Kennametal price target raised to $26 from $24 at Loop Capital

Loop Capital raised the firm’s price target on Kennametal (KMT) to $26 from $24 but keeps a Hold rating on the shares. After the company’s “solid” Q1 results, its Q2 guidance also looks “highly achievable”, though the challenge is around a “heavily-weighted” second-half guide which carries downside risk should end-demand remain tepid, the analyst tells investors in a research note. The midpoint of FY25 EPS outlook also reflects a third consecutive year of flat earnings, which pressures any “trough-earnings/peak-multiple valuation argument”, Loop added.