KMT

Kennametal (KMT), an engineered products maker, has consistently beaten earnings estimates in its last two quarters, surpassing expectations by an average of 20.69%. With a positive Earnings ESP of +1.50% and a Zacks Rank #3 (Hold), the company is well-positioned to potentially beat estimates again in its next earnings report expected on November 4, 2026. Stocks with positive Earnings ESP and Zacks Rank #3 or better historically produce positive surprises nearly 70% of the time.

Zacks Premium offers Style Scores (Value, Growth, Momentum, and VGM) that work alongside the Zacks Rank to help investors identify stocks with the highest probability of outperformance. The article explains how combining a #1 or #2 Zacks Rank with A or B Style Scores can maximize returns. Kennametal (KMT) is highlighted as a #3 Hold with a B VGM Score and strong momentum, having seen recent analyst upgrades.

EnerSys (ENS) is significantly outperforming its Industrial Products peers with a year-to-date return of 33.8% compared to the sector average of 14.6%. The company holds a Zacks Rank #2 (Buy) with improved analyst sentiment, as consensus earnings estimates have increased 10.8% in the past quarter. Kennametal (KMT) is also highlighted as an outperformer with a 14.8% year-to-date return and a stronger Zacks Rank #1 (Strong Buy) rating.

In a comparison of two Manufacturing - Tools & Related Products stocks, Kennametal (KMT) emerges as the more attractive value investment option compared to Core & Main (CNM). KMT holds a Zacks Rank of #1 (Strong Buy) with superior valuation metrics including a forward P/E of 6.44 versus CNM's 13.38, a PEG ratio of 0.31 versus 1.68, and a P/B ratio of 1.5 versus 3.75. KMT received a Value grade of A while CNM received a C grade.

Zacks.com highlights five stocks with low price-to-book ratios and strong growth potential: Banco Macro, Centene, EnerSys, Gibraltar Industries, and Kennametal. These companies are identified as potentially undervalued with attractive return prospects based on valuation metrics and projected earnings growth rates ranging from 15% to 32.4% over 3-5 years.

Five stocks with low price-to-book ratios have been identified as potentially undervalued investment opportunities. These companies—Banco Macro, Centene, EnerSys, Gibraltar Industries, and Kennametal—all meet key value-screening criteria with Zacks Rank #1 or #2 ratings and Value Scores of A or B. The stocks show projected 3-5-year EPS growth ranging from 15% to 32.4%, with Centene leading at 32.4% growth.

Fastenal Company reported Q3 2026 earnings of 35 cents per share, beating consensus by 2.9% and growing 19.8% year-over-year, but net sales of $2.46 billion missed estimates by 1%. The company benefited from contract customer growth (18.8% daily sales increase), pricing actions (240 bps contribution), and operating margin expansion to 21.5%, though gross margin faced pressure from a mix shift toward larger customers. FAST stock declined 6.2% in pre-market trading following the announcement.

Fastenal is expected to report Q3 2026 earnings on October 14 with EPS estimated at 34 cents, representing 17.2% year-over-year growth. August daily sales grew 16.6% to $38.7M, driven by strong manufacturing demand and direct fastener sales.

While productivity gains and cost initiatives should support margins, unfavorable customer mix and higher freight costs present headwinds. The Zacks model does not predict an earnings beat.