The Manufacturers Life Insurance Company Invests $1.26 Million in Kennametal Inc. $KMT

Key Points

• The Manufacturers Life Insurance Company initiated a $1.26 million position in Kennametal, buying 35,963 shares during the second quarter. Other institutional investors, including William Blair and Deutsche Bank, also established or increased stakes.
• Kennametal reported quarterly EPS of $2.96, exceeding estimates of $2.31, while revenue rose 42.6% year over year to $736.61 million. The company declared a quarterly dividend of $0.20 per share, equivalent to a 2.6% annual yield.
• Analyst sentiment remains cautious: Kennametal has an average rating of “Reduce”, with five Hold and four Sell ratings and a consensus price target of $34.07. Morgan Stanley and Barclays recently downgraded the stock to Underweight.

The Manufacturers Life Insurance Company bought a new position in shares of Kennametal Inc. (NYSE:KMT - Free Report) during the second quarter, according to its most recent Form 13F filing with the SEC. The fund bought 35,963 shares of the industrial products company's stock, valued at approximately $1,261,000.

A number of other large investors have also added to or reduced their stakes in the business. LSV Asset Management acquired a new position in shares of Kennametal in the fourth quarter valued at $2,290,000. Deutsche Bank AG acquired a new stake in shares of Kennametal during the 2nd quarter worth about $9,166,000. William Blair Investment Management LLC acquired a new stake in shares of Kennametal during the 2nd quarter worth about $69,614,000. Medina Value Partners LLC boosted its holdings in shares of Kennametal by 72.7% during the 4th quarter. Medina Value Partners LLC now owns 968,294 shares of the industrial products company's stock worth $27,509,000 after buying an additional 407,487 shares during the period. Finally, UBS Group AG boosted its holdings in shares of Kennametal by 190.1% during the 4th quarter. UBS Group AG now owns 538,321 shares of the industrial products company's stock worth $15,294,000 after buying an additional 352,726 shares during the period.

Kennametal Price Performance

Shares of Kennametal stock opened at $30.88 on Friday. Kennametal Inc. has a twelve month low of $20.35 and a twelve month high of $43.81. 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 company has a 50-day simple moving average of $32.61 and a two-hundred day simple moving average of $35.47. The stock has a market capitalization of $2.35 billion, a price-to-earnings ratio of 7.02, a price-to-earnings-growth ratio of 0.29 and a beta of 1.34.

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

Kennametal Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Tuesday, August 25th. Investors of record on Tuesday, August 11th were given a dividend of $0.20 per share. The ex-dividend date of this dividend was Tuesday, August 11th. This represents a $0.80 dividend on an annualized basis and a yield of 2.6%. Kennametal's dividend payout ratio is currently 18.18%.

Wall Street Analysts Forecast Growth

Several research analysts have weighed in on KMT shares. Morgan Stanley cut shares of Kennametal from an "equal weight" rating to an "underweight" rating and lowered their price target for the company from $31.00 to $27.00 in a report on Monday, August 10th. Weiss Ratings restated a "hold (c+)" rating on shares of Kennametal in a report on Monday, August 17th. UBS Group decreased their target price on Kennametal from $39.00 to $35.00 and set a "neutral" rating on the stock in a research report on Monday, August 10th. DA Davidson lowered their target price on Kennametal from $34.00 to $30.00 and set a "neutral" rating on the stock in a research note on Tuesday, August 11th. Finally, Barclays cut Kennametal from an "equal weight" rating to an "underweight" rating and dropped their price target for the stock from $40.00 to $33.00 in a 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 stock. According to data from MarketBeat, Kennametal presently has an average rating of "Reduce" and a consensus target price of $34.07.

Insiders Place Their Bets

In other news, Director Sagar Patel sold 29,499 shares of the stock in a transaction on Monday, June 8th. The stock was sold at an average price of $33.50, for a total transaction of $988,216.50. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, VP Judith Bacchus sold 5,488 shares of the business's stock in a transaction dated 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 transaction, the vice president directly owned 4,554 shares of the company's stock, valued at approximately $163,670.76. This trade represents a 54.65% decrease in their position. The SEC filing for this sale provides additional information. 1.43% of the stock is owned by company insiders.

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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