# Kadant Inc (KAI) fundamentals

Data as of 2026-09-08. NYSE, United States. Sector: Industrials / Machinery. Price $298.76, market value $3.5 billion.

## Valuation
- **P/E (trailing): 32.2×** (5-yr avg 29.2×, 3-yr avg 32.6×). Kadant Inc trades at 32.2× trailing earnings, close to its own five-year average of 29.2×. The Industrials median in the September 2026 study was 25.7×. Forward P/E is 22.1×, lower than trailing, so analysts expect earnings to grow.
- **Price / sales: 3.1×**. Each dollar of revenue is priced at 3.1×.
- **Price / book: 3.4×**. The shares trade at 3.4× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 16.4×**. Enterprise value is 16.4× operating earnings before depreciation, the multiple that ignores how the company is financed.
- **Free-cash-flow yield: 4.5%** (5-yr avg 4.3%). Free cash flow equals 4.5% of the market value, in line with its five-year average of 4.3%.
- **Earnings yield: 3.1%**. The inverse of the P/E: 3.1% of the price is earned each year.

## Profitability
- **Operating margin: 15.0%**. 15.0% of revenue is left after running the business, a healthy level in most sectors.
- **Net margin: 9.7%**. 9.7% of each dollar of sales reaches the bottom line.
- **Return on equity: 10.4%**. 10.4% on shareholders' equity is solid.
- **Return on invested capital: 11.1%**. Return on all capital, debt included, is 11.1%.
- **Return on assets: 6.4%**. Each dollar of assets produces 6.4% of profit.

## Growth
- **Revenue growth (1 yr): -0.1%** (3-yr 5.2%/yr, 5-yr 10.6%/yr). Revenue fell 0.1% over the last year, against 10.6% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): -8.8%** (3-yr -5.8%/yr, 5-yr 12.6%/yr). Earnings per share fell 8.8%, slower than revenue, so margins compressed.
- **Free-cash-flow growth (3 yr): 27.5%/yr**. Free cash flow has compounded at 27.5% a year over three years, keeping pace with earnings: the growth is real cash.

## Financial health
- **Debt to equity: 0.38**. Debt is 0.38 times equity: a conservative balance sheet.
- **Net debt / EBITDA: 1.1×**. It would take 1.1 years of operating earnings to repay net borrowings, within the comfortable range.
- **Piotroski F-score: 3/9**. 3 of 9 checks pass: weak or deteriorating financials.

## Dividends
- **Dividend yield: 0.48%** ($1.40 per share, trailing). Kadant Inc yields 0.48%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 15%** (10% of free cash flow). 15% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 13**. 13 straight years of increases, a record that survived at least one recession.
- **Dividend growth (5 yr): 7.1%/yr** (1-yr 7.2%). The dividend has grown 7.1% a year over five years.

## Price and momentum
- **Total return (1 yr): -8.6%** (YTD 5.2%, 3-mo 2.0%). The shares are down 8.6% over twelve months including dividends.
- **From 52-week high: -15.6%** (22.0% above the low). Trading 16% below its 52-week high.
- **200-day average: below**. The price sits below its 200-day moving average, the usual definition of a downtrend.
- **RSI (14-day): 40**. An RSI of 40 is neutral.
- **Beta (1 yr): 1.51** (volatility 39%). Beta of 1.51 against the S&P 500: the shares move much more than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=KAI · Page: https://foliofundamentals.com/stocks/kai

Not investment advice.