Kennametal (KMT) Stock Fundamentals, Analysis & Risk Signals

Health score, price, valuation, risk signals, and key metrics at a glance.

Kennametal

NYSE•Industrials•Tools & Accessories

$31.02+1.59(0.05%)Market closed

Market Cap

$2.28B

P/E

6.6x

P/S

1.0x

P/B

1.4x

Kennametal Inc. engages in development and application of tungsten carbides, ceramics, and hard materials and solutions worldwide. It operates through two segments, Metal Cutting and Infrastructure. The Metal Cutting segment provides milling, hole making, turning, threading, and toolmaking systems used in the manufacture of airframes, aero engines, trucks and automobiles, ships, and various types of industrial equipment under the Kennametal, WIDIA, WIDIA Hanita, and WIDIA GTD brands through its direct sales force, a network of independent and national distributors, integrated supplier channels, and digitally. Its Infrastructure segment produces engineered tungsten carbide and ceramic components, earth-cutting tools, and metallurgical powders, such as compacts, nozzles, frac seats, and custom components used in oil and gas and petrochemical industries; rod blanks and abrasive water jet nozzles for general industries; earth cutting tools and systems used in underground mining, trenching and foundation drilling, and road milling; tungsten carbide powders for the oil and gas, aerospace, and process industries; high temperature critical wear components, tungsten penetrators, and armor solutions for aerospace and defense; and ceramics used by the packaging industry for metallization of films and papers under the Kennametal brand through a direct sales force and distributors. The company was founded in 1938 and is based in Pittsburgh, Pennsylvania.

How this company scores

GoodMetricSide Score: 78/100

Strongest: Profitability (25/25); weakest: Cash & Earnings Quality (9/25).

Profitability25/25

Growth24/25

Balance Sheet & Red Flags20/25

Cash & Earnings Quality9/25

Strengths

Growing revenueStrong marginsHigh ROERising earnings

Valuation vs. 5-year range

Today's multiple positioned against its own trailing range — a visual premium/discount check.

P/E · 6.6x5y range 6.6x – 20.0x

Currently below its 20-quarter median.

P/S · 1.0x5y range 0.8x – 1.2x

Currently near its 20-quarter median.

P/B · 1.4x5y range 1.2x – 1.9x

Watch items

Data-driven signals worth keeping an eye on across the last 8 quarters

Some Concerns

Earnings Quality

Watch

FCF/Net Income has dropped below 0.7x in 4 quarters — monitor for earnings quality deterioration.

Cash Burn

Watch

FCF turned negative in 3 of the last 8 quarters — occasional cash consumption.

Price & Volume

Market Cap $2.28B

Metrics at a Glance

as of June 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue: $2.36B
Q. Revenue: $736.61M
TTM EBITDA: $615.69M
TTM Op. Income: $472.53M
Q. Op. Income: $302.88M
TTM Net Income: $342.39M
Q. Net Income: $226.98M
EPS: $2.976
Shares Out.: $76.27M

$2.36B in TTM revenue grew 19.8% YoY, reaching $736.61M last quarter. TTM EBITDA of $615.69M and TTM operating income of $472.53M show growth is flowing through to the bottom line. TTM net income of $342.39M means revenue is converting into profit. Across the last 8 quarters, TTM revenue has risen for 4 consecutive quarters — an improving trend.

Margins

Gross, EBITDA, operating, and net margin trends

Gross Margin: 58.9%
EBITDA Margin: 45.9%
Op. Margin: 41.1%
Net Margin: 30.8%

Op. margin of 41.1% is up 35.0% YoY — cost efficiency is improving. Net margin at 30.8% and gross margin of 58.9% show how much of each revenue dollar survives to profit. Across the last 8 quarters, operating margin has risen for 4 consecutive quarters — an improving trend.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio: 6.6x
P/S Ratio: 1.0x
P/B Ratio: 1.4x

At 6.6x P/E, the stock trades below typical market levels. P/S of 1.0x and P/B of 1.4x provide additional context. P/E sits below typical market levels while revenue is growing. Across the last 8 quarters, P/E has fallen for 2 consecutive quarters — an improving trend.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets: $3.17B
Cash: $95.79M
Long-Term Debt: $685.28M
Book Value: $1.61B
D/E Ratio: 0.4
Debt/EBITDA: 2.0

With $3.17B in assets and $685.28M in long-term debt, D/E is 0.4and book value is $1.61B — a conservative capital structure with a cushion to weather downturns. Across the last 8 quarters, debt/equity has fallen for 6 consecutive quarters — an improving trend.

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow: $-73.69M
TTM Free Cash Flow: $-80.91M
FCF Margin: -3.4%
FCF / Net Income: -0.2

TTM FCF of $-80.91M on $-73.69M in operating cash flow. The FCF / Net Income ratio of -0.2x means the business consumes cash — it is not yet self-funding. Across the last 8 quarters, free cash flow has fallen for 2 consecutive quarters — a weakening trend.