KENNAMETAL INC (KMT) Stock Fundamental Analysis

USA • New York Stock Exchange • NYSE:KMT • US4891701009

40.32 USD
+2.04 (+5.33%)
At close: Feb 6, 2026
39.91 USD
-0.41 (-1.02%)
After Hours: 2/6/2026, 8:04:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

5

Taking everything into account, KMT scores 5 out of 10 in our fundamental rating. KMT was compared to 131 industry peers in the Machinery industry. KMT has only an average score on both its financial health and profitability. KMT has a decent growth rate and is not valued too expensively.


Dividend Valuation Growth Profitability Health

4

1. Profitability

1.1 Basic Checks

  • In the past year KMT was profitable.
  • KMT had a positive operating cash flow in the past year.
  • KMT had positive earnings in each of the past 5 years.
  • In the past 5 years KMT always reported a positive cash flow from operatings.
KMT Yearly Net Income VS EBIT VS OCF VS FCFKMT Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 100M -100M 200M -200M 300M

1.2 Ratios

  • With a Return On Assets value of 3.74%, KMT perfoms like the industry average, outperforming 53.03% of the companies in the same industry.
  • KMT has a Return On Equity of 7.34%. This is comparable to the rest of the industry: KMT outperforms 52.27% of its industry peers.
  • With a Return On Invested Capital value of 5.80%, KMT perfoms like the industry average, outperforming 46.21% of the companies in the same industry.
  • The Average Return On Invested Capital over the past 3 years for KMT is below the industry average of 10.26%.
Industry RankSector Rank
ROA 3.74%
ROE 7.34%
ROIC 5.8%
ROA(3y)4.23%
ROA(5y)4.07%
ROE(3y)8.43%
ROE(5y)8.19%
ROIC(3y)6.49%
ROIC(5y)6.48%
KMT Yearly ROA, ROE, ROICKMT Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 10 -10 -20

1.3 Margins

  • KMT has a Profit Margin (4.76%) which is comparable to the rest of the industry.
  • In the last couple of years the Profit Margin of KMT has declined.
  • KMT has a Operating Margin of 8.10%. This is comparable to the rest of the industry: KMT outperforms 50.76% of its industry peers.
  • KMT's Operating Margin has been stable in the last couple of years.
  • The Gross Margin of KMT (30.42%) is comparable to the rest of the industry.
  • KMT's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 8.1%
PM (TTM) 4.76%
GM 30.42%
OM growth 3Y-10.25%
OM growth 5Y1.18%
PM growth 3Y-12.98%
PM growth 5YN/A
GM growth 3Y-2.17%
GM growth 5Y1.07%
KMT Yearly Profit, Operating, Gross MarginsKMT Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 10 -10 20 30

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ROAROEROICOperating and Profit MarginShow most profitable peers

6

2. Health

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so KMT is destroying value.
  • Compared to 1 year ago, KMT has less shares outstanding
  • The number of shares outstanding for KMT has been reduced compared to 5 years ago.
  • The debt/assets ratio for KMT has been reduced compared to a year ago.
KMT Yearly Shares OutstandingKMT Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20M 40M 60M 80M
KMT Yearly Total Debt VS Total AssetsKMT Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B

2.2 Solvency

  • KMT has an Altman-Z score of 3.46. This indicates that KMT is financially healthy and has little risk of bankruptcy at the moment.
  • The Altman-Z score of KMT (3.46) is better than 60.61% of its industry peers.
  • KMT has a debt to FCF ratio of 6.44. This is a slightly negative value and a sign of low solvency as KMT would need 6.44 years to pay back of all of its debts.
  • KMT has a Debt to FCF ratio (6.44) which is in line with its industry peers.
  • KMT has a Debt/Equity ratio of 0.47. This is a healthy value indicating a solid balance between debt and equity.
  • KMT has a Debt to Equity ratio (0.47) which is comparable to the rest of the industry.
Industry RankSector Rank
Debt/Equity 0.47
Debt/FCF 6.44
Altman-Z 3.46
ROIC/WACC0.63
WACC9.24%
KMT Yearly LT Debt VS Equity VS FCFKMT Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 200M 400M 600M 800M 1B

2.3 Liquidity

  • KMT has a Current Ratio of 2.60. This indicates that KMT is financially healthy and has no problem in meeting its short term obligations.
  • Looking at the Current ratio, with a value of 2.60, KMT is in the better half of the industry, outperforming 70.45% of the companies in the same industry.
  • A Quick Ratio of 1.18 indicates that KMT should not have too much problems paying its short term obligations.
  • With a Quick ratio value of 1.18, KMT perfoms like the industry average, outperforming 48.48% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 2.6
Quick Ratio 1.18
KMT Yearly Current Assets VS Current LiabilitesKMT Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

