Kadant's (KAI) Outperform Rating Reaffirmed at Barrington Research

Key Points

• Barrington Research has reaffirmed an "outperform" rating for Kadant (KAI) with a price target of $380.00, indicating a potential upside of 23.37%.
• Kadant reported earnings of $2.31 per share for Q2, surpassing analyst expectations, although revenue decreased 7.3% compared to the previous year.
• Institutional investors and hedge funds own a significant 96.13% of Kadant's stock, reflecting strong confidence among large investors in the company.

Kadant (NYSE:KAI - Get Free Report)'s stock had its "outperform" rating restated by stock analysts at Barrington Research in a research note issued on Tuesday,Benzinga reports. They presently have a $380.00 price target on the industrial products company's stock. Barrington Research's price objective points to a potential upside of 23.37% from the company's current price.

KAI has been the topic of several other reports. DA Davidson boosted their target price on Kadant from $275.00 to $300.00 and gave the stock a "neutral" rating in a research note on Monday, August 4th. Wall Street Zen upgraded Kadant from a "sell" rating to a "hold" rating in a research report on Saturday, July 5th. One analyst has rated the stock with a Buy rating and one has assigned a Hold rating to the company. According to MarketBeat, the company has an average rating of "Moderate Buy" and a consensus target price of $340.00.

Kadant Price Performance

NYSE KAI traded up $0.90 during trading on Tuesday, hitting $308.02. 17,077 shares of the stock traded hands, compared to its average volume of 139,833. The company has a market capitalization of $3.63 billion, a P/E ratio of 34.30 and a beta of 1.25. The firm has a 50-day simple moving average of $328.73 and a 200-day simple moving average of $323.27. The company has a quick ratio of 1.53, a current ratio of 2.38 and a debt-to-equity ratio of 0.26. Kadant has a 12-month low of $281.30 and a 12-month high of $429.95.

Kadant (NYSE:KAI - Get Free Report) last issued its quarterly earnings results on Tuesday, July 29th. The industrial products company reported $2.31 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.94 by $0.37. The firm had revenue of $255.27 million during the quarter, compared to analyst estimates of $245.99 million. Kadant had a return on equity of 12.62% and a net margin of 10.34%.Kadant's quarterly revenue was down 7.3% compared to the same quarter last year. During the same period last year, the company earned $2.81 EPS. Kadant has set its Q3 2025 guidance at 2.130-2.230 EPS. FY 2025 guidance at 9.050-9.250 EPS. As a group, analysts predict that Kadant will post 9.97 EPS for the current year.

Insider Activity

In related news, Director Thomas C. Leonard sold 415 shares of the company's stock in a transaction that occurred on Wednesday, August 27th. The stock was sold at an average price of $338.41, for a total value of $140,440.15. Following the sale, the director owned 4,250 shares in the company, valued at $1,438,242.50. This represents a 8.90% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Company insiders own 1.20% of the company's stock.

Institutional Investors Weigh In On Kadant

A number of large investors have recently bought and sold shares of KAI. Corebridge Financial Inc. lifted its stake in shares of Kadant by 5.0% during the 1st quarter. Corebridge Financial Inc. now owns 6,122 shares of the industrial products company's stock worth $2,063,000 after purchasing an additional 293 shares during the period. Wealth Enhancement Advisory Services LLC lifted its stake in shares of Kadant by 7.3% during the 1st quarter. Wealth Enhancement Advisory Services LLC now owns 836 shares of the industrial products company's stock worth $282,000 after purchasing an additional 57 shares during the period. Amalgamated Bank lifted its stake in shares of Kadant by 736.5% during the 1st quarter. Amalgamated Bank now owns 3,346 shares of the industrial products company's stock worth $1,127,000 after purchasing an additional 2,946 shares during the period. GAMMA Investing LLC lifted its stake in shares of Kadant by 348.1% during the 1st quarter. GAMMA Investing LLC now owns 242 shares of the industrial products company's stock worth $82,000 after purchasing an additional 188 shares during the period. Finally, Asset Management One Co. Ltd. purchased a new position in shares of Kadant during the 1st quarter worth $111,000. Institutional investors and hedge funds own 96.13% of the company's stock.

About Kadant

Kadant Inc supplies technologies and engineered systems worldwide. It operates in three segments: Flow Control, Industrial Processing, and Material Handling. The Flow Control segment develops, manufactures, and markets fluid-handling systems and equipment, such as rotary joints, syphons, turbulator bars, expansion joints, and engineered steam and condensate systems; and doctoring, cleaning, and filtration systems and related consumables consisting of doctor systems and holders, doctor blades, cleaning shower and fabric-conditioning systems, forming systems and wear surfaces, and water-filtration systems.

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