Kennametal (NYSE:KMT) Cut to “Hold” at StockNews.com

StockNews.com downgraded shares of Kennametal (NYSE:KMT – Get Rating) from a buy rating to a hold rating in a research report released on Wednesday morning.

Other equities research analysts have also recently issued reports about the stock. JPMorgan Chase & Co. reduced their target price on shares of Kennametal from $31.00 to $22.00 and set an underweight rating for the company in a research report on Tuesday, July 12th. Barclays reduced their target price on shares of Kennametal from $26.00 to $25.00 in a research report on Wednesday. Jefferies Financial Group reduced their target price on shares of Kennametal from $45.00 to $35.00 in a research report on Friday, July 15th. The Goldman Sachs Group cut their price objective on shares of Kennametal from $27.00 to $23.00 and set a sell rating for the company in a research report on Thursday, June 23rd. Finally, Morgan Stanley cut their price objective on shares of Kennametal from $32.00 to $27.00 and set an equal weight rating for the company in a research report on Monday, July 18th. Three analysts have rated the stock with a sell rating, six have given a hold rating and one has assigned a buy rating to the company’s stock. According to MarketBeat.com, the stock presently has an average rating of Hold and a consensus price target of $28.56.

Kennametal Stock Performance

KMT opened at $26.24 on Wednesday. The company has a quick ratio of 1.05, a current ratio of 2.11 and a debt-to-equity ratio of 0.46. The company has a market cap of $2.17 billion, a price-to-earnings ratio of 15.26, a PEG ratio of 2.70 and a beta of 1.90. Kennametal has a 52-week low of $21.62 and a 52-week high of $41.22. The firm’s fifty day simple moving average is $25.01 and its two-hundred day simple moving average is $28.09.

Kennametal (NYSE:KMT – Get Rating) last posted its quarterly earnings data on Monday, August 1st. The industrial products company reported $0.53 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.46 by $0.07. The business had revenue of $530.02 million for the quarter, compared to the consensus estimate of $516.09 million. Kennametal had a net margin of 7.19% and a return on equity of 11.10%. The company’s revenue was up 2.7% compared to the same quarter last year. During the same period last year, the firm posted $0.53 earnings per share. Equities analysts anticipate that Kennametal will post 1.96 earnings per share for the current fiscal year.

Kennametal Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, August 23rd. Stockholders of record on Tuesday, August 9th will be paid a $0.20 dividend. This represents a $0.80 annualized dividend and a dividend yield of 3.05%. The ex-dividend date of this dividend is Monday, August 8th. Kennametal’s payout ratio is 46.51%.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in the business. Profund Advisors LLC boosted its stake in shares of Kennametal by 5.4% in the fourth quarter. Profund Advisors LLC now owns 6,498 shares of the industrial products company’s stock valued at $233,000 after purchasing an additional 330 shares during the period. Raymond James & Associates boosted its stake in shares of Kennametal by 5.8% in the fourth quarter. Raymond James & Associates now owns 8,164 shares of the industrial products company’s stock valued at $293,000 after purchasing an additional 448 shares during the period. Cornercap Investment Counsel Inc. boosted its stake in shares of Kennametal by 1.5% in the first quarter. Cornercap Investment Counsel Inc. now owns 30,343 shares of the industrial products company’s stock valued at $868,000 after purchasing an additional 449 shares during the period. Comerica Bank lifted its stake in Kennametal by 1.0% in the first quarter. Comerica Bank now owns 55,653 shares of the industrial products company’s stock worth $1,584,000 after acquiring an additional 550 shares during the last quarter. Finally, Yousif Capital Management LLC lifted its stake in Kennametal by 1.3% in the first quarter. Yousif Capital Management LLC now owns 44,482 shares of the industrial products company’s stock worth $1,273,000 after acquiring an additional 550 shares during the last quarter.

About Kennametal

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Kennametal Inc develops and applies 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. It operates through two segments, Metal Cutting and Infrastructure.