Kennametal (NYSE:KMT) Updates FY 2027 Earnings Guidance

Kennametal (NYSE:KMT) issued an update on its FY 2027 earnings guidance on Wednesday morning. The company provided EPS guidance of 4.150-5.150 for the period, compared to the consensus EPS estimate of 3.780. The company issued revenue guidance of $3.3 billion-$3.5 billion, compared to the consensus revenue estimate of $2.7 billion. Kennametal also updated its Q1 2027 guidance to 2.500-2.800 EPS.

Kennametal Stock Down 1.2%

Shares of KMT traded down $0.42 during midday trading on Friday, reaching $33.43. The stock had a trading volume of 514,584 shares, compared to its average volume of 1,371,484. The company has a market cap of $2.55 billion, a price-to-earnings ratio of 7.58, a PEG ratio of 0.35 and a beta of 1.36. The company’s fifty day simple moving average is $34.37 and its two-hundred day simple moving average is $36.40. Kennametal has a 1-year low of $19.80 and a 1-year high of $43.81. The company has a debt-to-equity ratio of 0.42, a current ratio of 2.62 and a quick ratio of 0.99.

Kennametal (NYSE:KMT) last issued its earnings results 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 firm had revenue of $736.61 million during the quarter, compared to the consensus estimate of $725.74 million. During the same quarter in the previous year, the firm posted $0.34 earnings per share. The company’s revenue was up 42.6% compared to the same quarter last year. Kennametal has set its Q1 2027 guidance at 2.500-2.800 EPS and its FY 2027 guidance at 4.150-5.150 EPS. Equities research analysts expect that Kennametal will post 4.65 earnings per share for the current year.

Kennametal Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, August 25th. Stockholders of record on Tuesday, August 11th will be issued a $0.20 dividend. The ex-dividend date is Tuesday, August 11th. This represents a $0.80 dividend on an annualized basis and a dividend yield of 2.4%. Kennametal’s dividend payout ratio is presently 45.20%.

Analysts Set New Price Targets

KMT has been the topic of several research analyst reports. Barclays lowered Kennametal from an “equal weight” rating to an “underweight” rating and cut their target price for the stock from $40.00 to $33.00 in a research report on Wednesday, May 27th. Morgan Stanley dropped their price target on shares of Kennametal from $36.00 to $31.00 and set an “equal weight” rating on the stock in a research note on Friday, July 17th. Jefferies Financial Group cut shares of Kennametal from a “buy” rating to a “hold” rating and set a $47.50 price objective on the stock. in a report on Thursday, May 7th. JPMorgan Chase & Co. reduced their price objective on shares of Kennametal from $40.00 to $34.00 and set an “underweight” rating for the company in a research report on Monday, July 13th. Finally, Zacks Research downgraded shares of Kennametal from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, July 14th. Six research analysts have rated the stock with a Hold rating and three have issued a Sell rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of “Reduce” and a consensus target price of $35.79.

Insider Transactions at Kennametal

In other news, VP Carlonda R. Reilly sold 12,013 shares of Kennametal stock in a transaction on Tuesday, June 2nd. The shares were sold at an average price of $33.12, for a total value of $397,870.56. Following the transaction, the vice president directly owned 25,143 shares of the company’s stock, valued at $832,736.16. The trade was a 32.33% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, VP Judith L. Bacchus sold 5,488 shares of the company’s stock in a transaction on Monday, June 15th. The shares were sold at an average price of $35.94, for a total transaction of $197,238.72. Following the completion of the sale, the vice president owned 4,554 shares of the company’s stock, valued at approximately $163,670.76. This trade represents a 54.65% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders have sold 47,000 shares of company stock worth $1,583,326. Insiders own 1.43% of the company’s stock.

Institutional Investors Weigh In On Kennametal

A number of institutional investors have recently added to or reduced their stakes in the business. Arrowstreet Capital Limited Partnership boosted its position in Kennametal by 36.6% during the third quarter. Arrowstreet Capital Limited Partnership now owns 1,887,048 shares of the industrial products company’s stock worth $39,496,000 after purchasing an additional 505,669 shares in the last quarter. Marshall Wace LLP increased its position in shares of Kennametal by 776.9% in the fourth quarter. Marshall Wace LLP now owns 375,839 shares of the industrial products company’s stock valued at $10,678,000 after buying an additional 332,981 shares in the last quarter. Cubist Systematic Strategies LLC increased its position in shares of Kennametal by 195.3% in the second quarter. Cubist Systematic Strategies LLC now owns 472,940 shares of the industrial products company’s stock valued at $10,859,000 after buying an additional 312,769 shares in the last quarter. Wellington Management Group LLP raised its stake in shares of Kennametal by 20.7% during the 3rd quarter. Wellington Management Group LLP now owns 1,546,374 shares of the industrial products company’s stock worth $32,366,000 after buying an additional 265,664 shares during the last quarter. Finally, Balyasny Asset Management L.P. boosted its position in shares of Kennametal by 240.2% in the 2nd quarter. Balyasny Asset Management L.P. now owns 347,521 shares of the industrial products company’s stock worth $7,979,000 after buying an additional 245,374 shares in the last quarter.

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.