Principal Financial Group Inc. Has $13.38 Million Stock Position in Kennametal Inc. $KMT

Key Points

• Principal Financial Group reduced its Kennametal stake by 27.2% in the first quarter, selling 138,634 shares and ending with 370,331 shares worth about $13.38 million.
• Several insiders sold shares recently, including VP Carlonda R. Reilly and VP Judith L. Bacchus; over the last 90 days, insiders sold 47,000 shares valued at about $1.58 million.
• Analysts have turned more cautious on Kennametal, with multiple firms cutting ratings and price targets; the stock now carries an average "Reduce" rating and an average target price of $35.79.

Principal Financial Group Inc. cut its holdings in shares of Kennametal Inc. (NYSE:KMT - Free Report) by 27.2% in the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 370,331 shares of the industrial products company's stock after selling 138,634 shares during the period. Principal Financial Group Inc. owned approximately 0.49% of Kennametal worth $13,380,000 at the end of the most recent reporting period.

Several other large investors have also added to or reduced their stakes in KMT. Arrowstreet Capital Limited Partnership boosted its stake in Kennametal by 36.6% during the 3rd quarter. Arrowstreet Capital Limited Partnership now owns 1,887,048 shares of the industrial products company's stock valued at $39,496,000 after purchasing an additional 505,669 shares during the last quarter. Medina Value Partners LLC raised its stake in shares of Kennametal by 72.7% in the fourth 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. UBS Group AG lifted its holdings in shares of Kennametal by 190.1% in the fourth quarter. UBS Group AG now owns 538,321 shares of the industrial products company's stock valued at $15,294,000 after purchasing an additional 352,726 shares in the last quarter. Marshall Wace LLP boosted its position in shares of Kennametal by 776.9% during the fourth quarter. Marshall Wace LLP now owns 375,839 shares of the industrial products company's stock valued at $10,678,000 after buying an additional 332,981 shares during the last quarter. Finally, Cubist Systematic Strategies LLC boosted its position in shares of Kennametal by 195.3% during the second quarter. Cubist Systematic Strategies LLC now owns 472,940 shares of the industrial products company's stock valued at $10,859,000 after buying an additional 312,769 shares during the last quarter.

Insider Activity at Kennametal

In other Kennametal news, VP Carlonda R. Reilly sold 12,013 shares of the business's stock in a transaction dated Tuesday, June 2nd. The shares were sold at an average price of $33.12, for a total value of $397,870.56. Following the transaction, the vice president directly owned 25,143 shares in the company, valued at $832,736.16. The trade was a 32.33% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, VP Judith L. Bacchus sold 5,488 shares of the stock in a transaction that occurred on Monday, June 15th. The shares were 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 of the company's stock, valued at $163,670.76. This represents a 54.65% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders sold 47,000 shares of company stock worth $1,583,326. 1.43% of the stock is owned by company insiders.

Wall Street Analyst Weigh In

A number of equities research analysts recently commented on the company. Jefferies Financial Group lowered Kennametal from a "buy" rating to a "hold" rating and set a $47.50 price target for the company. in a research report on Thursday, May 7th. Morgan Stanley cut their price objective on shares of Kennametal from $36.00 to $31.00 and set an "equal weight" rating on the stock in a report on Friday, July 17th. Weiss Ratings lowered shares of Kennametal from a "buy (b-)" rating to a "hold (c+)" rating in a research note on Wednesday, May 20th. JPMorgan Chase & Co. lowered their target price on shares of Kennametal from $40.00 to $34.00 and set an "underweight" rating for the company in a report on Monday, July 13th. Finally, Barclays lowered shares of Kennametal from an "equal weight" rating to an "underweight" rating and dropped their price target for the company from $40.00 to $33.00 in a research report on Wednesday, May 27th. Six research analysts have rated the stock with a Hold rating and three have assigned a Sell rating to the company's stock. Based on data from MarketBeat, the stock has an average rating of "Reduce" and an average target price of $35.79.

Kennametal Stock Performance

Shares of KMT opened at $35.23 on Friday. The stock has a 50 day moving average of $34.52 and a 200 day moving average of $36.17. The company has a market capitalization of $2.68 billion, a price-to-earnings ratio of 19.90, a PEG ratio of 0.60 and a beta of 1.36. Kennametal Inc. has a 12 month low of $17.62 and a 12 month high of $43.81. The company has a current ratio of 2.38, a quick ratio of 0.99 and a debt-to-equity ratio of 0.43.

Kennametal (NYSE:KMT - Get Free Report) last posted its quarterly earnings data on Wednesday, May 6th. The industrial products company reported $0.77 earnings per share for the quarter, topping the consensus estimate of $0.68 by $0.09. The business had revenue of $592.59 million for the quarter, compared to analysts' expectations of $568.03 million. Kennametal had a return on equity of 11.02% and a net margin of 6.41%.The business's revenue was up 21.8% on a year-over-year basis. During the same quarter in the previous year, the firm earned $0.47 earnings per share. Kennametal has set its FY 2026 guidance at 3.750-4.000 EPS. As a group, sell-side analysts forecast that Kennametal Inc. will post 3.23 earnings per share for the current year.

Kennametal Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Tuesday, May 26th. Investors of record on Tuesday, May 12th were issued a $0.20 dividend. This represents a $0.80 dividend on an annualized basis and a dividend yield of 2.3%. The ex-dividend date of this dividend was Tuesday, May 12th. Kennametal's payout ratio is 45.20%.

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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