Kennametal (NYSE:KMT) Issues FY 2020 Earnings Guidance

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Kennametal (NYSE:KMT) issued an update on its FY 2020 earnings guidance on Monday morning. The company provided earnings per share guidance of $1.70-2.10 for the period, compared to the Thomson Reuters consensus earnings per share estimate of $2.81. Kennametal also updated its FY20 guidance to $1.70-2.10 EPS.

NYSE KMT traded up $0.19 during trading hours on Friday, hitting $33.83. 601,080 shares of the company’s stock were exchanged, compared to its average volume of 798,325. The firm has a market capitalization of $2.82 billion, a P/E ratio of 11.20, a price-to-earnings-growth ratio of 2.29 and a beta of 2.28. The company has a debt-to-equity ratio of 0.47, a quick ratio of 1.21 and a current ratio of 2.54. The business’s 50 day moving average is $31.19 and its 200-day moving average is $32.62. Kennametal has a 12-month low of $27.49 and a 12-month high of $43.98.

Kennametal (NYSE:KMT) last posted its earnings results on Monday, November 4th. The industrial products company reported $0.17 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $0.17. Kennametal had a return on equity of 15.40% and a net margin of 8.31%. The business had revenue of $518.09 million during the quarter, compared to analyst estimates of $517.49 million. During the same quarter last year, the firm earned $0.70 earnings per share. The company’s revenue for the quarter was down 11.7% compared to the same quarter last year. As a group, equities research analysts anticipate that Kennametal will post 1.78 EPS for the current fiscal year.

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, November 26th. Shareholders of record on Tuesday, November 12th will be paid a dividend of $0.20 per share. The ex-dividend date of this dividend is Friday, November 8th. This represents a $0.80 dividend on an annualized basis and a yield of 2.36%. Kennametal’s dividend payout ratio (DPR) is presently 26.49%.

KMT has been the topic of a number of research analyst reports. Longbow Research downgraded Kennametal from a buy rating to a neutral rating in a report on Tuesday, October 22nd. Bank of America reduced their target price on Kennametal from $30.00 to $27.00 and set an underperform rating on the stock in a report on Tuesday, August 6th. Wells Fargo & Co cut their price target on Kennametal from $34.00 to $32.00 and set a market perform rating on the stock in a report on Tuesday, October 15th. UBS Group cut their price target on Kennametal from $35.00 to $27.00 and set a sell rating on the stock in a report on Wednesday, August 21st. Finally, ValuEngine raised Kennametal from a hold rating to a buy rating in a report on Friday, November 8th. Four equities research analysts have rated the stock with a sell rating, three have issued a hold rating and three have issued a buy rating to the company’s stock. The stock currently has an average rating of Hold and a consensus target price of $32.75.

In other news, Director Cindy L. Davis sold 4,644 shares of Kennametal stock in a transaction dated Wednesday, September 11th. The stock was sold at an average price of $34.15, for a total value of $158,592.60. Following the transaction, the director now directly owns 11,529 shares in the company, valued at $393,715.35. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, VP Ronald L. Port sold 1,500 shares of the business’s stock in a transaction dated Friday, November 8th. The shares were sold at an average price of $34.12, for a total value of $51,180.00. The disclosure for this sale can be found here. 1.48% of the stock is owned by insiders.

About Kennametal

Kennametal Inc develops and applies tungsten carbides, ceramics, super-hard materials, and solutions for use in metal cutting and mission-critical wear applications to combat extreme conditions related with wear fatigue, corrosion, and high temperatures worldwide. The company operates through three segments: Industrial, Widia, and Infrastructure.

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Earnings History and Estimates for Kennametal (NYSE:KMT)

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