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Kadant Inc (KAI)



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Upturn Advisory Summary
09/16/2025: KAI (1-star) is currently NOT-A-BUY. Pass it for now.
1 Year Target Price $343.33
1 Year Target Price $343.33
1 | Strong Buy |
1 | Buy |
2 | Hold |
0 | Sell |
0 | Strong Sell |
Analysis of Past Performance
Type Stock | Historic Profit 6.49% | Avg. Invested days 41 | Today’s Advisory PASS |
Upturn Star Rating ![]() ![]() | Upturn Advisory Performance ![]() | Stock Returns Performance ![]() |
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Key Highlights
Company Size Mid-Cap Stock | Market Capitalization 3.64B USD | Price to earnings Ratio 34.38 | 1Y Target Price 343.33 |
Price to earnings Ratio 34.38 | 1Y Target Price 343.33 | ||
Volume (30-day avg) 4 | Beta 1.25 | 52 Weeks Range 281.01 - 428.60 | Updated Date 09/16/2025 |
52 Weeks Range 281.01 - 428.60 | Updated Date 09/16/2025 | ||
Dividends yield (FY) 0.42% | Basic EPS (TTM) 8.99 |
Analyzing Revenue: Products, Geography and Growth
Revenue by Products
Product revenue - Year on Year
Revenue by Geography
Geography revenue - Year on Year
Earnings Date
Report Date - | When - | Estimate - | Actual - |
Profitability
Profit Margin 10.34% | Operating Margin (TTM) 15.79% |
Management Effectiveness
Return on Assets (TTM) 7.05% | Return on Equity (TTM) 12.2% |
Valuation
Trailing PE 34.38 | Forward PE 30.3 | Enterprise Value 3793310401 | Price to Sales(TTM) 3.55 |
Enterprise Value 3793310401 | Price to Sales(TTM) 3.55 | ||
Enterprise Value to Revenue 3.7 | Enterprise Value to EBITDA 17.84 | Shares Outstanding 11777500 | Shares Floating 11648268 |
Shares Outstanding 11777500 | Shares Floating 11648268 | ||
Percent Insiders 0.86 | Percent Institutions 120.53 |
Upturn AI SWOT
Kadant Inc

