CARPENTER TECHNOLOGY (CRS) Stock Fundamental Analysis
NYSE:CRS - US1442851036 - Common Stock
253.99 USD
+6.56 (+2.65%)
Taking everything into account, CRS scores 6 out of 10 in our fundamental rating. CRS was compared to 155 industry peers in the Metals & Mining 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 correct valuation and a medium growth rate. These ratings could make CRS a good candidate 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.
In multiple years CRS reported negative net income over the last 5 years.
In the past 5 years CRS always reported a positive cash flow from operatings.
1.2 Ratios
CRS has a better Return On Assets (10.77%) than 89.68% of its industry peers.
CRS has a Return On Equity of 19.91%. This is amongst the best in the industry. CRS outperforms 92.26% of its industry peers.
The Return On Invested Capital of CRS (14.75%) is better than 93.55% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CRS is below the industry average of 13.00%.
The 3 year average ROIC (9.88%) for CRS is below the current ROIC(14.75%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.77% | ||
| ROE | 19.91% | ||
| ROIC | 14.75% |
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 better Profit Margin (13.06%) than 77.42% of its industry peers.
In the last couple of years the Profit Margin of CRS has grown nicely.
With a decent Operating Margin value of 18.26%, CRS is doing good in the industry, outperforming 70.32% of the companies in the same industry.
In the last couple of years the Operating Margin of CRS has grown nicely.
CRS's Gross Margin of 26.71% is fine compared to the rest of the industry. CRS outperforms 65.16% of its industry peers.
CRS's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.26% | ||
| PM (TTM) | 13.06% | ||
| GM | 26.71% |
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
CRS has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for CRS remains at a similar level compared to 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 7.08 indicates that CRS is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 7.08, CRS is in the better half of the industry, outperforming 77.42% of the companies in the same industry.
The Debt to FCF ratio of CRS is 2.43, which is a good value as it means it would take CRS, 2.43 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of CRS (2.43) is better than 76.77% of its industry peers.
A Debt/Equity ratio of 0.37 indicates that CRS is not too dependend on debt financing.
The Debt to Equity ratio of CRS (0.37) is worse than 68.39% of its industry peers.
Even though the debt/equity ratio score it not favorable for CRS, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 2.43 | ||
| Altman-Z | 7.08 |
ROIC/WACC1.48
WACC9.97%
2.3 Liquidity
A Current Ratio of 3.65 indicates that CRS has no problem at all paying its short term obligations.
With a decent Current ratio value of 3.65, CRS is doing good in the industry, outperforming 70.97% of the companies in the same industry.
A Quick Ratio of 2.01 indicates that CRS has no problem at all paying its short term obligations.
CRS's Quick ratio of 2.01 is in line compared to the rest of the industry. CRS outperforms 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.65 | ||
| Quick Ratio | 2.01 |
3. Growth
3.1 Past
CRS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 57.47%, which is quite impressive.
Measured over the past years, CRS shows a very strong growth in Earnings Per Share. The EPS has been growing by 27.85% on average per year.
The Revenue has been growing slightly by 4.26% in the past year.
The Revenue has been growing slightly by 5.70% on average over the past years.
EPS 1Y (TTM)57.47%
EPS 3YN/A
EPS 5Y27.85%
EPS Q2Q%21.43%
Revenue 1Y (TTM)4.26%
Revenue growth 3Y16.15%
Revenue growth 5Y5.7%
Sales Q2Q%-5.4%
3.2 Future
Based on estimates for the next years, CRS will show a quite strong growth in Earnings Per Share. The EPS will grow by 14.22% on average per year.
CRS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.85% yearly.
EPS Next Y32.39%
EPS Next 2Y26.69%
EPS Next 3Y21.24%
EPS Next 5Y14.22%
Revenue Next Year7.41%
Revenue Next 2Y8.67%
Revenue Next 3Y7.09%
Revenue Next 5Y5.85%
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.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
CRS is valuated quite expensively with a Price/Earnings ratio of 33.96.
Based on the Price/Earnings ratio, CRS is valued a bit cheaper than 67.10% of the companies in the same industry.
CRS's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 27.06.
The Price/Forward Earnings ratio is 25.65, which means the current valuation is very expensive for CRS.
The rest of the industry has a similar Price/Forward Earnings ratio as CRS.
CRS is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 22.69, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.96 | ||
| Fwd PE | 25.65 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as CRS.
67.74% of the companies in the same industry are more expensive than CRS, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 44.26 | ||
| EV/EBITDA | 19.13 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of CRS may justify a higher PE ratio.
CRS's earnings are expected to grow with 21.24% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.05
PEG (5Y)1.22
EPS Next 2Y26.69%
EPS Next 3Y21.24%
5. Dividend
5.1 Amount
With a yearly dividend of 0.33%, CRS is not a good candidate for dividend investing.
