KENNAMETAL INC's gross profit margin for the fourth quarter of its fiscal year 2014 is essentially unchanged when compared to the same period a year ago. Even though sales increased, the net income has decreased. KENNAMETAL INC has average liquidity. Currently, the Quick Ratio is 1.26 which shows that technically this company has the ability to cover short-term cash needs. The company's liquidity has decreased from the same period last year, indicating deteriorating cash flow.
During the same period, stockholders' equity ("net worth") has increased by 8.27% from the same quarter last year. Together, the key liquidity measurements indicate that it is relatively unlikely that the company will face financial difficulties in the near future.
STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. To learn more visit www.TheStreetRatings.com.
|Income Statement||Q4 FY14||Q4 FY13|
|Net Sales ($mil)||772.2||671.41|
|Net Income ($mil)||45.46||60.82|
|Balance Sheet||Q4 FY14||Q4 FY13|
|Cash & Equiv. ($mil)||177.93||377.32|
|Total Assets ($mil)||3868.09||3301.04|
|Total Debt ($mil)||1061.78||747.95|
|Profitability||Q4 FY14||Q4 FY13|
|Gross Profit Margin||36.81||37.5|
|Return on Assets||4.09||6.15|
|Return on Equity||8.2||11.4|
|Debt||Q4 FY14||Q4 FY13|
|Share Data||Q4 FY14||Q4 FY13|
|Shares outstanding (mil)||78.67||77.84|
|Div / share||0.18||0.16|
|Book value / share||24.52||22.89|
|Institutional Own %||n/a||n/a|
|Avg Daily Volume||608584.0||535553.0|
BUY. The current P/E ratio indicates a premium compared to an average of 18.90 for the Machinery industry and a value on par with the S&P 500 average of 18.06. For additional comparison, its price-to-book ratio of 1.58 indicates a discount versus the S&P 500 average of 2.49 and a discount versus the industry average of 2.99. The current price-to-sales ratio is well below the S&P 500 average and is also below the industry average, indicating a discount.
|KMT 19.53||Peers 18.90||KMT 11.24||Peers 14.00|
Average. An average P/E ratio can signify an industry neutral price for a stock and an average growth expectation.
KMT is trading at a valuation on par with its peers.
Discount. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.
KMT is trading at a discount to its peers.
|KMT 11.26||Peers 16.46||KMT 0.37||Peers 1.18|
Discount. A lower price-to-projected earnings ratio than its peers can signify a less expensive stock or lower future growth expectations.
KMT is trading at a discount to its peers.
Discount. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.
KMT trades at a significant discount to its peers.
|KMT 1.58||Peers 2.99||KMT -21.04||Peers 854.22|
Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.
KMT is trading at a significant discount to its peers.
Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.
However, KMT is expected to significantly trail its peers on the basis of its earnings growth rate.
|KMT 1.08||Peers 1.47||KMT 9.57||Peers 3.17|
Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.
KMT is trading at a significant discount to its industry on this measurement.
Higher. A sales growth rate that exceeds the industry implies that a company is gaining market share.
KMT has a sales growth rate that significantly exceeds its peers.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV