Join +750K new investors every month who copy stock picks from billionaire's portfoliosSign Up Free

Kennametal stock target raised by Loop Capital

EditorAhmed Abdulazez Abdulkadir
Published 05/23/2024, 08:30 AM
© Reuters.

On Thursday, Loop Capital made an adjustment to the price target of Kennametal (NYSE:KMT), a company specializing in tooling and materials for manufacturing sectors. The price target was raised to $24 from the previous $23, while maintaining a Hold rating on the stock.

The adjustment follows Kennametal's fiscal third-quarter results, which were largely in line with expectations, and the company's guidance indicating a seasonal wrap-up to fiscal year 2024. Loop Capital's analyst noted that Kennametal's restructuring program is on course to achieve annual savings of $35 million by the end of the year. Despite this, the firm views Kennametal's fiscal year 2027 earnings target as ambitious without significant improvements in its core markets.

An upcoming leadership change was also highlighted, with Sanjay Chowbey set to take over as CEO from Christopher Rossi on May 31. The analyst suggested that this transition might bring about a strategic realignment within the company.

The report concluded with a reaffirmation of the Hold rating, citing the current state of end demand and cost structure as reasons for not altering the stock's rating. The new price target of $24 reflects market valuation and incorporates the latest company commentary and fiscal projections.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.