ScoreWhy is Kennametal, Inc. ?
1
Company has a low Debt to Equity ratio (avg) at times
2
Flat results in Jun 25
- OPERATING CASH FLOW(Y) Lowest at USD 208.32 MM
- ROCE(HY) Lowest at 7.35%
- PRE-TAX PROFIT(Q) At USD 34.66 MM has Fallen at -38.96%
3
With ROCE of 10.40%, it has a fair valuation with a 1.25 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 10.42%, its profits have fallen by -4.8%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Kennametal, Inc. should be less than 10%
- Overall Portfolio exposure to Industrial Manufacturing should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Industrial Manufacturing)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Kennametal, Inc. for you?
Medium Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Kennametal, Inc.
60.7%
0.56
39.17%
S&P 500
16.12%
0.70
20.15%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
3.58%
EBIT Growth (5y)
6.96%
EBIT to Interest (avg)
6.52
Debt to EBITDA (avg)
1.75
Net Debt to Equity (avg)
0.42
Sales to Capital Employed (avg)
1.08
Tax Ratio
27.42%
Dividend Payout Ratio
66.92%
Pledged Shares
0
Institutional Holding
100.00%
ROCE (avg)
9.90%
ROE (avg)
9.24%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
23
Industry P/E
Price to Book Value
2.19
EV to EBIT
18.68
EV to EBITDA
10.56
EV to Capital Employed
1.87
EV to Sales
1.66
PEG Ratio
1.20
Dividend Yield
1.44%
ROCE (Latest)
10.01%
ROE (Latest)
9.62%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
No Trend
Mildly Bullish
OBV
No Trend
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend10What is working for the Company
INTEREST COVERAGE RATIO(Q)
Highest at 1,408.12
RAW MATERIAL COST(Y)
Fallen by -9.89% (YoY
DEBTORS TURNOVER RATIO(HY)
Highest at 7.49 times
NET SALES(Q)
Highest at USD 529.52 MM
OPERATING PROFIT(Q)
Highest at USD 89.33 MM
PRE-TAX PROFIT(Q)
Highest at USD 51.17 MM
NET PROFIT(Q)
At USD 35.7 MM has Grown at 89.18%
EPS(Q)
Highest at USD 0.44
-5What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at USD 180.03 MM
DIVIDEND PAYOUT RATIO(Y)
Lowest at 45.5%
INVENTORY TURNOVER RATIO(HY)
Lowest at 2.44 times
Here's what is working for Kennametal, Inc.
Interest Coverage Ratio
Highest at 1,408.12
in the last five periodsMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Net Sales
Highest at USD 529.52 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (USD MM)
Operating Profit
Highest at USD 89.33 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (USD MM)
Pre-Tax Profit
Highest at USD 51.17 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (USD MM)
Pre-Tax Profit
At USD 51.17 MM has Grown at 80.85%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (USD MM)
Net Profit
At USD 35.7 MM has Grown at 89.18%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is positive
Net Profit (USD MM)
EPS
Highest at USD 0.44
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (USD)
Debtors Turnover Ratio
Highest at 7.49 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Raw Material Cost
Fallen by -9.89% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Here's what is not working for Kennametal, Inc.
Operating Cash Flow
Lowest at USD 180.03 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (USD MM)
Inventory Turnover Ratio
Lowest at 2.44 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
Dividend Payout Ratio
Lowest at 45.5%
in the last five yearsMOJO Watch
Company is distributing lower proportion of profits generated as dividend
DPR (%)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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