50,347 Shares in Kennametal Inc. $KMT Bought by Freestone Grove Partners LP

Key Points

• Freestone Grove Partners LP acquired 50,347 Kennametal shares worth approximately $1.765 million, representing about 0.07% of the company. Other institutions, including BlackRock and William Blair, also initiated or increased positions.
• Kennametal reported quarterly earnings of $2.96 per share, exceeding estimates of $2.31, while revenue rose 42.6% year over year to $736.61 million. The company also maintained its quarterly dividend at $0.20 per share, implying a 2.7% yield.
• Analyst sentiment remains cautious, with five Hold and four Sell ratings producing a consensus “Reduce” rating and an average price target of $34.07. Meanwhile, company insiders sold 47,000 shares worth roughly $1.58 million over the past three months.

Freestone Grove Partners LP bought a new stake in Kennametal Inc. (NYSE:KMT - Free Report) during the second quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The firm bought 50,347 shares of the industrial products company's stock, valued at approximately $1,765,000. Freestone Grove Partners LP owned about 0.07% of Kennametal at the end of the most recent quarter.

A number of other institutional investors have also recently added to or reduced their stakes in KMT. BlackRock Inc. acquired a new stake in Kennametal during the second quarter worth about $440,446,000. Dimensional Fund Advisors LP lifted its stake in shares of Kennametal by 2.1% in the 4th quarter. Dimensional Fund Advisors LP now owns 4,750,538 shares of the industrial products company's stock valued at $134,964,000 after purchasing an additional 96,888 shares in the last quarter. State Street Corp lifted its stake in shares of Kennametal by 0.3% in the 4th quarter. State Street Corp now owns 2,899,770 shares of the industrial products company's stock valued at $82,382,000 after purchasing an additional 9,963 shares in the last quarter. Arrowstreet Capital Limited Partnership grew its holdings in shares of Kennametal by 15.4% during the 1st quarter. Arrowstreet Capital Limited Partnership now owns 2,298,349 shares of the industrial products company's stock worth $83,039,000 after purchasing an additional 307,209 shares during the period. Finally, William Blair Investment Management LLC purchased a new stake in shares of Kennametal during the 2nd quarter worth about $69,614,000.

Insiders Place Their Bets

In other news, VP Judith L. Bacchus sold 5,488 shares of the stock in a transaction that occurred on Monday, June 15th. The stock was sold at an average price of $35.94, for a total transaction of $197,238.72. Following the completion of the transaction, the vice president directly owned 4,554 shares in the company, valued at approximately $163,670.76. This represents a 54.65% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, Director Sagar A. Patel sold 29,499 shares of the stock in a transaction that occurred on Monday, June 8th. The shares were sold at an average price of $33.50, for a total value of $988,216.50. The SEC filing for this sale provides additional information. Insiders have sold 47,000 shares of company stock worth $1,583,326 in the last three months. 1.43% of the stock is owned by insiders.

Kennametal Price Performance

KMT stock opened at $29.52 on Friday. The company has a debt-to-equity ratio of 0.42, a quick ratio of 0.98 and a current ratio of 2.62. Kennametal Inc. has a 1 year low of $20.35 and a 1 year high of $43.81. The firm has a market cap of $2.25 billion, a P/E ratio of 6.71, a price-to-earnings-growth ratio of 0.29 and a beta of 1.36. The stock has a 50-day simple moving average of $33.19 and a 200-day simple moving average of $35.84.

Kennametal (NYSE:KMT - Get Free Report) last posted its earnings results on Wednesday, August 5th. The industrial products company reported $2.96 EPS for the quarter, topping analysts' consensus estimates of $2.31 by $0.65. The business had revenue of $736.61 million for the quarter, compared to analysts' expectations of $725.74 million. Kennametal had a net margin of 14.53% and a return on equity of 24.83%. The business's revenue for the quarter was up 42.6% compared to the same quarter last year. During the same period in the previous year, the company posted $0.34 earnings per share. Kennametal has set its Q1 2027 guidance at 2.500-2.800 EPS and its FY 2027 guidance at 4.150-5.150 EPS. On average, equities analysts predict that Kennametal Inc. will post 4.82 earnings per share for the current fiscal year.

Kennametal Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, August 25th. Shareholders of record on Tuesday, August 11th were paid a dividend of $0.20 per share. This represents a $0.80 dividend on an annualized basis and a yield of 2.7%. The ex-dividend date was Tuesday, August 11th. Kennametal's dividend payout ratio (DPR) is 18.18%.

Analyst Ratings Changes

KMT has been the topic of several research reports. DA Davidson cut their price target on shares of Kennametal from $34.00 to $30.00 and set a "neutral" rating on the stock in a report on Tuesday, August 11th. UBS Group decreased their price objective on shares of Kennametal from $39.00 to $35.00 and set a "neutral" rating for the company in a research note on Monday, August 10th. Jefferies Financial Group lowered shares of Kennametal from a "buy" rating to a "hold" rating and set a $47.50 price objective for the company. in a research report on Thursday, May 7th. Zacks Research downgraded shares of Kennametal from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, July 14th. Finally, JPMorgan Chase & Co. cut their target price on shares of Kennametal from $40.00 to $34.00 and set an "underweight" rating on the stock in a research note on Monday, July 13th. Five analysts have rated the stock with a Hold rating and four have issued a Sell rating to the company. According to data from MarketBeat, the company presently has a consensus rating of "Reduce" and an average price target of $34.07.

About Kennametal

Kennametal Inc is a global industrial technology company that designs and manufactures advanced materials, tooling systems, and engineered components for a range of demanding applications. Its solutions support precision metalworking, earthmoving, and wear-resistant environments, catering to customers seeking enhanced productivity, longer tool life, and reduced operating costs.

The company's product portfolio spans indexable cutting tools, solid round tools, tool holders, metalworking fluid systems, wear parts, ceramics and composites, and custom-engineered components.

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