Kadant (NYSE:KAI) Updates FY19 Earnings Guidance

Kadant (NYSE:KAI) issued an update on its FY19 earnings guidance on Tuesday morning. The company provided earnings per share guidance of $5.26-5.38 for the period, compared to the Thomson Reuters consensus earnings per share estimate of $5.38. The company issued revenue guidance of $700-710 million, compared to the consensus revenue estimate of $705.19 million.Kadant also updated its FY 2019 guidance to $5.26-5.38 EPS.

NYSE:KAI traded up $0.77 during mid-day trading on Tuesday, hitting $87.04. The company’s stock had a trading volume of 70,100 shares, compared to its average volume of 68,616. Kadant has a 1 year low of $76.44 and a 1 year high of $111.85. The company has a current ratio of 2.07, a quick ratio of 1.35 and a debt-to-equity ratio of 0.94. The company has a market capitalization of $969.49 million, a PE ratio of 15.77 and a beta of 1.24. The business’s fifty day moving average price is $89.22.

Kadant (NYSE:KAI) last posted its quarterly earnings results on Monday, April 29th. The industrial products company reported $1.24 EPS for the quarter, beating the consensus estimate of $1.13 by $0.11. Kadant had a net margin of 9.22% and a return on equity of 17.26%. The company had revenue of $171.30 million for the quarter, compared to analyst estimates of $164.37 million. During the same period in the prior year, the company earned $1.07 earnings per share. The firm’s revenue was up 14.8% on a year-over-year basis. On average, equities research analysts predict that Kadant will post 5.31 EPS for the current fiscal year.

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, August 8th. Shareholders of record on Thursday, July 11th will be given a $0.23 dividend. The ex-dividend date is Wednesday, July 10th. This represents a $0.92 dividend on an annualized basis and a dividend yield of 1.06%.

KAI has been the subject of a number of analyst reports. Zacks Investment Research downgraded shares of HEXO from a hold rating to a sell rating in a research report on Wednesday, May 15th. ValuEngine upgraded shares of XPO Logistics from a strong sell rating to a sell rating in a research report on Thursday, April 4th. Finally, Seaport Global Securities downgraded shares of Kadant from a buy rating to a neutral rating and set a $97.09 price objective for the company. in a research report on Thursday, May 2nd. Three investment analysts have rated the stock with a hold rating and two have issued a buy rating to the stock. The stock has a consensus rating of Hold and a consensus price target of $103.55.

In related news, CEO Jonathan W. Painter sold 10,096 shares of the company’s stock in a transaction dated Friday, May 17th. The shares were sold at an average price of $88.73, for a total transaction of $895,818.08. Following the completion of the transaction, the chief executive officer now owns 101,437 shares in the company, valued at approximately $9,000,505.01. The transaction was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, CEO Jonathan W. Painter sold 16,243 shares of the company’s stock in a transaction dated Tuesday, June 18th. The stock was sold at an average price of $90.50, for a total transaction of $1,469,991.50. Following the transaction, the chief executive officer now owns 95,259 shares of the company’s stock, valued at approximately $8,620,939.50. The disclosure for this sale can be found here. In the last quarter, insiders sold 81,949 shares of company stock valued at $7,392,752. Insiders own 5.50% of the company’s stock.

About Kadant

Kadant Inc supplies equipment and critical components used in papermaking, paper recycling, recycling and waste management, and other process industries worldwide. The company operates in two segments, Papermaking Systems and Wood Processing Systems. The Papermaking Systems segment develops, manufactures, and markets custom-engineered stock-preparation systems and equipment for the preparation of wastepaper for conversion into recycled paper and balers, as well as related equipment used in the processing of recyclable and waste materials; and fluid-handling systems and equipment used in industrial piping systems to compensate for movement, as well as to transfer fluid, power, and data.

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Earnings History and Estimates for Kadant (NYSE:KAI)

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