Kadant Q3 revenue beats estimates as acquisitions boost results

Overview

• U.S. industrial processing supplier's Q3 revenue rose 15%, beating analyst expectations

• Adjusted EPS for Q3 set a record and beat analyst expectations

• Company raised full-year revenue and adjusted EPS guidance

Outlook

• Kadant raises 2026 revenue guidance to $1.195-$1.210 bln

• Kadant raises 2026 adjusted EPS guidance to $12.58-$12.73

• Company says timing of large capital orders affected by economic and geopolitical uncertainty

Result Drivers

• AFTERMARKET BUSINESS - Co said strong aftermarket business contributed to Q3 results, per CEO Jeffrey L. Powell

• ACQUISITIONS - Acquisitions contributed 11% to Q3 revenue growth

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the industrial machinery & equipment peer group is "buy"

• Wall Street's median 12-month price target for Kadant Inc is $357.50, about 26.4% above its November 3 closing price of $282.79

• The stock recently traded at 21 times the next 12-month earnings vs. a P/E of 23 three months ago

Reuters Recommended Reads

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)