Discounted Cash Flow

Kennametal Inc.

KMT · Based on 10 years of SEC filings

Average annual growth rates

Metric 10-Year 5-Year 3-Year
Sales
Free Cash Flow
Average (FCF & NI)
Net Income

Average annual growth is the mean year-over-year change across each period.

Endpoint CAGR (better for long term trend)

Metric 10-Year 5-Year 3-Year
Sales
Free Cash Flow
Average (FCF & NI)
Net Income

Endpoint CAGR is the compound annual rate from the first to last year in each period.

Projections use average year-over-year growth. Change this in Settings.

Projected growth rate

Free cash flow growth
10-year: — 5-year: — 3-year: —
Averaged growth (FCF & NI)
10-year: — 5-year: — 3-year: —
Net income growth
10-year: — 5-year: — 3-year: —
Sales growth (not added to calculations)
10-year: — 5-year: — 3-year: —

Click a greyed-out slider to switch metrics. Slide between the 10-year, 5-year, and 3-year historic growth rates for FCF, net income, or their average.

%
%

Historical inputs (10 fiscal years)

YEAR Sales Net Income Free Cash Flow Net Margin EPS (diluted)
2016 $2.1b $-226.0m $108.6m -10.8% $-2.83
2017 $2.1b (-1.9%) $49.1m (121.7%) $74.2m (-31.7%) 2.4% (122.2%) $0.61 (121.6%)
2018 $2.4b (15.0%) $200.2m (307.4%) $106.3m (43.3%) 8.5% (254.1%) $2.45 (301.6%)
2019 $2.4b (0.3%) $241.9m (20.9%) $88.2m (-17.0%) 10.2% (20.5%) $2.94 (20.0%)
2020 $1.9b (-20.6%) $-5.7m (-102.3%) $-20.4m (-123.2%) -0.3% (-102.9%) $-0.07 (-102.4%)
2021 $1.8b (-2.3%) $54.4m (1061.6%) $108.4m (630.9%) 3.0% (1084.5%) $0.65 (1028.6%)
2022 $2.0b (9.3%) $144.6m (165.7%) $84.5m (-22.0%) 7.2% (143.1%) $1.74 (167.7%)
2023 $2.1b (3.3%) $118.5m (-18.1%) $163.6m (93.5%) 5.7% (-20.7%) $1.47 (-15.5%)
2024 $2.0b (-1.5%) $109.3m (-7.7%) $169.5m (3.7%) 5.3% (-6.3%) $1.38 (-6.1%)
2025 $2.0b (-3.9%) $93.1m (-14.8%) $119.4m (-29.6%) 4.7% (-11.3%) $1.21 (-12.3%)

Base FCF: (latest fiscal year)

Discount rate: %

Terminal growth:

Projection period: years

Alt A decline yrs:

Alt B total yrs:

Projected cash flows

Year Projected cash flow Discount Factor Present Value

PV of projected FCF:

Terminal FCF:

Terminal value:

PV of terminal value:

Enterprise value (DCF):

DCF price per share:

Current price:

Alternative DCF Models

Model Fair Value Upside PV(FCFs) PV(Terminal) Total Years
Standard (10yr→TV) 10 + TV
Alt A (Gradual Decline)
Alt B (30yr Hard Stop) N/A

This is a simplified DCF model for illustration. It uses reported free cash flow, a single growth assumption, fixed WACC, and a Gordon Growth terminal value. It is not investment advice.

+ 10YR Financials Balance Sheet (10YR) Cash Flow (10YR) DCF Model