Kennametal (NYSE:KMT) Issues FY 2024 Earnings Guidance

Kennametal (NYSE:KMT - Get Free Report) issued an update on its FY 2024 earnings guidance on Wednesday morning. The company provided EPS guidance of 1.400-1.550 for the period, compared to the consensus EPS estimate of 1.480. The company issued revenue guidance of $2.0 billion-$2.1 billion, compared to the consensus revenue estimate of $2.1 billion. Kennametal also updated its FY24 guidance to $1.40-1.55 EPS.

Wall Street Analysts Forecast Growth

KMT has been the topic of a number of research analyst reports. JPMorgan Chase & Co. dropped their price target on Kennametal from $26.00 to $24.00 and set an underweight rating on the stock in a research report on Thursday, February 8th. Barclays dropped their target price on shares of Kennametal from $25.00 to $24.00 and set an equal weight rating on the stock in a report on Tuesday, April 2nd. Finally, StockNews.com upgraded shares of Kennametal from a hold rating to a buy rating in a report on Tuesday, April 30th. Two research analysts have rated the stock with a sell rating, two have assigned a hold rating and one has assigned a buy rating to the company's stock. Based on data from MarketBeat.com, Kennametal has an average rating of Hold and a consensus target price of $24.58.

Kennametal Stock Up 3.3 %

Kennametal stock traded up $0.80 during midday trading on Wednesday, reaching $25.36. The stock had a trading volume of 1,091,145 shares, compared to its average volume of 632,872. The stock has a market capitalization of $2.01 billion, a P/E ratio of 16.41, a price-to-earnings-growth ratio of 3.29 and a beta of 1.76. The firm's fifty day simple moving average is $24.37 and its 200-day simple moving average is $24.34. The company has a debt-to-equity ratio of 0.45, a quick ratio of 1.06 and a current ratio of 2.44. Kennametal has a 1-year low of $22.08 and a 1-year high of $30.60.

Kennametal (NYSE:KMT - Get Free Report) last issued its quarterly earnings results on Wednesday, February 7th. The industrial products company reported $0.30 earnings per share for the quarter, topping the consensus estimate of $0.25 by $0.05. Kennametal had a net margin of 5.86% and a return on equity of 9.94%. The company had revenue of $495.30 million during the quarter, compared to analysts' expectations of $498.99 million. During the same period last year, the business earned $0.27 EPS. The business's quarterly revenue was down .4% on a year-over-year basis. As a group, analysts expect that Kennametal will post 1.49 EPS for the current fiscal year.

Kennametal Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, May 28th. Shareholders of record on Tuesday, May 14th will be paid a $0.20 dividend. The ex-dividend date of this dividend is Monday, May 13th. This represents a $0.80 annualized dividend and a yield of 3.15%. Kennametal's payout ratio is currently 53.33%.

Kennametal declared that its board has approved a share buyback program on Wednesday, February 7th that allows the company to buyback $200.00 million in shares. This buyback authorization allows the industrial products company to repurchase up to 10.6% of its stock through open market purchases. Stock buyback programs are often an indication that the company's board of directors believes its stock is undervalued.

Insider Activity

In related news, VP John Wayne Witt sold 1,000 shares of the company's stock in a transaction dated Thursday, March 7th. The stock was sold at an average price of $25.55, for a total transaction of $25,550.00. Following the sale, the vice president now owns 1,343 shares in the company, valued at $34,313.65. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. 1.79% of the stock is owned by corporate insiders.

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.