CARPENTER TECHNOLOGY (CRS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CRS - US1442851036 - Common Stock
340.28 USD
+4.61 (+1.37%)
334.318 USD
-5.96 (-1.75%)
Overall CRS gets a fundamental rating of 7 out of 10. We evaluated CRS against 71 industry peers in the Aerospace & Defense industry. Both the health and profitability get an excellent rating, making CRS a very profitable company, without any liquidiy or solvency issues. CRS has a decent growth rate and is not valued too expensively. These ratings would make CRS suitable for quality investing!
1. Profitability
1.1 Basic Checks
In the past year CRS was profitable.
In the past year CRS had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: CRS reported negative net income in multiple years.
Each year in the past 5 years CRS had a positive operating cash flow.
1.2 Ratios
The Return On Assets of CRS (12.15%) is better than 94.37% of its industry peers.
CRS has a better Return On Equity (21.64%) than 90.14% of its industry peers.
CRS's Return On Invested Capital of 15.64% is amongst the best of the industry. CRS outperforms 95.77% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CRS is in line with the industry average of 8.63%.
The last Return On Invested Capital (15.64%) for CRS is above the 3 year average (9.88%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.15% | ||
| ROE | 21.64% | ||
| ROIC | 15.64% |
ROA(3y)6.09%
ROA(5y)1.77%
ROE(3y)11.79%
ROE(5y)3.03%
ROIC(3y)9.88%
ROIC(5y)N/A
1.3 Margins
CRS has a Profit Margin of 14.29%. This is amongst the best in the industry. CRS outperforms 90.14% of its industry peers.
In the last couple of years the Profit Margin of CRS has grown nicely.
CRS's Operating Margin of 19.40% is amongst the best of the industry. CRS outperforms 90.14% of its industry peers.
In the last couple of years the Operating Margin of CRS has grown nicely.
Looking at the Gross Margin, with a value of 27.95%, CRS is in the better half of the industry, outperforming 60.56% of the companies in the same industry.
In the last couple of years the Gross Margin of CRS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.4% | ||
| PM (TTM) | 14.29% | ||
| GM | 27.95% |
OM growth 3YN/A
OM growth 5Y20.36%
PM growth 3YN/A
PM growth 5Y203.85%
GM growth 3Y48.5%
GM growth 5Y10.19%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so CRS is still creating some value.
CRS has about the same amout of shares outstanding than it did 1 year ago.
CRS has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, CRS has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 9.42 indicates that CRS is not in any danger for bankruptcy at the moment.
CRS has a better Altman-Z score (9.42) than 80.28% of its industry peers.
CRS has a debt to FCF ratio of 2.58. This is a good value and a sign of high solvency as CRS would need 2.58 years to pay back of all of its debts.
CRS's Debt to FCF ratio of 2.58 is amongst the best of the industry. CRS outperforms 88.73% of its industry peers.
CRS has a Debt/Equity ratio of 0.36. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.36, CRS is doing good in the industry, outperforming 60.56% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | 2.58 | ||
| Altman-Z | 9.42 |
ROIC/WACC1.54
WACC10.18%
2.3 Liquidity
CRS has a Current Ratio of 4.44. This indicates that CRS is financially healthy and has no problem in meeting its short term obligations.
CRS has a Current ratio of 4.44. This is amongst the best in the industry. CRS outperforms 80.28% of its industry peers.
A Quick Ratio of 2.37 indicates that CRS has no problem at all paying its short term obligations.
CRS has a Quick ratio of 2.37. This is in the better half of the industry: CRS outperforms 70.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.44 | ||
| Quick Ratio | 2.37 |
3. Growth
3.1 Past
CRS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 46.33%, which is quite impressive.
The Earnings Per Share has been growing by 27.85% on average over the past years. This is a very strong growth
Looking at the last year, CRS shows a small growth in Revenue. The Revenue has grown by 2.40% in the last year.
The Revenue has been growing slightly by 5.70% on average over the past years.
