KENNAMETAL INC (KMT) Stock Fundamental Analysis

NYSE:KMT • US4891701009

39.03 USD
-0.56 (-1.41%)
Last: Feb 17, 2026, 10:54 AM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

5

We assign a fundamental rating of 5 out of 10 to KMT. KMT was compared to 131 industry peers in the Machinery industry. Both the profitability and the financial health of KMT get a neutral evaluation. Nothing too spectacular is happening here. KMT has a correct valuation and a medium growth rate. Finally KMT also has an excellent dividend rating. These ratings could make KMT a good candidate for dividend investing.


Dividend Valuation Growth Profitability Health

5

1. Profitability

1.1 Basic Checks

  • KMT had positive earnings in the past year.
  • In the past year KMT had a positive cash flow from operations.
  • KMT had positive earnings in each of the past 5 years.
  • Each year in the past 5 years KMT had a positive operating cash flow.
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

  • KMT's Return On Assets of 4.25% is in line compared to the rest of the industry. KMT outperforms 54.20% of its industry peers.
  • With a Return On Equity value of 8.38%, KMT perfoms like the industry average, outperforming 56.49% of the companies in the same industry.
  • Looking at the Return On Invested Capital, with a value of 6.52%, KMT is in line with its industry, outperforming 49.62% 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 10.17%.
  • The last Return On Invested Capital (6.52%) for KMT is above the 3 year average (6.49%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 4.25%
ROE 8.38%
ROIC 6.52%
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 of 5.43%. This is comparable to the rest of the industry: KMT outperforms 51.91% of its industry peers.
  • KMT's Profit Margin has declined in the last couple of years.
  • Looking at the Operating Margin, with a value of 9.03%, KMT is in line with its industry, outperforming 51.91% of the companies in the same industry.
  • In the last couple of years the Operating Margin of KMT has remained more or less at the same level.
  • KMT's Gross Margin of 31.15% is in line compared to the rest of the industry. KMT outperforms 51.91% of its industry peers.
  • KMT's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 9.03%
PM (TTM) 5.43%
GM 31.15%
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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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.
  • The number of shares outstanding for KMT has been reduced compared to 1 year ago.
  • KMT has less shares outstanding than it did 5 years ago.
  • Compared to 1 year ago, KMT has an improved debt to assets ratio.
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

  • An Altman-Z score of 3.41 indicates that KMT is not in any danger for bankruptcy at the moment.
  • With a decent Altman-Z score value of 3.41, KMT is doing good in the industry, outperforming 61.83% of the companies in the same industry.
  • KMT has a debt to FCF ratio of 6.03. This is a slightly negative value and a sign of low solvency as KMT would need 6.03 years to pay back of all of its debts.
  • KMT has a Debt to FCF ratio of 6.03. This is comparable to the rest of the industry: KMT outperforms 49.62% of its industry peers.
  • KMT has a Debt/Equity ratio of 0.46. This is a healthy value indicating a solid balance between debt and equity.
  • The Debt to Equity ratio of KMT (0.46) is comparable to the rest of the industry.
Industry RankSector Rank
Debt/Equity 0.46
Debt/FCF 6.03
Altman-Z 3.41
ROIC/WACC0.74
WACC8.78%
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

  • A Current Ratio of 2.55 indicates that KMT has no problem at all paying its short term obligations.
  • The Current ratio of KMT (2.55) is better than 68.70% of its industry peers.
  • A Quick Ratio of 1.14 indicates that KMT should not have too much problems paying its short term obligations.
  • The Quick ratio of KMT (1.14) is comparable to the rest of the industry.
Industry RankSector Rank
Current Ratio 2.55
Quick Ratio 1.14
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

  • The Earnings Per Share has grown by an impressive 21.80% over the past year.
  • KMT shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.28% yearly.
  • Looking at the last year, KMT shows a small growth in Revenue. The Revenue has grown by 0.36% in the last year.
  • KMT shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.85% yearly.
EPS 1Y (TTM)21.8%
EPS 3Y-8.98%
EPS 5Y7.28%
EPS Q2Q%88%
Revenue 1Y (TTM)0.36%
Revenue growth 3Y-0.76%
Revenue growth 5Y0.85%
Sales Q2Q%9.85%

3.2 Future

  • Based on estimates for the next years, KMT will show a quite strong growth in Earnings Per Share. The EPS will grow by 17.19% on average per year.
  • The Revenue is expected to grow by 5.06% on average over the next years.
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

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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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4

4. Valuation

4.1 Price/Earnings Ratio

  • KMT is valuated rather expensively with a Price/Earnings ratio of 24.09.
  • 64.89% of the companies in the same industry are more expensive than KMT, based on the Price/Earnings ratio.
  • KMT is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.19, which is the current average of the S&P500 Index.
  • KMT is valuated rather expensively with a Price/Forward Earnings ratio of 20.73.
  • Based on the Price/Forward Earnings ratio, KMT is valued a bit cheaper than 66.41% of the companies in the same industry.
  • When comparing the Price/Forward Earnings ratio of KMT to the average of the S&P500 Index (28.06), we can say KMT is valued slightly cheaper.
Industry RankSector Rank
PE 24.09
Fwd PE 20.73
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

