Graham (GHM) Competitors

Kennametal (NYSE:KMT) and Graham (NYSE:GHM) are both small-cap industrials companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, media sentiment, risk, institutional ownership, community ranking, profitability, analyst recommendations, valuation and dividends.

Is KMT or GHM more profitable?

Kennametal has a net margin of 4.76% compared to Graham's net margin of 4.60%. Graham's return on equity of 9.35% beat Kennametal's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Kennametal	4.76%	8.12%	4.21%
Graham	4.60%	9.35%	4.16%

Is KMT or GHM a better dividend stock?

Kennametal pays an annual dividend of $0.80 per share and has a dividend yield of 3.6%. Graham pays an annual dividend of $0.44 per share and has a dividend yield of 1.0%. Kennametal pays out 57.6% of its earnings in the form of a dividend. Graham pays out 24.2% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Which has preferable earnings & valuation, KMT or GHM?

Kennametal has higher revenue and earnings than Graham. Kennametal is trading at a lower price-to-earnings ratio than Graham, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kennametal	$1.99B	0.85	$109.32M	$1.39	15.96
Graham	$209.90M	2.41	$4.56M	$1.82	25.44

Do institutionals & insiders have more ownership in KMT or GHM?

69.5% of Graham shares are held by institutional investors. 1.4% of Kennametal shares are held by company insiders. Comparatively, 5.7% of Graham shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Does the media prefer KMT or GHM?

In the previous week, Graham had 35 more articles in the media than Kennametal. MarketBeat recorded 42 mentions for Graham and 7 mentions for Kennametal. Graham's average media sentiment score of 0.67 beat Kennametal's score of 0.41 indicating that Graham is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Kennametal	2 Very Positive mention(s)	0 Positive mention(s)	4 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral
Graham	14 Very Positive mention(s)	6 Positive mention(s)	16 Neutral mention(s)	1 Negative mention(s)	1 Very Negative mention(s)	Positive

Does the MarketBeat Community believe in KMT or GHM?

Kennametal received 177 more outperform votes than Graham when rated by MarketBeat users. However, 63.79% of users gave Graham an outperform vote while only 54.56% of users gave Kennametal an outperform vote.

Company	Underperform	Outperform
Kennametal	Outperform Votes 443 54.56%	Underperform Votes 369 45.44%
Graham	Outperform Votes 266 63.79%	Underperform Votes 151 36.21%

Do analysts rate KMT or GHM?

Kennametal currently has a consensus target price of $25.80, suggesting a potential upside of 16.27%. Graham has a consensus target price of $35.00, suggesting a potential downside of 24.41%. Given Kennametal's higher probable upside, research analysts plainly believe Kennametal is more favorable than Graham.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kennametal	1 Sell rating(s)	4 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	1.80
Graham	0 Sell rating(s)	0 Hold rating(s)	1 Buy rating(s)	0 Strong Buy rating(s)	3.00

Which has more volatility and risk, KMT or GHM?

Kennametal has a beta of 1.4, suggesting that its stock price is 40% more volatile than the S&P 500. Comparatively, Graham has a beta of 0.85, suggesting that its stock price is 15% less volatile than the S&P 500.

Summary

Graham beats Kennametal on 12 of the 20 factors compared between the two stocks.