EPS 1Y (TTM)46.33%
EPS 3YN/A
EPS 5Y27.85%
EPS Q2Q%40.46%
Revenue 1Y (TTM)2.4%
Revenue growth 3Y16.15%
Revenue growth 5Y5.7%
Sales Q2Q%2.24%
3.2 Future
CRS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.01% yearly.
The Revenue is expected to grow by 5.66% on average over the next years.
EPS Next Y30.75%
EPS Next 2Y25.52%
EPS Next 3Y20.5%
EPS Next 5Y15.01%
Revenue Next Year4.4%
Revenue Next 2Y6.66%
Revenue Next 3Y6.85%
Revenue Next 5Y5.66%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 41.60 indicates a quite expensive valuation of CRS.
Based on the Price/Earnings ratio, CRS is valued a bit cheaper than the industry average as 64.79% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of CRS to the average of the S&P500 Index (26.92), we can say CRS is valued expensively.
A Price/Forward Earnings ratio of 28.87 indicates a quite expensive valuation of CRS.
Based on the Price/Forward Earnings ratio, CRS is valued a bit cheaper than 74.65% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.57, CRS is valued a bit more expensive.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 41.6 | ||
| Fwd PE | 28.87 |
4.2 Price Multiples
CRS's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. CRS is cheaper than 61.97% of the companies in the same industry.
CRS's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 62.93 | ||
| EV/EBITDA | 24.82 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
CRS has an outstanding profitability rating, which may justify a higher PE ratio.
CRS's earnings are expected to grow with 20.50% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.35
PEG (5Y)1.49
EPS Next 2Y25.52%
EPS Next 3Y20.5%
5. Dividend
5.1 Amount
With a yearly dividend of 0.25%, CRS is not a good candidate for dividend investing.
CRS's Dividend Yield is a higher than the industry average which is at 0.39.
With a Dividend Yield of 0.25, CRS pays less dividend than the S&P500 average, which is at 1.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.25% |
5.2 History
The dividend of CRS decreases each year by -0.08%.
CRS has paid a dividend for at least 10 years, which is a reliable track record.
CRS has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-0.08%
Div Incr Years0
Div Non Decr Years21
5.3 Sustainability
CRS pays out 9.75% of its income as dividend. This is a sustainable payout ratio.
DP9.75%
EPS Next 2Y25.52%
EPS Next 3Y20.5%
340.28
+4.61 (+1.37%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners97.76%
Inst Owner Change0%
Ins Owners2.43%
Ins Owner Change4.95%
Market Cap16.95B
Revenue(TTM)2.89B
Net Income(TTM)413.50M
Analysts81.54
Price Target360.39 (5.91%)
Short Float %6.7%
Short Ratio3.37
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.25% |
Yearly Dividend0.81
Dividend Growth(5Y)-0.08%
DP9.75%
Div Incr Years0
Div Non Decr Years21
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.39%
Min EPS beat(2)5.81%
Max EPS beat(2)10.98%
EPS beat(4)4
Avg EPS beat(4)6.6%
Min EPS beat(4)2.34%
Max EPS beat(4)10.98%
EPS beat(8)7
Avg EPS beat(8)9.84%
EPS beat(12)11
Avg EPS beat(12)11.68%
EPS beat(16)15
Avg EPS beat(16)17.18%
Revenue beat(2)0
Avg Revenue beat(2)-4.21%
Min Revenue beat(2)-5.61%
Max Revenue beat(2)-2.81%
Revenue beat(4)0
