Kennametal Inc. (NYSE:KMT) Shareholders to Receive $0.20 Quarterly Dividend

Kennametal Inc. (NYSE:KMT) announced a quarterly dividend on Tuesday, October 27th. Shareholders of record on Monday, November 9th will be paid a dividend of $0.20 per share by the industrial products company on Monday, November 23rd. This represents a $0.80 dividend on an annualized basis and a yield of 3.5%. The ex-dividend date of this dividend is Monday, November 9th.

Kennametal has a dividend payout ratio of 59.7% indicating that its dividend is sufficiently covered by earnings. Analysts expect Kennametal to earn $2.25 per share next year, which means the company should continue to be able to cover its $0.80 annual dividend with an expected future payout ratio of 35.6%.

Kennametal Stock Down 0.7%

NYSE:KMT opened at $23.06 on Friday. The company has a debt-to-equity ratio of 0.42, a current ratio of 2.62 and a quick ratio of 0.98. The company’s fifty day moving average price is $30.10 and its 200-day moving average price is $34.42. The firm has a market capitalization of $1.76 billion, a P/E ratio of 3.04, a PEG ratio of 0.30 and a beta of 1.30. Kennametal has a 1-year low of $22.65 and a 1-year high of $43.81.

Kennametal (NYSE:KMT) last released its earnings results on Wednesday, November 4th. The industrial products company reported $3.48 EPS for the quarter, beating analysts’ consensus estimates of $2.65 by $0.83. The company had revenue of $768.19 million during the quarter, compared to the consensus estimate of $770.36 million. Kennametal had a return on equity of 24.83% and a net margin of 14.53%. Kennametal’s quarterly revenue was up 54.3% compared to the same quarter last year. During the same quarter last year, the company earned $0.34 earnings per share. As a group, equities research analysts anticipate that Kennametal will post 5.18 EPS for the current year.

Insider Activity

In related news, VP Judith Bacchus sold 9,676 shares of the firm’s stock in a transaction that occurred on Tuesday, September 8th. The shares were sold at an average price of $30.29, for a total value of $293,086.04. Following the completion of the transaction, the vice president owned 15,721 shares of the company’s stock, valued at approximately $476,189.09. This trade represents a 38.10% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO Sanjay Chowbey bought 7,000 shares of Kennametal stock in a transaction that occurred on Thursday, November 5th. The shares were acquired at an average price of $23.62 per share, with a total value of $165,340.00. Following the acquisition, the chief executive officer directly owned 280,957 shares of the company’s stock, valued at $6,636,204.34. The trade was a 2.56% increase in their position. The SEC filing for this purchase provides additional information. 1.65% of the stock is owned by company insiders.

Hedge Funds Weigh In On Kennametal

Several hedge funds have recently added to or reduced their stakes in the business. BlackRock Inc. acquired a new stake in Kennametal during the second quarter worth about $440,446,000. Arrowstreet Capital Limited Partnership boosted its stake in shares of Kennametal by 15.4% during the 1st quarter. Arrowstreet Capital Limited Partnership now owns 2,298,349 shares of the industrial products company’s stock worth $83,039,000 after acquiring an additional 307,209 shares during the period. William Blair Investment Management LLC acquired a new position in Kennametal during the second quarter worth about $69,614,000. Medina Value Partners LLC acquired a new stake in shares of Kennametal during the 2nd quarter worth approximately $43,007,296. Finally, NFJ Investment Group LLC purchased a new stake in shares of Kennametal during the 2nd quarter valued at $36,202,000.

About Kennametal

Kennametal Inc (NYSE: KMT) is a global industrial technology company that develops and manufactures tooling, engineered components and wear-resistant solutions. Its products are designed to help customers improve productivity, durability and performance in demanding manufacturing and industrial applications.

The company’s offerings include metal-cutting tools and systems, tooling components, advanced materials, and products made with hard metals and other wear-resistant technologies. Kennametal also provides engineered solutions for applications such as machining, earthworks, energy production, transportation, aerospace, defense and general engineering.

Founded in 1938 by Philip M.