Kennametal Stock Analysis, Valuation (NYSE:KMT)

Add to My Stocks
$35.1 $2.33 (6.22%) KMT stock closing price Jun 21, 2018 (Closing)

Investors can watch the Amigobulls Kennametal stock analysis video here. Our KMT analysis video highlights revenue and profit trends along with other important metrics such as valuation to find what makes the stock attractive.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

Kennametal Inc. Stock Rating 3.4/5

We at Amigobulls use various financial measures including profit margins, revenue growth and dividends for KMT stock analysis. Kennametal valuation analysis is based on relative valuation multiples like PE ratio and price to sales ratio. Based on a company's historical fundamentals we arrive at Kennametal stock rating which is indicative of the company's financial performance.

Should you buy KMT stock?

  • The TTM operating margin was good at 10.94 for Kennametal.
  • Net margins stood at a healthy 6.8% (average) for Kennametal in the Trailing Twelve Months.
  • The company has an operating cash flow which is 2.2371 times the net income.
  • The Kennametal stock currently trades at a price to earnings ratio of 15.1, compared to the sector average of 21. We rate this as a positive.
  • Kennametal's return on invested capital of 9.9 is good.
  • The company has a healthy free cash flow margin of 11.9.

Should you sell KMT stock?

  • Revenue declined at a CAGR of -3 over the last 5 years.

Comments on this video and Kennametal stock

Amigobulls Kennametal stock analysis helps in evaluating the financial statements of a company to arrive at a conclusion about the fair value of KMT stock. Fundamental analysis of a company is the most often used approach to find the intrinsic value of a stock.

Among the financials of the company, Kennametal revenue growth along with the profit or net income give a clear picture of the financial health. Along with fundamentals, investors can utilize technical analysis to get a better idea about the price trend of Kennametal stock.