Kennametal (NYSE:KMT) Stock Price Down 3.3% – Should You Sell?

Kennametal Inc. (NYSE:KMT)’s stock price dropped 3.3% on Tuesday . The company traded as low as $37.19 and last traded at $36.52. Approximately 120,710 shares were traded during mid-day trading, a decline of 92% from the average daily volume of 1,584,484 shares. The stock had previously closed at $37.78.

Analyst Ratings Changes

A number of equities research analysts have commented on the stock. Weiss Ratings raised shares of Kennametal from a “hold (c+)” rating to a “buy (b-)” rating in a report on Tuesday, February 24th. UBS Group boosted their price objective on shares of Kennametal from $32.00 to $39.00 and gave the stock a “neutral” rating in a research report on Thursday, February 5th. Morgan Stanley upped their target price on shares of Kennametal from $29.00 to $36.00 and gave the company an “equal weight” rating in a research report on Tuesday, February 10th. JPMorgan Chase & Co. boosted their target price on Kennametal from $25.00 to $37.00 and gave the stock an “underweight” rating in a research report on Wednesday, January 14th. Finally, Barclays increased their target price on shares of Kennametal from $28.00 to $40.00 and gave the stock an “equal weight” rating in a report on Monday, February 9th. One equities research analyst has rated the stock with a Strong Buy rating, one has given a Buy rating, four have given a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat, Kennametal currently has a consensus rating of “Hold” and an average target price of $34.67.

Kennametal Stock Performance

The stock has a 50 day simple moving average of $36.91 and a 200 day simple moving average of $28.94. The stock has a market cap of $2.86 billion, a P/E ratio of 26.18, a price-to-earnings-growth ratio of 0.65 and a beta of 1.47. The company has a current ratio of 2.55, a quick ratio of 1.14 and a debt-to-equity ratio of 0.44.

Kennametal (NYSE:KMT) last issued its quarterly earnings results on Wednesday, February 4th. The industrial products company reported $0.47 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.35 by $0.12. The firm had revenue of $529.53 million for the quarter, compared to analyst estimates of $514.70 million. Kennametal had a return on equity of 9.46% and a net margin of 5.43%.The company’s revenue was up 9.9% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.25 earnings per share. Kennametal has set its Q3 2026 guidance at 0.500-0.600 EPS and its FY 2026 guidance at 2.050-2.450 EPS. On average, equities analysts expect that Kennametal Inc. will post 1.17 earnings per share for the current year.

Kennametal Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, February 24th. Shareholders of record on Tuesday, February 10th were paid a $0.20 dividend. The ex-dividend date was Tuesday, February 10th. This represents a $0.80 annualized dividend and a yield of 2.1%. Kennametal’s dividend payout ratio (DPR) is 55.94%.

Insider Buying and Selling

In other news, VP Carlonda R. Reilly sold 13,410 shares of the company’s stock in a transaction that occurred on Monday, March 9th. The stock was sold at an average price of $36.31, for a total value of $486,917.10. Following the completion of the transaction, the vice president directly owned 38,746 shares of the company’s stock, valued at $1,406,867.26. This represents a 25.71% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, VP John Wayne Witt sold 5,060 shares of the stock in a transaction that occurred on Thursday, February 19th. The shares were sold at an average price of $38.29, for a total value of $193,747.40. Following the sale, the vice president directly owned 1,634 shares of the company’s stock, valued at $62,565.86. The trade was a 75.59% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 1.43% of the stock is owned by insiders.

Institutional Trading of Kennametal

Several hedge funds and other institutional investors have recently modified their holdings of the business. Rockefeller Capital Management L.P. raised its holdings in Kennametal by 3,600.0% during the 4th quarter. Rockefeller Capital Management L.P. now owns 999 shares of the industrial products company’s stock valued at $28,000 after acquiring an additional 972 shares during the period. Corient Private Wealth LLC bought a new position in shares of Kennametal in the fourth quarter valued at approximately $217,000. DGS Capital Management LLC purchased a new position in Kennametal during the fourth quarter valued at approximately $236,000. Dean Capital Management increased its holdings in Kennametal by 40.4% during the 4th quarter. Dean Capital Management now owns 75,093 shares of the industrial products company’s stock worth $2,133,000 after acquiring an additional 21,609 shares during the period. Finally, Mercer Global Advisors Inc. ADV purchased a new stake in Kennametal in the 4th quarter worth approximately $259,000.

Kennametal Company 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.