarter. Empowered Funds LLC now owns 361,766 shares of the industrial products company’s stock valued at $10,278,000 after acquiring an additional 10,442 shares during the period. Deutsche Bank AG increased its stake in shares of Kennametal by 18.5% during the 4th quarter. Deutsche Bank AG now owns 64,722 shares of the industrial products company’s stock worth $1,839,000 after purchasing an additional 10,126 shares during the last quarter. Fox Run Management L.L.C. purchased a new stake in shares of Kennametal during the 4th quarter worth approximately $263,000. Finally, Cerity Partners LLC raised its holdings in shares of Kennametal by 43.1% in the 4th quarter. Cerity Partners LLC now owns 15,732 shares of the industrial products company’s stock worth $447,000 after purchasing an additional 4,738 shares during the period.

About Kennametal

Kennametal Inc is a global industrial technology company that designs and manufactures advanced materials, tooling systems, and engineered components for a range of demanding applications. Its solutions support precision metalworking, earthmoving, and wear-resistant environments, catering to customers seeking enhanced productivity, longer tool life, and reduced operating costs.

The company’s product portfolio spans indexable cutting tools, solid round tools, tool holders, metalworking fluid systems, wear parts, ceramics and composites, and custom-engineered components.