Company Overview
History and Background
Kadant Inc. was founded in 1991 as a spin-off from Thermo Electron Corporation. It has grown through acquisitions and organic expansion, evolving into a global supplier of engineered systems serving industries such as paper, packaging, textiles, rubber, and recycling.
Core Business Areas
- Flow Control Systems: Develops, manufactures, and markets a range of precision flow control equipment and systems used to optimize production processes.
- Industrial Processing: Provides custom-engineered systems and components used in the processing of various materials, including paper, wood, and textiles.
- Material Handling: Offers equipment and systems for conveying, separating, and processing materials used in a variety of industries. This includes fiber-based and recycling applications
Leadership and Structure
Kadant operates under a corporate structure led by the CEO and a senior management team. The company's operations are organized into business segments, each with its own leadership and responsibilities.
Top Products and Market Share
Key Offerings
- Doctoring Systems: These systems clean and condition rolls in paper machines and other industrial equipment. Kadant is a major player in this segment with significant global market share (estimated 20-30% in relevant segments). Competitors include Andritz, Valmet, and Aikawa.
- Fiber-based Recycling Systems: Equipment used to recycle and process secondary fibers. Kadant benefits from growing recycling trends. Market share is variable by region, with strong presence in North America and Europe. Competitors include Voith, Andritz and Celpap.
- Fluid Handling Systems: Rotating unions and steam joints that help ensure steam and fluids reach the right part of rotating machinery. Strong market positions worldwide with competition including Deublin and Maier Rotary Joints
Market Dynamics
Industry Overview
The industries Kadant serves are undergoing continuous change. The paper and packaging industries are adapting to e-commerce growth and increased demand for sustainable packaging. The recycling sector is expanding due to growing environmental awareness and regulations.
Positioning
Kadant is a leading supplier of engineered systems, with a strong reputation for innovation and reliability. It differentiates itself through its deep application knowledge and customer-focused approach.
Total Addressable Market (TAM)
The TAM is estimated to be in the billions of dollars, encompassing the global market for engineered systems used in pulp and paper, recycling, and other industries. Kadant is positioned to capture a larger share of this market through strategic acquisitions and organic growth.
Upturn SWOT Analysis
Strengths
- Strong market position in key segments
- Global presence and diversified customer base
- Focus on innovation and product development
- Experienced management team
- Strong service network
Weaknesses
- Exposure to cyclical industries
- Dependence on specific customers and industries
- Integration risks associated with acquisitions
Opportunities
- Expanding into new geographic markets
- Developing new products and services for existing customers
- Acquiring complementary businesses
- Benefiting from increasing demand for sustainable solutions
Threats
- Economic downturns and industry slowdowns
- Increased competition from global players
- Fluctuations in raw material prices
- Changes in environmental regulations
Competitors and Market Share
Key Competitors
- VALE.PA
- ANDR.VI
- VOITH.UL
Competitive Landscape
Kadant possesses technological advantages in certain niche markets. Its diversified product portfolio and global reach provide a strong competitive edge. Competitors are typically large, established companies with diverse offerings.
Major Acquisitions
Swedish company Balitec AB
- Year: 2022
- Acquisition Price (USD millions): 17
- Strategic Rationale: Acquisition expands Kadant's presence in the fiber-based industry and strengthens product portfolio.
Growth Trajectory and Initiatives
Historical Growth: Kadant has grown organically and through acquisitions. Evaluate revenue and earnings growth rates over the past 5-10 years.
Future Projections: Analyst estimates for future growth vary, but mid to high single digit revenue growth is a reasonable expectation, pending external research.
Recent Initiatives: Recent initiatives may include new product launches, strategic acquisitions, and expansion into new markets. Detail each and their anticipated effects.
Summary
Kadant is a well-established player in its niche markets, particularly in engineered systems for fiber-based industries. The company's diversified product portfolio and global presence provide stability, while strategic acquisitions contribute to growth. Challenges include cyclical industry exposure and integration risks. Kadant should focus on capitalizing on sustainability trends and expanding into new markets.
Peer Comparison
Sources and Disclaimers
Data Sources:
- Company Website
- SEC Filings
- Analyst Reports (where available)
Disclaimers:
This analysis is based on publicly available information and is not financial advice. Market share data is approximate and based on industry estimates. Competitor stock symbols may be primary listing.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About Kadant Inc
Exchange NYSE | Headquaters Westford, MA, United States | ||
IPO Launch date 1992-11-03 | President, CEO & Director Mr. Jeffrey L. Powell | ||
Sector Industrials | Industry Specialty Industrial Machinery | Full time employees 3500 | Website https://www.kadant.com |
Full time employees 3500 | Website https://www.kadant.com |
Kadant Inc. supplies technologies and engineered systems worldwide. It operates in three segments: Flow Control, Industrial Processing, and Material Handling. The Flow Control segment develops, manufactures, and markets fluid-handling systems and equipment, such as rotary joints, syphons, turbulator bars, expansion joints, and engineered steam and condensate systems; and doctoring, cleaning, and filtration systems and related consumables consisting of doctor systems and holders, doctor blades, cleaning shower and fabric-conditioning systems, forming systems and wear surfaces, and water-filtration systems. The Industrial Processing segment develops, manufactures, and markets ring and rotary debarkers, stranders, chippers, engineered knife systems, industrial automation and control, recycling and approach flow systems, and virgin pulping process equipment for use in the packaging, tissue, wood products, and alternative fuel industries. The Material Handling segment offers conveying and vibratory equipment, and baling products; and manufactures and sells biodegradable and absorbent granules for carriers in agricultural, home lawn and garden, professional lawn, turf, and ornamental applications, as well as for oil and grease absorption. The company markets and sells its products, services, and systems through direct sales, independent sales agents, and distributors. The company was formerly known as Thermo Fibertek, Inc. and changed its name to Kadant Inc. in July 2001. Kadant Inc. was incorporated in 1991 and is headquartered in Westford, Massachusetts.

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