5

3. Growth

3.1 Past

  • KMT shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 21.80%, which is quite impressive.
  • Measured over the past 5 years, KMT shows a small growth in Earnings Per Share. The EPS has been growing by 7.28% on average per year.
  • The Revenue has decreased by -3.91% in the past year.
  • Measured over the past years, KMT shows a small growth in Revenue. The Revenue has been growing by 0.85% on average per year.
EPS 1Y (TTM)21.8%
EPS 3Y-8.98%
EPS 5Y7.28%
EPS Q2Q%88%
Revenue 1Y (TTM)-3.91%
Revenue growth 3Y-0.76%
Revenue growth 5Y0.85%
Sales Q2Q%9.85%

3.2 Future

  • The Earnings Per Share is expected to grow by 17.19% on average over the next years. This is quite good.
  • KMT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.06% yearly.
EPS Next Y24.44%
EPS Next 2Y18.08%
EPS Next 3Y17.19%
EPS Next 5YN/A
Revenue Next Year7.81%
Revenue Next 2Y6.22%
Revenue Next 3Y5.06%
Revenue Next 5YN/A

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
  • The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
KMT Yearly Revenue VS EstimatesKMT Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 500M 1B 1.5B 2B 2.5B
KMT Yearly EPS VS EstimatesKMT Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 1 2 3

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Find the best growth stocksShow best growing peers

4

4. Valuation

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 24.89, KMT is valued on the expensive side.
  • KMT's Price/Earnings ratio is a bit cheaper when compared to the industry. KMT is cheaper than 62.88% of the companies in the same industry.
  • Compared to an average S&P500 Price/Earnings ratio of 27.93, KMT is valued at the same level.
  • A Price/Forward Earnings ratio of 21.42 indicates a rather expensive valuation of KMT.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of KMT indicates a somewhat cheap valuation: KMT is cheaper than 62.12% of the companies listed in the same industry.
  • KMT's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.77.
Industry RankSector Rank
PE 24.89
Fwd PE 21.42
KMT Price Earnings VS Forward Price EarningsKMT Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, KMT is valued a bit cheaper than 78.03% of the companies in the same industry.
  • KMT's Price/Free Cash Flow ratio is in line with the industry average.
Industry RankSector Rank
P/FCF 33.04
EV/EBITDA 11.93
KMT Per share dataKMT EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 5 10 15 20 25

4.3 Compensation for Growth

  • KMT's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • A more expensive valuation may be justified as KMT's earnings are expected to grow with 17.19% in the coming years.
PEG (NY)1.02
PEG (5Y)3.42
EPS Next 2Y18.08%
EPS Next 3Y17.19%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

6

5. Dividend

5.1 Amount

  • KMT has a Yearly Dividend Yield of 2.09%.
  • Compared to an average industry Dividend Yield of 1.15, KMT pays a better dividend. On top of this KMT pays more dividend than 87.88% of the companies listed in the same industry.
  • Compared to an average S&P500 Dividend Yield of 1.81, KMT has a dividend comparable with the average S&P500 company.
Industry RankSector Rank
Dividend Yield 2.09%

5.2 History

  • The dividend of KMT has a limited annual growth rate of 0.04%.
  • KMT has been paying a dividend for at least 10 years, so it has a reliable track record.
  • KMT has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)0.04%
Div Incr Years0
Div Non Decr Years34
KMT Yearly Dividends per shareKMT Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0.2 0.4 0.6

5.3 Sustainability

  • KMT pays out 65.12% of its income as dividend. This is not a sustainable payout ratio.
  • The dividend of KMT is growing, but earnings are growing more, so the dividend growth is sustainable.
DP65.12%
EPS Next 2Y18.08%
EPS Next 3Y17.19%
KMT Yearly Income VS Free CF VS DividendKMT Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 100M -100M 200M -200M
KMT Dividend Payout.KMT Dividend Payout, showing the Payout Ratio.KMT Dividend Payout.PayoutRetained Earnings

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Find the best dividend stocksShow peers with best dividend

KENNAMETAL INC

NYSE:KMT (2/6/2026, 8:04:00 PM)

After market: 39.91 -0.41 (-1.02%)

