Fox Run Management L.L.C. Invests $259,000 in Kennametal Inc. $KMT

Key Points

• Fox Run Management L.L.C. acquired 12,146 shares of Kennametal Inc. during the first quarter, totaling approximately $259,000 in investment.
• Kennametal reported earnings per share (EPS) of $0.34, missing analysts' expectations, and a revenue decline of 4.9% year-over-year.
• The company announced a quarterly dividend of $0.20 per share, yielding 3.8%, with a payout ratio of 66.67%.

Fox Run Management L.L.C. purchased a new position in shares of Kennametal Inc. (NYSE:KMT - Free Report) during the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund purchased 12,146 shares of the industrial products company's stock, valued at approximately $259,000.

Other institutional investors have also modified their holdings of the company. LPL Financial LLC increased its holdings in Kennametal by 29.3% during the 4th quarter. LPL Financial LLC now owns 17,566 shares of the industrial products company's stock worth $422,000 after purchasing an additional 3,978 shares during the last quarter. Wells Fargo & Company MN raised its holdings in Kennametal by 14.5% in the fourth quarter. Wells Fargo & Company MN now owns 58,316 shares of the industrial products company's stock valued at $1,401,000 after acquiring an additional 7,377 shares in the last quarter. Envestnet Asset Management Inc. boosted its stake in Kennametal by 13.4% during the 4th quarter. Envestnet Asset Management Inc. now owns 17,989 shares of the industrial products company's stock valued at $432,000 after acquiring an additional 2,130 shares during the last quarter. Bank of Montreal Can grew its holdings in Kennametal by 10.5% during the 4th quarter. Bank of Montreal Can now owns 9,437 shares of the industrial products company's stock worth $227,000 after acquiring an additional 898 shares in the last quarter. Finally, Invesco Ltd. increased its position in shares of Kennametal by 4.1% in the 4th quarter. Invesco Ltd. now owns 426,083 shares of the industrial products company's stock worth $10,235,000 after purchasing an additional 16,926 shares during the last quarter.

Kennametal Stock Performance

Shares of NYSE KMT traded down $0.07 during midday trading on Monday, reaching $21.56. 83,850 shares of the company traded hands, compared to its average volume of 1,083,756. The company has a market cap of $1.64 billion, a price-to-earnings ratio of 17.95, a PEG ratio of 3.80 and a beta of 1.44. The stock has a 50-day moving average price of $23.15 and a 200 day moving average price of $21.77. Kennametal Inc. has a 52 week low of $17.30 and a 52 week high of $32.18. The company has a debt-to-equity ratio of 0.45, a current ratio of 2.46 and a quick ratio of 1.19.

Kennametal (NYSE:KMT - Get Free Report) last released its earnings results on Wednesday, August 6th. The industrial products company reported $0.34 EPS for the quarter, missing the consensus estimate of $0.40 by ($0.06). The company had revenue of $516.45 million for the quarter, compared to analyst estimates of $527.52 million. Kennametal had a net margin of 4.73% and a return on equity of 8.09%. The firm's quarterly revenue was down 4.9% on a year-over-year basis. During the same period in the previous year, the business posted $0.49 EPS. Sell-side analysts anticipate that Kennametal Inc. will post 1.17 earnings per share for the current fiscal year.

Kennametal Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, August 26th. Shareholders of record on Tuesday, August 12th will be paid a dividend of $0.20 per share. This represents a $0.80 dividend on an annualized basis and a yield of 3.7%. The ex-dividend date of this dividend is Tuesday, August 12th. Kennametal's dividend payout ratio (DPR) is presently 66.67%.

Wall Street Analyst Weigh In

KMT has been the subject of a number of research reports. Barclays lifted their price target on Kennametal from $22.00 to $24.00 and gave the stock an "equal weight" rating in a research note on Monday, May 12th. Morgan Stanley lifted their price objective on shares of Kennametal from $20.00 to $21.00 and gave the stock an "equal weight" rating in a report on Monday, May 12th. Loop Capital reissued a "hold" rating and set a $24.00 target price (up from $21.00) on shares of Kennametal in a report on Wednesday, June 25th. Wall Street Zen raised shares of Kennametal from a "hold" rating to a "buy" rating in a research report on Friday, May 16th. Finally, UBS Group raised shares of Kennametal from a "sell" rating to a "neutral" rating and raised their target price for the stock from $19.00 to $21.00 in a report on Friday, August 15th. Five equities research analysts have rated the stock with a Hold rating and three have assigned a Sell rating to the company. According to MarketBeat.com, the company has a consensus rating of "Reduce" and a consensus target price of $24.00.

About Kennametal

Kennametal Inc engages in development and application of 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. The company operates through two segments, Metal Cutting and Infrastructure.