Kennametal (NYSE:KMT) Upgraded by StockNews.com to “Buy”

StockNews.com upgraded shares of Kennametal (NYSE:KMTFree Report) from a hold rating to a buy rating in a research note issued to investors on Friday.

A number of other research firms have also weighed in on KMT. Morgan Stanley assumed coverage on Kennametal in a research report on Monday, January 8th. They set an equal weight rating and a $24.00 price objective for the company. Barclays reduced their price objective on Kennametal from $26.00 to $25.00 and set an equal weight rating for the company in a research report on Thursday. JPMorgan Chase & Co. reduced their target price on Kennametal from $26.00 to $24.00 and set an underweight rating for the company in a report on Thursday. Finally, The Goldman Sachs Group reduced their target price on Kennametal from $26.00 to $23.00 and set a sell rating for the company in a report on Thursday, November 2nd. Two analysts have rated the stock with a sell rating, two have given a hold rating and one has assigned a buy rating to the stock. According to MarketBeat.com, Kennametal currently has a consensus rating of Hold and a consensus price target of $24.75.

Read Our Latest Analysis on KMT

Kennametal Trading Up 3.3 %

KMT opened at $24.58 on Friday. The stock has a market cap of $1.96 billion, a PE ratio of 16.39, a PEG ratio of 3.01 and a beta of 1.79. The company has a quick ratio of 1.05, a current ratio of 2.44 and a debt-to-equity ratio of 0.45. The business has a 50 day moving average of $24.99 and a 200-day moving average of $25.04. Kennametal has a 52 week low of $22.08 and a 52 week high of $30.60.

Kennametal (NYSE:KMTGet Free Report) last released its earnings results on Wednesday, February 7th. The industrial products company reported $0.30 EPS for the quarter, beating analysts’ consensus estimates of $0.25 by $0.05. Kennametal had a return on equity of 9.94% and a net margin of 5.86%. The company had revenue of $495.30 million during the quarter, compared to analysts’ expectations of $498.99 million. During the same quarter last year, the business posted $0.27 EPS. The firm’s revenue for the quarter was down .4% compared to the same quarter last year. Equities research analysts predict that Kennametal will post 1.63 earnings per share for the current fiscal year.

Kennametal announced that its Board of Directors has approved a stock buyback program on Wednesday, February 7th that permits the company to repurchase $200.00 million in shares. This repurchase authorization permits the industrial products company to reacquire up to 10.6% of its shares through open market purchases. Shares repurchase programs are typically a sign that the company’s board of directors believes its stock is undervalued.

Kennametal Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, February 27th. Investors of record on Tuesday, February 13th will be issued a $0.20 dividend. This represents a $0.80 annualized dividend and a dividend yield of 3.25%. The ex-dividend date is Monday, February 12th. Kennametal’s payout ratio is currently 53.33%.

Hedge Funds Weigh In On Kennametal

Institutional investors and hedge funds have recently bought and sold shares of the stock. Jackson Creek Investment Advisors LLC purchased a new position in Kennametal during the second quarter valued at $940,000. Jump Financial LLC lifted its position in shares of Kennametal by 946.7% in the third quarter. Jump Financial LLC now owns 81,300 shares of the industrial products company’s stock valued at $2,023,000 after acquiring an additional 73,533 shares in the last quarter. Inspire Investing LLC lifted its position in shares of Kennametal by 11.6% in the second quarter. Inspire Investing LLC now owns 11,040 shares of the industrial products company’s stock valued at $313,000 after acquiring an additional 1,146 shares in the last quarter. Comerica Bank purchased a new position in shares of Kennametal in the second quarter valued at about $68,450,000. Finally, ARK Investment Management LLC bought a new stake in shares of Kennametal in the third quarter worth about $161,000.

Kennametal Company Profile

(Get Free Report)

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.

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