Kennametal (NYSE:KMT) Issues Quarterly Earnings Results, Misses Expectations By $0.02 EPS

Kennametal (NYSE:KMT) announced its earnings results on Monday. The industrial products company reported $0.84 earnings per share for the quarter, missing the consensus estimate of $0.86 by ($0.02), Bloomberg Earnings reports. Kennametal had a return on equity of 19.66% and a net margin of 10.28%. The business had revenue of $603.95 million for the quarter, compared to analysts’ expectations of $643.95 million. During the same period in the previous year, the company earned $0.87 earnings per share. Kennametal’s quarterly revenue was down 6.5% on a year-over-year basis. Kennametal updated its FY 2019 guidance to $2.80-3.20 EPS and its FY20 guidance to $2.80-3.20 EPS.

Shares of NYSE KMT traded down $0.33 during mid-day trading on Tuesday, reaching $31.12. The company had a trading volume of 880,006 shares, compared to its average volume of 895,297. The company has a current ratio of 2.70, a quick ratio of 1.34 and a debt-to-equity ratio of 0.43. The stock has a 50 day simple moving average of $34.57. The stock has a market cap of $2.76 billion, a PE ratio of 11.74, a P/E/G ratio of 1.23 and a beta of 2.24. Kennametal has a 52-week low of $30.32 and a 52-week high of $45.10.

Several equities research analysts recently weighed in on the stock. KeyCorp cut their target price on shares of Kennametal from $52.00 to $47.00 and set an “overweight” rating on the stock in a research note on Wednesday, May 8th. Goldman Sachs Group downgraded shares of Kennametal from a “buy” rating to a “sell” rating and dropped their price objective for the company from $43.00 to $30.00 in a research report on Tuesday, July 16th. ValuEngine downgraded shares of Kennametal from a “hold” rating to a “sell” rating in a research report on Wednesday, July 3rd. Bank of America reissued an “underperform” rating and issued a $27.00 price objective (down from $30.00) on shares of Kennametal in a research report on Tuesday. Finally, Zacks Investment Research downgraded shares of Kennametal from a “hold” rating to a “sell” rating in a research report on Wednesday, May 8th. Four investment analysts have rated the stock with a sell rating, two have issued a hold rating and three have assigned a buy rating to the company’s stock. Kennametal has an average rating of “Hold” and a consensus price target of $42.13.

In related news, Director Lawrence W. Stranghoener sold 7,000 shares of the stock in a transaction on Thursday, June 6th. The shares were sold at an average price of $31.98, for a total transaction of $223,860.00. Following the completion of the sale, the director now owns 26,108 shares in the company, valued at approximately $834,933.84. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Company insiders own 2.00% of the company’s stock.

Large investors have recently modified their holdings of the stock. Manchester Capital Management LLC acquired a new stake in Kennametal during the 1st quarter worth $29,000. Manchester Financial Inc. acquired a new stake in shares of Kennametal in the 2nd quarter worth $30,000. Advisory Services Network LLC acquired a new stake in shares of Kennametal in the 2nd quarter worth $31,000. First Mercantile Trust Co. acquired a new stake in shares of Kennametal in the 1st quarter worth $53,000. Finally, Brand Asset Management Group Inc. lifted its stake in shares of Kennametal by 945.3% in the 1st quarter. Brand Asset Management Group Inc. now owns 4,035 shares of the industrial products company’s stock worth $564,000 after acquiring an additional 3,649 shares during the period. Hedge funds and other institutional investors own 98.50% of the company’s stock.

Kennametal Company Profile

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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Earnings History for Kennametal (NYSE:KMT)

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