  • 83.97% of the companies in the same industry are more expensive than KMT, based on the Enterprise Value to EBITDA ratio.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of KMT is on the same level as its industry peers.
Industry RankSector Rank
P/FCF 29.94
EV/EBITDA 10.84
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

  • The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap 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)0.99
PEG (5Y)3.31
EPS Next 2Y18.08%
EPS Next 3Y17.19%

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

7

5. Dividend

5.1 Amount

  • With a Yearly Dividend Yield of 2.04%, KMT has a reasonable but not impressive dividend return.
  • Compared to an average industry Dividend Yield of 1.17, KMT pays a better dividend. On top of this KMT pays more dividend than 89.31% of the companies listed in the same industry.
  • Compared to an average S&P500 Dividend Yield of 1.82, KMT has a dividend comparable with the average S&P500 company.
Industry RankSector Rank
Dividend Yield 2.04%

5.2 History

  • The dividend of KMT has a limited annual growth rate of 0.04%.
  • KMT has paid a dividend for at least 10 years, which is 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 55.39% of its income as dividend. This is a bit on the high side, but may be sustainable.
  • The dividend of KMT is growing, but earnings are growing more, so the dividend growth is sustainable.
DP55.39%
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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KENNAMETAL INC

NYSE:KMT (2/17/2026, 10:54:06 AM)

39.03

-0.56 (-1.41%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)02-04
Earnings (Next)05-05
Inst Owners107.36%
Inst Owner Change-4.82%
Ins Owners0.78%
Ins Owner Change-1.85%
Market Cap2.97B
Revenue(TTM)2.03B
Net Income(TTM)110.26M
Analysts51.25
Price Target29.87 (-23.47%)
Short Float %2.95%
Short Ratio1.85
Dividend
Industry RankSector Rank
Dividend Yield 2.04%
Yearly Dividend0.8
Dividend Growth(5Y)0.04%
DP55.39%
Div Incr Years0
Div Non Decr Years34
Ex-Date02-10
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)33.06%
Min EPS beat(2)22.86%
Max EPS beat(2)43.25%
EPS beat(4)3
Avg EPS beat(4)36.9%
Min EPS beat(4)-13.93%
Max EPS beat(4)95.43%
EPS beat(8)5
Avg EPS beat(8)20.79%
EPS beat(12)8
Avg EPS beat(12)15.6%
EPS beat(16)11
Avg EPS beat(16)13.84%
Revenue beat(2)2
Avg Revenue beat(2)1.82%
Min Revenue beat(2)0.25%
Max Revenue beat(2)3.38%
Revenue beat(4)2
Avg Revenue beat(4)-0.33%
Min Revenue beat(4)-3.13%
Max Revenue beat(4)3.38%
Revenue beat(8)3
Avg Revenue beat(8)-0.66%
Revenue beat(12)4
Avg Revenue beat(12)-1.16%
Revenue beat(16)7
Avg Revenue beat(16)-0.75%
PT rev (1m)15.98%
PT rev (3m)37.41%
EPS NQ rev (1m)16.65%
EPS NQ rev (3m)39.19%
EPS NY rev (1m)11.19%
EPS NY rev (3m)53.22%
Revenue NQ rev (1m)3.42%
Revenue NQ rev (3m)6.9%
Revenue NY rev (1m)0.37%
Revenue NY rev (3m)6.9%
Valuation
Industry RankSector Rank
PE 24.09
Fwd PE 20.73
P/S 1.46
P/FCF 29.94
P/OCF 16.52
P/B 2.26
P/tB 3.07
EV/EBITDA 10.84
EPS(TTM)1.62
EY4.15%
EPS(NY)1.88
Fwd EY4.82%
FCF(TTM)1.3
FCFY3.34%
OCF(TTM)2.36
OCFY6.05%
SpS26.64
BVpS17.26
TBVpS12.72
PEG (NY)0.99
PEG (5Y)3.31
Graham Number25.08
Profitability
Industry RankSector Rank
ROA 4.25%
ROE 8.38%
ROCE 8.5%
ROIC 6.52%
ROICexc 6.93%
ROICexgc 8.35%
OM 9.03%
PM (TTM) 5.43%
GM 31.15%
FCFM 4.89%
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-Score8
Asset Turnover0.78
Health
Industry RankSector Rank
Debt/Equity 0.46
Debt/FCF 6.03
Debt/EBITDA 1.86
Cap/Depr 58.33%
Cap/Sales 3.97%
Interest Coverage 7.46
Cash Conversion 55.98%
Profit Quality 90.09%
Current Ratio 2.55
Quick Ratio 1.14
Altman-Z 3.41
F-Score8
WACC8.78%
ROIC/WACC0.74
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)0.36%
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 1Y5.13%
EBIT growth 3Y-10.93%
EBIT growth 5Y2.04%
EBIT Next Year99.44%
EBIT Next 3Y30.98%
EBIT Next 5YN/A
FCF growth 1Y-48.38%
FCF growth 3Y12.2%
FCF growth 5YN/A
OCF growth 1Y-38.7%
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 5 / 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 24.09 and the Price/Book (PB) ratio is 2.26.


Can you provide the dividend sustainability for KMT stock?

The dividend rating of KENNAMETAL INC (KMT) is 7 / 10 and the dividend payout ratio is 55.39%.