What just happened? Kennametal Inc. (NYSE:KMT) stock value has climbed by nearly 5.74% or (1.63 points) to $30.02 from its previous close of $28.39. Does this growth mean it the best stock to buy right now? The shares seem to have an active trading volume day with a reported 118633 contracts so far this session. KMT shares had a relatively better volume day versus average trading capacity of 716.3 thousand shares, but with a 82.37 million float and a -2.71% run over a week, it’s definitely worth keeping an eye on. The one year price forecast for KMT stock indicates that the average analyst price target is $36.32 per share. This means the stock has a potential increase of 20.99% from where the KMT share price has been trading recently which is between $28 and $28.79. There are some brokerage firms that offer lower targets than the average, with one of them, even setting their price target at $27. Flipping the other side of the coin, an analyst who is fully bullish set a price target as high as $50.
During the recent trading session for Kennametal Inc. (NYSE:KMT), the company witnessed their stock rise $0.17 over a week and tumble down $-2.5 from the price 20 days ago. When compared to their established 52-week high of $43.98, the high they recorded in their recent session happens to be lower. Their established 52-week high was attained by the company on 03/12/18. The recent low of $27.49 stood for a -31.74% since 08/15/19, a data which is good for most investors who are looking to take advantage of the stock’s recent rise. A beta of 2.27 is also allocated to the stock. Since the beta is greater than one, it implies that the stock is more volatile than the market, a data that traders are keeping close attention to. At the moment, the median target price for KMT is set at $34, a figure which is below the recent 1-year high the stock witnessed.
Looking at the current readings for Kennametal Inc., the two-week RSI stands at 51.58. This figure suggests that KMT stock, for now, is neutral, meaning that the shares are stable in terms of price movement. The stochastic readings, on the other hand, based on the current KMT readings is similarly very revealing as it has a stochastic reading of 27.55% at this stage. This figure means that KMT share price today is being overbought.
Technical chart claims that Kennametal Inc. (KMT) would settle between $28.79/share to $29.18/share level. However, if the stock price goes below the $28 mark, then the market for Kennametal Inc. becomes much weaker. If that happens, the stock price might even plunge as low as $27.6 for its downside target. The stock is currently in the red zone of MACD, with the indicator reading -0.18. Traders are always alerted for the move of a stock above or below the zero line due to the fact that the reading is an indicator of the position of the short-term average relative to the long-term average. If the MACD is above the zero line, then the short-term average relative is above that of the long-term average, thus implying an upward momentum. Vice versa is the case if the MACD is below the zero line.
Analysts at Goldman lowered their recommendation on shares of KMT from Buy to Sell in their opinion released on July 16. BofA/Merrill analysts again handed out a Underperform recommendation to Kennametal Inc. (NYSE:KMT) stock but they lifted target price for the shares in a flash note issued to investors on June 13. The target price has been raised from $34 to $30. Analysts at BofA/Merrill are sticking to their Underperform stance. However, on November 06, they lifted price target for these shares to $35 from $40.
KMT equity has an average rating of 2.38, with the figure leaning towards a bullish end. 12 analysts who tracked the company were contacted by Reuters. Amongst them, 6 rated the stock as a hold while the remaining 6 were split even though not equally. Some analysts rate the stock as a buy or a strong buy while others rated it as a sell. 5 analysts rated Kennametal Inc. (NYSE:KMT) as a buy or a strong buy while 1 advised that investors should desist from purchasing the stock or sell them if they already own the company’s stock.
Moving on, KMT stock price is currently trading at 8.97X forward 12-month Consensus EPS estimates, and its P/E ratio is 9.8 while for the average stock in the same group, the multiple is 22.4. Kennametal Inc. current P/B ratio of 1.8 means it is trading at a discount against its industry’s 3.1.
Kennametal Inc. (KMT)’s current-quarter revenues are projected to climb by nearly -7% to hit $545660, based on current consensus estimate. The firm’s full-year revenues are expected to expand by over -2.1% from $2.38 billion to a noteworthy $2.32 billion. At the other end of the current quarter income statement, Kennametal Inc. is expected to see its adjusted earnings surge by roughly -30% to hit $0.49 per share. For the fiscal year, KMT’s earnings are projected to climb by roughly -7% to hit $2.81 per share.