PITTSBURGH - Industrial technology leader Kennametal Inc. (NYSE: NYSE:KMT) has appointed David Bersaglini as Vice President and President of its Metal Cutting segment, effective August 26, 2024.
Bersaglini, with nearly a quarter-century of industry experience, will be joining from Copeland, a company born from Emerson (NYSE:EMR)'s spin-off, where he held a similar leadership role.
Bersaglini's appointment follows a career marked by leadership across various global industrial capacities, including a notable stint as Vice President and General Manager at Copeland. Here, he managed the Global Refrigeration segment, overseeing a $1 billion operation that spanned the Americas, Europe, and Asia.
His responsibilities included crafting strategies for long-term growth and managing manufacturing, product strategy, engineering, sales, and marketing.
Sanjay Chowbey, President and CEO of Kennametal, remarked on Bersaglini's proven track record and his ability to drive strategic initiatives, citing his commercial expertise and results-driven approach as key factors in his selection.
As President of the Metal Cutting segment, Bersaglini will be responsible for all facets of the global business, aiming to advance strategy, promote operational excellence, and achieve profitable growth.
Bersaglini's background includes a progressive tenure at Emerson since 2001, where he held roles in product management, marketing, sales, strategic planning, and general management.
He has been credited with driving value creation through market strategy development and the introduction of new products. In addition to his leadership positions, Bersaglini holds a Bachelor of Science in mechanical engineering and an MBA from The Ohio State University.
Kennametal, with a history spanning over 80 years, serves customers in various sectors, including aerospace, defense, energy, and transportation, providing materials science, tooling, and wear-resistant solutions. The company, which employs around 8,700 people, reported revenues of $2.1 billion in fiscal 2023.
This announcement is based on a press release statement from Kennametal Inc.
In other recent news, Kennametal has undergone a series of significant developments. Loop Capital adjusted Kennametal's share price target to $22, down from $24, due to a series of data points suggesting a lower earnings forecast.
The firm projects Kennametal's fiscal year 2024 earnings per share (EPS) to be $1.43 and predicts a decline in earnings for fiscal year 2025, with an EPS forecast of $1.35.
Kennametal's production facility in Rogers (NYSE:ROG), Arkansas experienced extensive damage due to a tornado. Incoming President & CEO, Sanjay Chowbey, committed to swiftly restoring operations at the integral facility.
Loop Capital also recently raised Kennametal's price target to $24 from $23, maintaining a Hold rating on the stock, following the company's third-quarter results and guidance indicating a seasonal wrap-up to fiscal 2024.
Kennametal reported a 4% decrease in sales during its third-quarter fiscal 2024 earnings call, with a significant 14% decline in the Energy sector. Adjusted EBITDA and EPS also saw reductions, largely due to lower sales volumes and external economic factors.
However, the company's full-year sales outlook has been narrowed, with expectations for adjusted EPS to be between $1.40 and $1.55. These are the recent developments concerning Kennametal.
InvestingPro Insights
As David Bersaglini takes the helm of Kennametal's Metal Cutting segment, investors and industry observers are closely monitoring the company's financial health and market performance. According to real-time data from InvestingPro, Kennametal boasts a market capitalization of $1.91 billion, reflecting its significant presence in the industrial technology sector. The company's Price/Earnings (P/E) ratio stands at 17.84, indicating how much investors are willing to pay for a dollar of earnings, with an adjusted P/E ratio from the last twelve months as of Q3 2024 at a slightly lower 15.38.
InvestingPro Tips reveal that Kennametal has a high shareholder yield, which is a positive sign for investors looking for potential returns. Moreover, the company has shown a commitment to its shareholders by maintaining dividend payments for an impressive 54 consecutive years, with the latest dividend yield being 3.3%. These factors, combined with the company's ability to keep liquid assets above short-term obligations, provide a layer of financial stability that may be attractive to investors.
For those interested in Kennametal's stock performance and future outlook, it's worth noting that the company's stock price movements have been quite volatile. This could be an important consideration for investors with different risk appetites. Additionally, while 6 analysts have revised their earnings downwards for the upcoming period, the company has been profitable over the last twelve months, and analysts predict it will remain profitable this year.
To delve deeper into Kennametal's financials and to access more InvestingPro Tips, investors can visit https://www.investing.com/pro/KMT. There are currently 7 additional tips available on InvestingPro for those seeking more detailed investment analysis.
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