Reading the tape
NYSE: KMT
Kennametal Inc.
Industrials · Manufacturing - Tools & Accessories
Market Cap
$2.80B
52w High
$42.03
52w Low
$17.62
P/E
25.69
Volume
930.34K
Outstanding Shares
76.20M
Price vs Fundamentals
Why The Stock Is Moving
Momentum disconnected from fundamentalsModerate confidence
Note: The most recent financial data is over 3 months old. Metrics shown may not reflect the latest reporting period.
1Y Price: 84.17%Revenue (TTM): 0.36%FCF (TTM): -49.23%P/FCF: 62nd pct
What changed
The stock rose 84.17% over the last year. Revenue grew 0.36% over the trailing twelve months. Operating margin moved from 8.12% to 8.28%. Free cash flow declined 49.23% over the trailing twelve months.
What the market seems to be pricing
The stock is rising despite deteriorating fundamentals and now sits at the 62nd percentile of its historical P/FCF range. This is a momentum-driven move — the market may be front-running a recovery that has not yet appeared in reported numbers.
What would invalidate this read
Operating margin (currently 8.28%) would need to stabilize or improve to justify the move. This read is wrong if the next period shows operating metrics turning the corner. At that point the price would be anticipating real improvement rather than running ahead of it.
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.
CEOSanjay K. Chowbey
SectorIndustrials
IndustryManufacturing - Tools & Accessories
Employees8,400
IPO dateJan 1, 1943
Valuation
Forward P/E—
EV/EBITDA7.76
Enterprise value$2.28B
Stock splits
Dec 19, 2007↑ Forward
Every 1 shares became 2
Aug 23, 1994↑ Forward
Every 1 shares became 2
Mar 11, 1980↑ Forward
Every 1 shares became 2
Nov 20, 1975↑ Forward
Every 1 shares became 2
Profitability & growth
Revenue growth9.84%
Gross margin31.13%▼0.75%vs FY2024
Operating margin8.28%▼12.50%vs FY2024
ROE7.25%▼17.08%vs FY2024
Analyst consensus
RatingHold
Target price$36.00▼2.07%
6
Buy
13
Hold
4
Sell
Analyst ratings tend to be lagging indicators. Use as one signal among many.
Earnings
Full quarter-by-quarter history of actuals vs estimates. Switch into compare mode to inspect one metric year-over-year.
Next report
May 6, 2026
Q2 FY26 · EPS est $0.68 · Revenue est $568.03M
View
Dividends
$0.80/shareQuarterlyDividend Achiever · 23yrSafeKMT pays a dividend with a 2.18% dividend yield, 23 consecutive years of growth, covered 1.9× by free cash flow.
Dividend Yield
2.18%
Annual Div / Share
$0.80
5yr CAGR
+0%
Payout Ratio
55.39%
Safe
Dividend Growth Rate
3yr CAGR
+0%
5yr CAGR
+0%
10yr CAGR
+0.25%
Dividend Safety
8/10Safe
Dividend History
Annualized dividend cycles per share
YearAnnual DivYoY
2025$0.80+0.0%
2024$0.80+0.0%
2023$0.80+0.0%
2022$0.80+0.0%
2021$0.80+0.0%
2020$0.80+0.0%
2019$0.80+0.0%
Income Projection
Invest
$
Growth rate:
Reinvest dividends
Today
$22/yr
$2/mo
In 5 yrs
$22/yr
$2/mo
In 10 yrs
$22/yr
$2/mo
| Today | In 5 yrs | In 10 yrs |
|---|---|---|
$22/yr $2/mo | $22/yr $2/mo | $22/yr $2/mo |
Analysis
Dividend Strengths
Dividend Achiever
KMT has raised its dividend for 23 consecutive years — qualifying as a Dividend Achiever, demonstrating long-term commitment to shareholder income.
Well-covered by free cash flow
The dividend is covered 1.9× by free cash flow, indicating the company generates sufficient cash to sustain and potentially grow the payout without straining its finances.
Risks to Watch
No strong risk signal stands out from the latest period pair.