968,586 Shares in Kennametal Inc. $KMT Purchased by Bank of New York Mellon Corp

Key Points

• Bank of New York Mellon purchased 968,586 Kennametal shares worth approximately $33.9 million, giving it a 1.27% stake. Several other institutional investors also increased their positions.
• Analyst sentiment remains cautious: Kennametal has a consensus “Reduce” rating, with five Hold and four Sell ratings and an average price target of $34.07. Shares opened at $29.52, down 2.3%.
• Kennametal beat quarterly earnings and revenue expectations, reporting $2.96 in EPS and $736.6 million in revenue, while revenue rose 42.6% year over year. The company also maintained a quarterly dividend of $0.20, equivalent to a 2.7% annual yield.

Bank of New York Mellon Corp purchased a new stake in Kennametal Inc. (NYSE:KMT - Free Report) in the 2nd quarter, according to its most recent filing with the Securities & Exchange Commission. The fund purchased 968,586 shares of the industrial products company's stock, valued at approximately $33,949,000. Bank of New York Mellon Corp owned approximately 1.27% of Kennametal as of its most recent filing with the Securities & Exchange Commission.

Several other hedge funds and other institutional investors have also added to or reduced their stakes in KMT. Dimensional Fund Advisors LP lifted its stake in Kennametal by 2.1% during the fourth quarter. Dimensional Fund Advisors LP now owns 4,750,538 shares of the industrial products company's stock worth $134,964,000 after purchasing an additional 96,888 shares during the last quarter. State Street Corp lifted its holdings in Kennametal by 0.3% in the fourth quarter. State Street Corp now owns 2,899,770 shares of the industrial products company's stock worth $82,382,000 after buying an additional 9,963 shares during the period. Arrowstreet Capital Limited Partnership raised its holdings in Kennametal by 15.4% in the first 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 in the last quarter. Wellington Management Group LLP boosted its position in shares of Kennametal by 20.7% in the 3rd quarter. Wellington Management Group LLP now owns 1,546,374 shares of the industrial products company's stock worth $32,366,000 after purchasing an additional 265,664 shares in the last quarter. Finally, Medina Value Partners LLC raised its position in shares of Kennametal by 72.7% in the 4th quarter. Medina Value Partners LLC now owns 968,294 shares of the industrial products company's stock worth $27,509,000 after purchasing an additional 407,487 shares during the last quarter.

Insider Buying and Selling

In other Kennametal news, Director Sagar A. Patel sold 29,499 shares of the company's stock in a transaction dated Monday, June 8th. The shares were sold at an average price of $33.50, for a total value of $988,216.50. The sale was disclosed in a filing with the SEC, which is available through this link. Also, VP Judith L. Bacchus sold 5,488 shares of the firm's 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 transaction, the vice president directly owned 4,554 shares in the company, valued at approximately $163,670.76. This trade represents a 54.65% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 47,000 shares of company stock valued at $1,583,326 in the last 90 days. Company insiders own 1.43% of the company's stock.

Analyst Upgrades and Downgrades

Several equities research analysts recently commented on the company. JPMorgan Chase & Co. dropped their price objective on Kennametal from $40.00 to $34.00 and set an "underweight" rating on the stock in a research report on Monday, July 13th. UBS Group lowered their price objective on shares of Kennametal from $39.00 to $35.00 and set a "neutral" rating on the stock in a research note on Monday, August 10th. Barclays downgraded shares of Kennametal from an "equal weight" rating to an "underweight" rating and dropped their price objective for the stock from $40.00 to $33.00 in a report on Wednesday, May 27th. DA Davidson cut their target price on shares of Kennametal from $34.00 to $30.00 and set a "neutral" rating for the company in a research report on Tuesday, August 11th. Finally, Zacks Research cut shares of Kennametal from a "strong-buy" rating to a "hold" rating in a report on Tuesday, July 14th. Five equities research analysts have rated the stock with a Hold rating and four have issued a Sell rating to the stock. According to data from MarketBeat, the stock presently has a consensus rating of "Reduce" and a consensus target price of $34.07.

Kennametal Stock Down 2.3%

Shares of KMT opened at $29.52 on Friday. The company has a quick ratio of 0.98, a current ratio of 2.62 and a debt-to-equity ratio of 0.42. The business has a fifty day moving average of $33.19 and a 200 day moving average of $35.84. The company has a market cap of $2.25 billion, a PE ratio of 6.71, a P/E/G ratio of 0.30 and a beta of 1.36. Kennametal Inc. has a 52-week low of $20.35 and a 52-week high of $43.81.

Kennametal (NYSE:KMT - Get Free Report) last posted its quarterly earnings data on Wednesday, August 5th. The industrial products company reported $2.96 earnings per share for the quarter, beating 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 was up 42.6% compared to the same quarter last year. During the same quarter in the previous year, the business 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, sell-side analysts expect that Kennametal Inc. will post 4.82 EPS for the current year.

Kennametal Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Tuesday, August 25th. Stockholders of record on Tuesday, August 11th were issued a $0.20 dividend. The ex-dividend date was Tuesday, August 11th. This represents a $0.80 dividend on an annualized basis and a dividend yield of 2.7%. Kennametal's dividend payout ratio is presently 18.18%.

Kennametal Profile

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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