Added to YB: 2024-06-17
Pitch date: 2024-06-17
KMT [bullish]
Kennametal Inc.
+30.03%
current return
Author Info
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Company Info
Kennametal Inc. engages in development and application of tungsten carbides, ceramics, and hard materials and solutions worldwide.
Market Cap
$2.0B
Pitch Price
$22.56
Price Target
N/A
Dividend
2.97%
EV/EBITDA
7.93
P/E
22.04
EV/Sales
1.32
Sector
Machinery
Category
value
Quick Value #222 - Kennametal (KMT)
KMT: Flat for 20yrs, reasonable valuation at 15x P/E, 7.6x EBITDA, 12.5x FCF. Targets 4-6% sales CAGR, 20-25% EPS CAGR FY23-27. Low 1.7x leverage. Makes heavy machinery parts. Int'l headwinds, but strong FCF to fund buybacks & M&A. Potential capital allocation inflection after dividend focus.
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