Carpenter Technology (NYSE:CRS) Issues Earnings Results

Carpenter Technology (NYSE:CRS) released its earnings results on Wednesday. The basic materials company reported $2.77 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.60 by $0.17, Briefing.com reports. Carpenter Technology had a net margin of 14.77% and a return on equity of 23.63%. During the same period in the prior year, the business posted $1.88 earnings per share. The company’s revenue was up 11.6% compared to the same quarter last year.

Here are the key takeaways from Carpenter Technology’s conference call:

• Carpenter reported a record quarterly operating income of $186.5M and generated $193.5M cash from operations ($124.8M adjusted FCF in the quarter), raising FY26 adjusted free cash flow guidance to at least $350M while continuing share repurchases and the dividend.
• The Specialty Alloys Operations (SAO) segment hit a record 35.6% adjusted operating margin
• Demand is accelerating in key end markets — notably aerospace & defense (structural bookings increased significantly) and industrial gas turbines (energy) — with more urgent/expedite requests as OEM inventories draw down, supporting near‑term volume upside.
• The PEP segment and medical end‑use were weak: medical sales fell 29% YoY (PEP operating income modest at $6.7M), with certain titanium medical products still soft despite improved bookings pointing to a potential gradual recovery.
• The Brownfield capacity expansion remains on budget and on schedule, but timing of cash payments shifted ~ $40M of FY26 CapEx into next year (FY26 CapEx now expected ~ $260M); management will update FY27 guidance next quarter.

Carpenter Technology Stock Performance

CRS traded down $24.24 during trading on Wednesday, hitting $403.90. The stock had a trading volume of 638,020 shares, compared to its average volume of 796,066. The firm has a market cap of $20.12 billion, a PE ratio of 47.00, a P/E/G ratio of 1.65 and a beta of 1.24. Carpenter Technology has a 12 month low of $188.12 and a 12 month high of $459.18. The company has a current ratio of 4.25, a quick ratio of 2.26 and a debt-to-equity ratio of 0.35. The company has a 50 day simple moving average of $402.82 and a 200-day simple moving average of $349.37.

Carpenter Technology Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, June 4th. Investors of record on Tuesday, April 28th will be issued a $0.20 dividend. This represents a $0.80 annualized dividend and a yield of 0.2%. The ex-dividend date is Tuesday, April 28th. Carpenter Technology’s dividend payout ratio (DPR) is 9.29%.

Insider Buying and Selling at Carpenter Technology

In other Carpenter Technology news, Director Steven E. Karol sold 3,500 shares of the firm’s stock in a transaction on Thursday, February 19th. The shares were sold at an average price of $381.12, for a total value of $1,333,920.00. Following the sale, the director directly owned 225,381 shares in the company, valued at $85,897,206.72. This trade represents a 1.53% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, SVP James D. Dee sold 15,800 shares of the firm’s stock in a transaction on Tuesday, February 24th. The stock was sold at an average price of $391.78, for a total transaction of $6,190,124.00. Following the completion of the sale, the senior vice president owned 73,739 shares in the company, valued at $28,889,465.42. This represents a 17.65% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 22,300 shares of company stock worth $8,664,044 in the last quarter. Insiders own 2.90% of the company’s stock.

Institutional Trading of Carpenter Technology

Several hedge funds and other institutional investors have recently bought and sold shares of CRS. Woodline Partners LP acquired a new stake in Carpenter Technology in the 1st quarter worth $4,050,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its position in Carpenter Technology by 1.7% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 104,785 shares of the basic materials company’s stock worth $18,985,000 after purchasing an additional 1,701 shares during the last quarter. Focus Partners Wealth grew its position in Carpenter Technology by 7.3% in the 1st quarter. Focus Partners Wealth now owns 4,615 shares of the basic materials company’s stock worth $836,000 after purchasing an additional 314 shares during the last quarter. Quantbot Technologies LP acquired a new stake in Carpenter Technology in the 2nd quarter worth $80,000. Finally, Arrowstreet Capital Limited Partnership acquired a new stake in Carpenter Technology in the 2nd quarter worth $533,000. 92.03% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

A number of equities research analysts have issued reports on the stock. KeyCorp increased their target price on shares of Carpenter Technology from $380.00 to $453.00 and gave the stock an “overweight” rating in a research report on Thursday, April 9th. Wall Street Zen upgraded shares of Carpenter Technology from a “hold” rating to a “buy” rating in a report on Saturday, January 31st. Wells Fargo & Company initiated coverage on shares of Carpenter Technology in a report on Wednesday, April 1st. They set an “equal weight” rating and a $400.00 price target on the stock. BTIG Research raised their price target on shares of Carpenter Technology from $365.00 to $375.00 and gave the company a “buy” rating in a report on Friday, January 30th. Finally, Weiss Ratings restated a “buy (b)” rating on shares of Carpenter Technology in a report on Friday. Nine analysts have rated the stock with a Buy rating and two have given a Hold rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $403.11.

Carpenter Technology Company Profile

Carpenter Technology Corporation engages in the manufacture, fabrication, and distribution of specialty metals in the United States, Europe, the Asia Pacific, Mexico, Canada, and internationally. It operates in two segments, Specialty Alloys Operations and Performance Engineered Products. The company offers specialty alloys, including titanium alloys, powder metals, stainless steels, alloy steels, and tool steels, as well as additives, and metal powders and parts. It serves to aerospace, defense, medical, transportation, energy, industrial, and consumer markets.

Further Reading

• Five stocks we like better than Carpenter Technology