40.32

+2.04 (+5.33%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)02-04
Earnings (Next)05-05
Inst Owners107.36%
Inst Owner Change0.06%
Ins Owners0.78%
Ins Owner Change3.3%
Market Cap3.07B
Revenue(TTM)1.97B
Net Income(TTM)94.30M
Analysts48.75
Price Target29.87 (-25.92%)
Short Float %3.08%
Short Ratio2.63
Dividend
Industry RankSector Rank
Dividend Yield 2.09%
Yearly Dividend0.8
Dividend Growth(5Y)0.04%
DP65.12%
Div Incr Years0
Div Non Decr Years34
Ex-Date02-10
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)14.66%
Min EPS beat(2)-13.93%
Max EPS beat(2)43.25%
EPS beat(4)2
Avg EPS beat(4)30.16%
Min EPS beat(4)-13.93%
Max EPS beat(4)95.43%
EPS beat(8)5
Avg EPS beat(8)20%
EPS beat(12)8
Avg EPS beat(12)15.34%
EPS beat(16)10
Avg EPS beat(16)11.78%
Revenue beat(2)1
Avg Revenue beat(2)0.12%
Min Revenue beat(2)-3.13%
Max Revenue beat(2)3.38%
Revenue beat(4)1
Avg Revenue beat(4)-0.93%
Min Revenue beat(4)-3.13%
Max Revenue beat(4)3.38%
Revenue beat(8)2
Avg Revenue beat(8)-0.9%
Revenue beat(12)4
Avg Revenue beat(12)-1.18%
Revenue beat(16)6
Avg Revenue beat(16)-0.94%
PT rev (1m)15.98%
PT rev (3m)37.41%
EPS NQ rev (1m)9.47%
EPS NQ rev (3m)18.45%
EPS NY rev (1m)11.19%
EPS NY rev (3m)53.22%
Revenue NQ rev (1m)1.6%
Revenue NQ rev (3m)3.78%
Revenue NY rev (1m)1.46%
Revenue NY rev (3m)6.9%
Valuation
Industry RankSector Rank
PE 24.89
Fwd PE 21.42
P/S 1.55
P/FCF 33.04
P/OCF 17.04
P/B 2.39
P/tB 3.27
EV/EBITDA 11.93
EPS(TTM)1.62
EY4.02%
EPS(NY)1.88
Fwd EY4.67%
FCF(TTM)1.22
FCFY3.03%
OCF(TTM)2.37
OCFY5.87%
SpS26.06
BVpS16.88
TBVpS12.31
PEG (NY)1.02
PEG (5Y)3.42
Graham Number24.8
Profitability
Industry RankSector Rank
ROA 3.74%
ROE 7.34%
ROCE 7.57%
ROIC 5.8%
ROICexc 6.1%
ROICexgc 7.37%
OM 8.1%
PM (TTM) 4.76%
GM 30.42%
FCFM 4.68%
ROA(3y)4.23%
ROA(5y)4.07%
ROE(3y)8.43%
ROE(5y)8.19%
ROIC(3y)6.49%
ROIC(5y)6.48%
ROICexc(3y)6.9%
ROICexc(5y)6.86%
ROICexgc(3y)8.4%
ROICexgc(5y)8.39%
ROCE(3y)8.47%
ROCE(5y)8.48%
ROICexgc growth 3Y-10.57%
ROICexgc growth 5Y2%
ROICexc growth 3Y-10.34%
ROICexc growth 5Y2.55%
OM growth 3Y-10.25%
OM growth 5Y1.18%
PM growth 3Y-12.98%
PM growth 5YN/A
GM growth 3Y-2.17%
GM growth 5Y1.07%
F-Score6
Asset Turnover0.79
Health
Industry RankSector Rank
Debt/Equity 0.47
Debt/FCF 6.44
Debt/EBITDA 2
Cap/Depr 63.2%
Cap/Sales 4.4%
Interest Coverage 6.52
Cash Conversion 60.31%
Profit Quality 98.47%
Current Ratio 2.6
Quick Ratio 1.18
Altman-Z 3.46
F-Score6
WACC9.24%
ROIC/WACC0.63
Cap/Depr(3y)71.83%
Cap/Depr(5y)77.94%
Cap/Sales(3y)4.77%
Cap/Sales(5y)5.21%
Profit Quality(3y)140.41%
Profit Quality(5y)135.79%
High Growth Momentum
Growth
EPS 1Y (TTM)21.8%
EPS 3Y-8.98%
EPS 5Y7.28%
EPS Q2Q%88%
EPS Next Y24.44%
EPS Next 2Y18.08%
EPS Next 3Y17.19%
EPS Next 5YN/A
Revenue 1Y (TTM)-3.91%
Revenue growth 3Y-0.76%
Revenue growth 5Y0.85%
Sales Q2Q%9.85%
Revenue Next Year7.81%
Revenue Next 2Y6.22%
Revenue Next 3Y5.06%
Revenue Next 5YN/A
EBIT growth 1Y-6%
EBIT growth 3Y-10.93%
EBIT growth 5Y2.04%
EBIT Next Year99.44%
EBIT Next 3Y30.98%
EBIT Next 5YN/A
FCF growth 1Y-53.01%
FCF growth 3Y12.2%
FCF growth 5YN/A
OCF growth 1Y-38.82%
OCF growth 3Y4.72%
OCF growth 5Y-1.41%

KENNAMETAL INC / KMT FAQ

What is the ChartMill fundamental rating of KENNAMETAL INC (KMT) stock?

ChartMill assigns a fundamental rating of 5 / 10 to KMT.


What is the valuation status for KMT stock?

ChartMill assigns a valuation rating of 4 / 10 to KENNAMETAL INC (KMT). This can be considered as Fairly Valued.


How profitable is KENNAMETAL INC (KMT) stock?

KENNAMETAL INC (KMT) has a profitability rating of 4 / 10.


What is the valuation of KENNAMETAL INC based on its PE and PB ratios?

The Price/Earnings (PE) ratio for KENNAMETAL INC (KMT) is 24.89 and the Price/Book (PB) ratio is 2.39.


Can you provide the dividend sustainability for KMT stock?

The dividend rating of KENNAMETAL INC (KMT) is 6 / 10 and the dividend payout ratio is 65.12%.