Rhumbline Advisers Reduces Position in Kennametal Inc. $KMT

Key Points

• Rhumbline Advisers has reduced its stake in Kennametal Inc. by 12.0%, now holding 233,299 shares, following the sale of 31,942 shares during the first quarter.
• Wall Street analysts have mixed views on Kennametal, with ratings ranging from "underweight" by JPMorgan to "neutral" by UBS, resulting in an average price target of $24.00.
• Kennametal recently reported a miss in earnings per share of $0.34, below the estimate of $0.40, with revenue declining by 4.9% year-over-year.

Rhumbline Advisers lessened its stake in shares of Kennametal Inc. (NYSE:KMT - Free Report) by 12.0% during the 1st quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The fund owned 233,299 shares of the industrial products company's stock after selling 31,942 shares during the period. Rhumbline Advisers owned approximately 0.31% of Kennametal worth $4,969,000 at the end of the most recent reporting period.

Other large investors also recently bought and sold shares of the company. Mackenzie Financial Corp grew its position in Kennametal by 557.1% during the 1st quarter. Mackenzie Financial Corp now owns 77,877 shares of the industrial products company's stock worth $1,659,000 after purchasing an additional 66,025 shares during the last quarter. Ieq Capital LLC purchased a new stake in Kennametal during the 1st quarter worth approximately $307,000. Janney Montgomery Scott LLC grew its position in Kennametal by 17.8% during the 1st quarter. Janney Montgomery Scott LLC now owns 13,242 shares of the industrial products company's stock worth $282,000 after purchasing an additional 2,000 shares during the last quarter. Nuveen LLC purchased a new stake in Kennametal during the 1st quarter worth approximately $3,949,000. Finally, GAMMA Investing LLC grew its position in Kennametal by 699.1% during the 1st quarter. GAMMA Investing LLC now owns 11,651 shares of the industrial products company's stock worth $248,000 after purchasing an additional 10,193 shares during the last quarter.

Wall Street Analysts Forecast Growth

KMT has been the subject of several research reports. JPMorgan Chase & Co. decreased their price objective on shares of Kennametal from $23.00 to $20.00 and set an "underweight" rating for the company in a research note on Thursday, August 7th. Loop Capital restated a "hold" rating and set a $24.00 price objective (up from $21.00) on shares of Kennametal in a research note on Wednesday, June 25th. UBS Group upgraded shares of Kennametal from a "sell" rating to a "neutral" rating and lifted their price objective for the company from $19.00 to $21.00 in a research note on Friday, August 15th. Finally, Zacks Research upgraded shares of Kennametal to a "strong sell" rating in a research note on Monday, August 11th. Five analysts have rated the stock with a Hold rating and three have issued 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.

Kennametal Price Performance

Shares of Kennametal stock traded up $0.64 during trading hours on Thursday, reaching $21.27. 872,910 shares of the company's stock were exchanged, compared to its average volume of 783,907. Kennametal Inc. has a 1 year low of $17.30 and a 1 year high of $32.18. The company has a market capitalization of $1.62 billion, a P/E ratio of 17.73, a price-to-earnings-growth ratio of 3.62 and a beta of 1.44. The business has a fifty day moving average of $22.44 and a two-hundred day moving average of $21.65. The company has a quick ratio of 1.19, a current ratio of 2.46 and a debt-to-equity ratio of 0.45.

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

Kennametal Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, August 26th. Stockholders of record on Tuesday, August 12th were issued a dividend of $0.20 per share. The ex-dividend date of this dividend was Tuesday, August 12th. This represents a $0.80 dividend on an annualized basis and a dividend yield of 3.8%. Kennametal's dividend payout ratio is presently 66.67%.

Kennametal Company Profile

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.