Kadant (NYSE:KAI) Stock Price Up 5.4% on Better-Than-Expected Earnings

Kadant Inc. (NYSE:KAI - Get Free Report) was up 5.4% during mid-day trading on Wednesday following a stronger than expected earnings report. The company traded as high as $343.53 and last traded at $337.82. Approximately 14,523 shares traded hands during mid-day trading, a decline of 82% from the average daily volume of 80,439 shares. The stock had previously closed at $320.55.

The industrial products company reported $2.84 earnings per share for the quarter, beating the consensus estimate of $2.43 by $0.41. Kadant had a net margin of 11.35% and a return on equity of 15.48%. The firm had revenue of $271.61 million during the quarter, compared to the consensus estimate of $266.38 million. During the same quarter in the previous year, the company posted $2.69 EPS. The firm's revenue for the quarter was up 11.2% on a year-over-year basis.

Kadant Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Thursday, November 7th. Shareholders of record on Thursday, October 10th will be paid a $0.32 dividend. The ex-dividend date is Thursday, October 10th. This represents a $1.28 annualized dividend and a yield of 0.38%. Kadant's payout ratio is currently 13.17%.

Analyst Ratings Changes

KAI has been the topic of several recent analyst reports. Barrington Research reiterated an "outperform" rating and set a $360.00 target price on shares of Kadant in a research report on Wednesday. DA Davidson upped their price objective on Kadant from $290.00 to $300.00 and gave the stock a "neutral" rating in a report on Thursday, August 1st.

Insider Transactions at Kadant

In other news, Director Thomas C. Leonard sold 2,000 shares of the firm's stock in a transaction on Thursday, September 26th. The shares were sold at an average price of $337.40, for a total value of $674,800.00. Following the transaction, the director now owns 4,250 shares of the company's stock, valued at approximately $1,433,950. This trade represents a 0.00 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. Company insiders own 1.40% of the company's stock.

Hedge Funds Weigh In On Kadant

Several hedge funds and other institutional investors have recently bought and sold shares of KAI. Vanguard Group Inc. increased its stake in Kadant by 0.4% during the 4th quarter. Vanguard Group Inc. now owns 661,286 shares of the industrial products company's stock worth $185,365,000 after buying an additional 2,885 shares during the period. Principal Financial Group Inc. lifted its stake in shares of Kadant by 21.7% in the first quarter. Principal Financial Group Inc. now owns 5,968 shares of the industrial products company's stock worth $1,958,000 after acquiring an additional 1,063 shares in the last quarter. Janney Montgomery Scott LLC purchased a new position in Kadant in the first quarter valued at about $209,000. Fidelis Capital Partners LLC acquired a new stake in Kadant during the 1st quarter valued at approximately $141,000. Finally, Hardy Reed LLC purchased a new stake in Kadant during the 1st quarter worth approximately $202,000. 96.13% of the stock is owned by institutional investors and hedge funds.

Kadant Stock Up 4.7 %

The company has a market capitalization of $3.94 billion, a PE ratio of 34.35 and a beta of 1.21. The company has a debt-to-equity ratio of 0.42, a quick ratio of 1.40 and a current ratio of 2.25. The firm has a fifty day simple moving average of $322.41 and a 200-day simple moving average of $305.09.

Kadant Company Profile

Kadant Inc supplies technologies and engineered systems worldwide. It operates in three segments: Flow Control, Industrial Processing, and Material Handling. The Flow Control segment develops, manufactures, and markets fluid-handling systems and equipment, such as rotary joints, syphons, turbulator bars, expansion joints, and engineered steam and condensate systems; and doctoring, cleaning, and filtration systems and related consumables consisting of doctor systems and holders, doctor blades, cleaning shower and fabric-conditioning systems, forming systems and wear surfaces, and water-filtration systems.