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Kennametal India Limited (IN:KENNAMET)
:KENNAMET
India Market
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Kennametal India Limited (KENNAMET) AI Stock Analysis

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IN:KENNAMET

Kennametal India Limited

(KENNAMET)

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Neutral 68 (OpenAI - Gpt-5.6Sol)
Rating:68Neutral
Price Target:
$4,021.00
Action:N/A
Date:09/22/26
The score is primarily driven by strong financial strength and growth (including an exceptionally conservative balance sheet), offset by weak 2026 cash-flow quality and margin compression. Technicals are supportive due to an established uptrend, but the overall score is capped by expensive valuation (high P/E and modest dividend yield).
Positive Factors
Strong Revenue Growth
The sustained expansion in revenue indicates stronger market reach and customer demand across Kennametal India's industrial tooling and engineered-materials activities. Continued top-line growth can support operating scale, deepen customer relationships, and provide a durable base for future earnings generation.
Negative Factors
Weak Cash Conversion
The sharp disconnect between higher reported earnings and negative free cash flow weakens the quality of recent profits. Working-capital outflows and/or elevated investment spending may be temporary, but sustained weak conversion would reduce internally generated funding and constrain financial flexibility.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong Revenue Growth
The sustained expansion in revenue indicates stronger market reach and customer demand across Kennametal India's industrial tooling and engineered-materials activities. Continued top-line growth can support operating scale, deepen customer relationships, and provide a durable base for future earnings generation.
Read all positive factors

Kennametal India Limited (KENNAMET) vs. iShares MSCI India ETF (INDA)

Kennametal India Limited Business Overview & Revenue Model

Company Description
Kennametal India Limited, along with its subsidiary, is a manufacturer and distributor of robust metal products and advanced machine tools, serving both domestic and international markets. The company's operations are divided into two main divisio...
How the Company Makes Money
Kennametal India makes money primarily by selling industrial tooling and engineered wear solutions to manufacturers and infrastructure-related customers in India and, where applicable, through exports within the broader Kennametal network. Key re...

Kennametal India Limited Financial Statement Overview

Summary
Strong revenue growth and solid profitability with a very conservative, low-debt balance sheet. However, 2026 shows meaningful gross margin compression and a major deterioration in cash conversion (negative free cash flow despite higher net income), which materially raises near-term execution risk.
Income Statement
82
Very Positive
Balance Sheet
96
Very Positive
Cash Flow
52
Neutral
BreakdownJun 2026Jun 2025Jun 2024Jun 2023Jun 2022
Income Statement
Total Revenue15.11B11.70B10.98B10.76B9.88B
Gross Profit4.88B5.44B4.81B4.50B4.60B
EBITDA3.09B1.87B1.96B1.57B1.88B
Net Income1.96B1.03B1.10B877.00M1.14B
Balance Sheet
Total Assets12.65B9.67B9.27B8.51B8.30B
Cash, Cash Equivalents and Short-Term Investments472.00M1.71B1.13B892.00M642.00M
Total Debt19.00M25.00M30.00M27.00M0.00
Total Liabilities4.11B2.19B1.94B1.63B1.83B
Stockholders Equity8.54B7.47B7.33B6.88B6.46B
Cash Flow
Free Cash Flow-348.00M1.14B858.00M680.00M-159.00M
Operating Cash Flow188.00M1.45B1.15B1.16B491.00M
Investing Cash Flow-483.00M-39.00M-247.00M-453.00M-619.00M
Financing Cash Flow-887.00M-892.00M-669.00M-447.00M-526.00M

Kennametal India Limited Technical Analysis

Technical Analysis Sentiment
Negative
Last Price―
Price Trends
50DMA
4221.09
Negative
100DMA
3606.16
Positive
200DMA
2985.27
Positive
Market Momentum
MACD
-136.67
Positive
RSI
38.18
Neutral
STOCH
38.65
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:KENNAMET, the sentiment is Negative. The current price of undefined is equal to the 20-day moving average (MA) of 4024.20, equal to the 50-day MA of 4221.09, and equal to the 200-day MA of 2985.27, indicating a neutral trend. The MACD of -136.67 indicates Positive momentum. The RSI at 38.18 is Neutral, neither overbought nor oversold. The STOCH value of 38.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:KENNAMET.

Kennametal India Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
79
Outperform
₹81.03B36.48―1.43%12.99%29.07%
68
Neutral
₹80.92B41.29―1.09%29.08%90.48%
67
Neutral
₹68.90B32.92―2.88%-38.60%-60.08%
64
Neutral
₹37.75B24.38―0.36%20.22%69.59%
55
Neutral
$6.65B3.83-15.92%6.20%10.91%7.18%
51
Neutral
₹7.25B59.95―2.66%-9.28%-46.61%
43
Neutral
₹719.65M-2.34――14.63%-238.37%
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IN:KENNAMET
Kennametal India Limited
3,681.90
1,630.11
79.45%
IN:ESABINDIA
Esab India Limited
5,263.90
442.39
9.18%
IN:HARSHA
Harsha Engineers International Ltd.
414.60
12.25
3.05%
IN:NIBL
NRB Industrial Bearings Ltd.
29.70
0.15
0.51%
IN:SKFINDIA
SKF India Limited
1,393.70
-683.40
-32.90%
IN:STERTOOLS
Sterling Tools Limited
199.40
-104.37
-34.36%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Sep 22, 2026