CRS's Dividend Yield is a higher than the industry average which is at 2.74.
Compared to an average S&P500 Dividend Yield of 2.45, CRS's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.33% |
5.2 History
The dividend of CRS decreases each year by -0.08%.
CRS has been paying a dividend for at least 10 years, so it has 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 10.73% of its income as dividend. This is a sustainable payout ratio.
DP10.73%
EPS Next 2Y26.69%
EPS Next 3Y21.24%
NYSE:CRS (9/8/2025, 12:20:21 PM)
253.99
+6.56 (+2.65%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners100.55%
Inst Owner Change-3.05%
Ins Owners1.57%
Ins Owner Change4.56%
Market Cap12.66B
Analysts80
Price Target296.41 (16.7%)
Short Float %5.65%
Short Ratio2.62
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.33% |
Yearly Dividend0.81
Dividend Growth(5Y)-0.08%
DP10.73%
Div Incr Years0
Div Non Decr Years21
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.55%
Min EPS beat(2)5.81%
Max EPS beat(2)7.28%
EPS beat(4)4
Avg EPS beat(4)5.93%
Min EPS beat(4)2.34%
Max EPS beat(4)8.27%
EPS beat(8)7
Avg EPS beat(8)10.46%
EPS beat(12)11
Avg EPS beat(12)10.85%
EPS beat(16)15
Avg EPS beat(16)17.15%
Revenue beat(2)0
Avg Revenue beat(2)-3.49%
Min Revenue beat(2)-5.61%
Max Revenue beat(2)-1.38%
Revenue beat(4)0
Avg Revenue beat(4)-4.6%
Min Revenue beat(4)-7.04%
Max Revenue beat(4)-1.38%
Revenue beat(8)1
Avg Revenue beat(8)-4.71%
Revenue beat(12)4
Avg Revenue beat(12)-2.21%
Revenue beat(16)7
Avg Revenue beat(16)-0.21%
PT rev (1m)0%
PT rev (3m)22.62%
EPS NQ rev (1m)3.1%
EPS NQ rev (3m)10.02%
EPS NY rev (1m)5.87%
EPS NY rev (3m)7.25%
Revenue NQ rev (1m)-0.45%
Revenue NQ rev (3m)-3.06%
Revenue NY rev (1m)-1.73%
Revenue NY rev (3m)-1.88%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.96 | ||
| Fwd PE | 25.65 | ||
| P/S | 4.4 | ||
| P/FCF | 44.26 | ||
| P/OCF | 28.75 | ||
| P/B | 6.71 | ||
| P/tB | 7.67 | ||
| EV/EBITDA | 19.13 |
EPS(TTM)7.48
EY2.94%
EPS(NY)9.9
Fwd EY3.9%
FCF(TTM)5.74
FCFY2.26%
OCF(TTM)8.83
OCFY3.48%
SpS57.72
BVpS37.85
TBVpS33.1
PEG (NY)1.05
PEG (5Y)1.22
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.77% | ||
| ROE | 19.91% | ||
| ROCE | 17.49% | ||
| ROIC | 14.75% | ||
| ROICexc | 16.48% | ||
| ROICexgc | 18.07% | ||
| OM | 18.26% | ||
| PM (TTM) | 13.06% | ||
| GM | 26.71% | ||
| FCFM | 9.94% |
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
ROICexcg growth 3YN/A
ROICexcg 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 Turnover0.83
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 2.43 | ||
| Debt/EBITDA | 1.05 | ||
| Cap/Depr | 110.85% | ||
| Cap/Sales | 5.36% | ||
| Interest Coverage | 10.85 | ||
| Cash Conversion | 66.28% | ||
| Profit Quality | 76.15% | ||
| Current Ratio | 3.65 | ||
| Quick Ratio | 2.01 | ||
| Altman-Z | 7.08 |
F-Score8
WACC9.97%
ROIC/WACC1.48
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)57.47%
EPS 3YN/A
EPS 5Y27.85%
EPS Q2Q%21.43%
EPS Next Y32.39%
EPS Next 2Y26.69%
EPS Next 3Y21.24%
EPS Next 5Y14.22%
Revenue 1Y (TTM)4.26%
Revenue growth 3Y16.15%
Revenue growth 5Y5.7%
Sales Q2Q%-5.4%
Revenue Next Year7.41%
Revenue Next 2Y8.67%
Revenue Next 3Y7.09%
Revenue Next 5Y5.85%
EBIT growth 1Y48.39%
EBIT growth 3YN/A
EBIT growth 5Y27.21%
EBIT Next Year54.96%
EBIT Next 3Y29.51%
EBIT Next 5Y26.52%
FCF growth 1Y60.46%
FCF growth 3YN/A
FCF growth 5Y36.49%
OCF growth 1Y60.2%
OCF growth 3Y318.7%
OCF growth 5Y13.7%