Kennametal Inc. $KMT Shares Bought by Bank of America Corp DE

Key Points

• Bank of America increased its Kennametal stake by 52.7% in the first quarter, acquiring 278,170 additional shares and bringing its holding to 805,554 shares valued at approximately $29.1 million.
• Kennametal reported quarterly EPS of $2.96, beating estimates of $2.31, while revenue rose 42.6% year over year to $736.6 million. The company declared a quarterly dividend of $0.20, equivalent to a 2.6% annualized yield.
• Analyst sentiment remains cautious: five analysts rate the stock Hold and four rate it Sell, producing a “Reduce” consensus rating and an average price target of $34.07. Meanwhile, company insiders sold 47,000 shares worth about $1.58 million over the past three months.

Bank of America Corp DE raised its stake in Kennametal Inc. (NYSE:KMT - Free Report) by 52.7% during the 1st quarter, according to its most recent filing with the Securities and Exchange Commission. The fund owned 805,554 shares of the industrial products company's stock after purchasing an additional 278,170 shares during the quarter. Bank of America Corp DE owned 1.06% of Kennametal worth $29,105,000 at the end of the most recent reporting period.

A number of other institutional investors have also modified their holdings of KMT. Edgestream Partners L.P. acquired a new position in Kennametal in the 1st quarter valued at $2,958,000. Amundi increased its stake in shares of Kennametal by 92.6% during the first quarter. Amundi now owns 47,229 shares of the industrial products company's stock worth $1,706,000 after acquiring an additional 22,705 shares during the period. California State Teachers Retirement System raised its holdings in Kennametal by 25.6% during the first quarter. California State Teachers Retirement System now owns 86,082 shares of the industrial products company's stock worth $3,110,000 after purchasing an additional 17,566 shares in the last quarter. Royal Bank of Canada raised its holdings in Kennametal by 21.1% during the first quarter. Royal Bank of Canada now owns 32,010 shares of the industrial products company's stock worth $1,156,000 after purchasing an additional 5,575 shares in the last quarter. Finally, Empowered Funds LLC lifted its position in Kennametal by 4.4% in the first quarter. Empowered Funds LLC now owns 377,627 shares of the industrial products company's stock valued at $13,644,000 after purchasing an additional 15,861 shares during the period.

Insider Buying and Selling at Kennametal

In other news, VP Carlonda R. Reilly sold 12,013 shares of the firm's stock in a transaction on Tuesday, June 2nd. The stock was sold at an average price of $33.12, for a total transaction of $397,870.56. Following the sale, the vice president owned 25,143 shares in the company, valued at $832,736.16. This trade represents a 32.33% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, VP Judith L. Bacchus sold 5,488 shares of Kennametal stock in a transaction on Monday, June 15th. The shares were sold at an average price of $35.94, for a total value of $197,238.72. Following the completion of the sale, the vice president directly owned 4,554 shares of the company's stock, valued at approximately $163,670.76. This represents a 54.65% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last three months, insiders sold 47,000 shares of company stock worth $1,583,326. Insiders own 1.43% of the company's stock.

Wall Street Analysts Forecast Growth

A number of brokerages have weighed in on KMT. JPMorgan Chase & Co. lowered their price objective on Kennametal from $40.00 to $34.00 and set an "underweight" rating on the stock in a report on Monday, July 13th. Weiss Ratings downgraded Kennametal from a "buy (b-)" rating to a "hold (c+)" rating in a research note on Wednesday, May 20th. Morgan Stanley cut Kennametal from an "equal weight" rating to an "underweight" rating and reduced their price target for the company from $31.00 to $27.00 in a report on Monday, August 10th. DA Davidson dropped their price objective on Kennametal from $34.00 to $30.00 and set a "neutral" rating on the stock in a report on Tuesday, August 11th. Finally, Barclays cut Kennametal from an "equal weight" rating to an "underweight" rating and cut their price objective for the stock from $40.00 to $33.00 in a research report on Wednesday, May 27th. Five research analysts have rated the stock with a Hold rating and four have assigned a Sell rating to the company. According to MarketBeat, the company presently has an average rating of "Reduce" and an average target price of $34.07.

Kennametal Price Performance

Shares of NYSE KMT opened at $31.21 on Monday. The company's 50-day moving average price is $34.20 and its 200 day moving average price is $36.27. The stock has a market cap of $2.38 billion, a price-to-earnings ratio of 7.09, a PEG ratio of 0.31 and a beta of 1.36. Kennametal Inc. has a 52 week low of $20.35 and a 52 week high of $43.81. The company has a current ratio of 2.62, a quick ratio of 0.98 and a debt-to-equity ratio of 0.42.

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

Kennametal Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, August 25th. Shareholders of record on Tuesday, August 11th will be issued a $0.20 dividend. The ex-dividend date is Tuesday, August 11th. This represents a $0.80 annualized dividend and a yield of 2.6%. Kennametal's payout ratio is 18.18%.

Kennametal Company 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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