Avg Revenue beat(4)-4.21%
Min Revenue beat(4)-7.04%
Max Revenue beat(4)-1.38%
Revenue beat(8)1
Avg Revenue beat(8)-3.48%
Revenue beat(12)4
Avg Revenue beat(12)-1.82%
Revenue beat(16)7
Avg Revenue beat(16)0.16%
PT rev (1m)0%
PT rev (3m)19.89%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.68%
EPS NY rev (1m)0.16%
EPS NY rev (3m)-1.24%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.42%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)-2.83%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 41.6 | ||
| Fwd PE | 28.87 | ||
| P/S | 5.86 | ||
| P/FCF | 62.93 | ||
| P/OCF | 38.58 | ||
| P/B | 8.87 | ||
| P/tB | 10.12 | ||
| EV/EBITDA | 24.82 |
EPS(TTM)8.18
EY2.4%
EPS(NY)11.78
Fwd EY3.46%
FCF(TTM)5.41
FCFY1.59%
OCF(TTM)8.82
OCFY2.59%
SpS58.07
BVpS38.36
TBVpS33.64
PEG (NY)1.35
PEG (5Y)1.49
Graham Number84.03
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.15% | ||
| ROE | 21.64% | ||
| ROCE | 18.56% | ||
| ROIC | 15.64% | ||
| ROICexc | 16.8% | ||
| ROICexgc | 18.33% | ||
| OM | 19.4% | ||
| PM (TTM) | 14.29% | ||
| GM | 27.95% | ||
| FCFM | 9.31% |
ROA(3y)6.09%
ROA(5y)1.77%
ROE(3y)11.79%
ROE(5y)3.03%
ROIC(3y)9.88%
ROIC(5y)N/A
ROICexc(3y)10.75%
ROICexc(5y)N/A
ROICexgc(3y)11.84%
ROICexgc(5y)N/A
ROCE(3y)11.72%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5Y26.78%
ROICexc growth 3YN/A
ROICexc growth 5Y27.82%
OM growth 3YN/A
OM growth 5Y20.36%
PM growth 3YN/A
PM growth 5Y203.85%
GM growth 3Y48.5%
GM growth 5Y10.19%
F-Score8
Asset Turnover0.85
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | 2.58 | ||
| Debt/EBITDA | 0.99 | ||
| Cap/Depr | 120.23% | ||
| Cap/Sales | 5.88% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 62.52% | ||
| Profit Quality | 65.15% | ||
| Current Ratio | 4.44 | ||
| Quick Ratio | 2.37 | ||
| Altman-Z | 9.42 |
F-Score8
WACC10.18%
ROIC/WACC1.54
Cap/Depr(3y)81.81%
Cap/Depr(5y)79.25%
Cap/Sales(3y)4.03%
Cap/Sales(5y)4.77%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)46.33%
EPS 3YN/A
EPS 5Y27.85%
EPS Q2Q%40.46%
EPS Next Y30.75%
EPS Next 2Y25.52%
EPS Next 3Y20.5%
EPS Next 5Y15.01%
Revenue 1Y (TTM)2.4%
Revenue growth 3Y16.15%
Revenue growth 5Y5.7%
Sales Q2Q%2.24%
Revenue Next Year4.4%
Revenue Next 2Y6.66%
Revenue Next 3Y6.85%
Revenue Next 5Y5.66%
EBIT growth 1Y39.58%
EBIT growth 3YN/A
EBIT growth 5Y27.21%
EBIT Next Year52.56%
EBIT Next 3Y26.68%
EBIT Next 5Y27.04%
FCF growth 1Y2796.77%
FCF growth 3YN/A
FCF growth 5Y36.49%
OCF growth 1Y338.96%
OCF growth 3Y318.7%
OCF growth 5Y13.7%
CARPENTER TECHNOLOGY / CRS FAQ
Can you provide the ChartMill fundamental rating for CARPENTER TECHNOLOGY?
ChartMill assigns a fundamental rating of 7 / 10 to CRS.
What is the valuation status of CARPENTER TECHNOLOGY (CRS) stock?
ChartMill assigns a valuation rating of 4 / 10 to CARPENTER TECHNOLOGY (CRS). This can be considered as Fairly Valued.
What is the profitability of CRS stock?
CARPENTER TECHNOLOGY (CRS) has a profitability rating of 8 / 10.
Can you provide the financial health for CRS stock?
The financial health rating of CARPENTER TECHNOLOGY (CRS) is 8 / 10.
How sustainable is the dividend of CARPENTER TECHNOLOGY (CRS) stock?
The dividend rating of CARPENTER TECHNOLOGY (CRS) is 5 / 10 and the dividend payout ratio is 9.75%.