Analysts Expect Kennametal Inc. (KMT) to Announce $0.69 EPS

Equities research analysts expect that Kennametal Inc. (NYSE:KMT) will post earnings per share of $0.69 for the current fiscal quarter, according to Zacks. Five analysts have provided estimates for Kennametal’s earnings, with the highest EPS estimate coming in at $0.72 and the lowest estimate coming in at $0.67. Kennametal posted earnings of $0.52 per share in the same quarter last year, which would indicate a positive year-over-year growth rate of 32.7%. The business is expected to issue its next quarterly earnings report on Thursday, February 7th.

According to Zacks, analysts expect that Kennametal will report full-year earnings of $3.13 per share for the current financial year, with EPS estimates ranging from $2.91 to $3.30. For the next financial year, analysts expect that the company will report earnings of $3.55 per share, with EPS estimates ranging from $3.28 to $3.90. Zacks Investment Research’s EPS averages are an average based on a survey of sell-side research analysts that follow Kennametal.

Kennametal (NYSE:KMT) last announced its earnings results on Monday, November 5th. The industrial products company reported $0.70 earnings per share for the quarter, topping the Thomson Reuters’ consensus estimate of $0.65 by $0.05. The company had revenue of $587.00 million during the quarter, compared to analyst estimates of $590.22 million. Kennametal had a net margin of 9.03% and a return on equity of 19.03%. Kennametal’s revenue was up 8.3% compared to the same quarter last year. During the same quarter last year, the firm posted $0.48 earnings per share.

KMT has been the subject of several research analyst reports. Longbow Research raised shares of Kennametal from a “neutral” rating to a “buy” rating and set a $50.00 target price for the company in a research note on Monday, September 10th. ValuEngine lowered shares of Kennametal from a “hold” rating to a “sell” rating in a research note on Friday, October 12th. Goldman Sachs Group initiated coverage on shares of Kennametal in a research note on Tuesday, October 2nd. They set a “buy” rating and a $53.00 target price for the company. Stifel Nicolaus reaffirmed a “hold” rating and set a $47.00 target price on shares of Kennametal in a research note on Thursday, August 9th. Finally, Bank of America lowered their target price on shares of Kennametal from $40.00 to $35.00 and set an “underperform” rating for the company in a research note on Tuesday. One analyst has rated the stock with a sell rating, six have assigned a hold rating and six have issued a buy rating to the company’s stock. Kennametal has a consensus rating of “Hold” and an average price target of $48.50.

Shares of KMT stock opened at $41.31 on Tuesday. The company has a quick ratio of 1.15, a current ratio of 2.55 and a debt-to-equity ratio of 0.47. The stock has a market cap of $3.20 billion, a price-to-earnings ratio of 15.59, a P/E/G ratio of 2.52 and a beta of 2.12. Kennametal has a 1-year low of $32.91 and a 1-year high of $52.52.

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, November 28th. Stockholders of record on Tuesday, November 13th will be given a dividend of $0.20 per share. The ex-dividend date of this dividend is Friday, November 9th. This represents a $0.80 annualized dividend and a dividend yield of 1.94%. Kennametal’s dividend payout ratio is presently 30.19%.

In other news, VP Michelle R. Keating sold 988 shares of the stock in a transaction dated Monday, September 10th. The shares were sold at an average price of $42.20, for a total transaction of $41,693.60. Following the sale, the vice president now owns 14,676 shares of the company’s stock, valued at $619,327.20. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, VP Gaalen Jan Kees Van sold 13,606 shares of the stock in a transaction dated Wednesday, September 5th. The stock was sold at an average price of $41.09, for a total transaction of $559,070.54. Following the sale, the vice president now directly owns 68,827 shares in the company, valued at approximately $2,828,101.43. The disclosure for this sale can be found here. 2.00% of the stock is currently owned by corporate insiders.

Institutional investors and hedge funds have recently modified their holdings of the company. Moneta Group Investment Advisors LLC lifted its position in shares of Kennametal by 105.3% during the second quarter. Moneta Group Investment Advisors LLC now owns 3,510 shares of the industrial products company’s stock worth $126,000 after purchasing an additional 1,800 shares in the last quarter. Advisors Asset Management Inc. raised its holdings in Kennametal by 169.2% in the second quarter. Advisors Asset Management Inc. now owns 4,316 shares of the industrial products company’s stock valued at $155,000 after acquiring an additional 2,713 shares in the last quarter. Gillespie Robinson & Grimm Inc. acquired a new stake in Kennametal in the third quarter valued at approximately $242,000. Caption Management LLC acquired a new stake in Kennametal in the second quarter valued at approximately $215,000. Finally, Gryphon Financial Partners LLC acquired a new stake in Kennametal in the third quarter valued at approximately $343,000.

About Kennametal

Kennametal Inc develops and applies tungsten carbides, ceramics, super-hard materials, and solutions for use in metal cutting and mission-critical wear applications to combat extreme conditions related with wear fatigue, corrosion, and high temperatures worldwide. The company operates through three segments: Industrial, Widia, and Infrastructure.

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