Carpenter Technology (NYSE:CRS) Sets New 1-Year Low Following Analyst Downgrade

Carpenter Technology Corporation (NYSE:CRS)’s stock price reached a new 52-week low during mid-day trading on Friday after BTIG Research lowered their price target on the stock from $620.00 to $470.00. BTIG Research currently has a buy rating on the stock. Carpenter Technology traded as low as $278.17 and last traded at $286.4760, with a volume of 86,231 shares changing hands. The stock had previously closed at $292.26.

CRS has been the subject of a number of other reports. TD Cowen lowered their target price on Carpenter Technology from $650.00 to $500.00 and set a “buy” rating for the company in a research note on Friday, October 9th. Zacks Research lowered shares of Carpenter Technology from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, September 15th. Susquehanna cut their price target on shares of Carpenter Technology from $680.00 to $600.00 and set a “positive” rating on the stock in a research note on Friday, July 31st. Wells Fargo & Company reduced their price target on shares of Carpenter Technology from $540.00 to $430.00 and set an “equal weight” rating for the company in a report on Wednesday, September 30th. Finally, JPMorgan Chase & Co. lowered their price objective on shares of Carpenter Technology from $700.00 to $520.00 and set an “overweight” rating for the company in a research report on Wednesday, October 14th. Seven analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $476.43.

Insiders Place Their Bets

In other news, Director Steven E. Karol sold 3,275 shares of Carpenter Technology stock in a transaction that occurred on Friday, September 4th. The shares were sold at an average price of $474.08, for a total value of $1,552,612.00. Following the sale, the director directly owned 177,000 shares in the company, valued at $83,912,160. This trade represents a 1.82% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Tony R. Thene sold 57,456 shares of Carpenter Technology stock in a transaction that occurred on Tuesday, August 25th. The shares were sold at an average price of $483.90, for a total transaction of $27,802,958.40. Following the completion of the sale, the chief executive officer owned 439,631 shares in the company, valued at $212,737,440.90. This trade represents a 11.56% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 112,996 shares of company stock valued at $54,644,436 in the last quarter. 2.90% of the stock is currently owned by insiders.

Carpenter Technology News Summary

Here are the key news stories impacting Carpenter Technology this week:

• Positive Sentiment: Carpenter reported record fiscal first-quarter operating income, up 28% year over year, supported by productivity improvements, favorable product mix and pricing actions. The Specialty Alloys Operations segment posted a 37.7% adjusted operating margin, while commercial aerospace bookings accelerated. Carpenter Technology fiscal 2027 first-quarter results
• Positive Sentiment: Adjusted earnings reached $3.25 per share, exceeding analyst expectations of roughly $2.97 to $3.04 and rising from $2.43 a year earlier. Revenue increased 8.8% year over year, and management maintained its fiscal 2027 free-cash-flow outlook of $400 million to $430 million. Carpenter Technology earnings results
• Positive Sentiment: Carpenter outlined a fiscal 2029 operating-income target of $1.2 billion to $1.3 billion, offering a longer-term growth catalyst if aerospace demand and operational improvements continue. Carpenter fiscal 2029 operating-income target
• Neutral Sentiment: The company named Jed Freeman as its next general counsel. The leadership change is unlikely to materially affect near-term earnings expectations. Carpenter Technology names next general counsel
• Negative Sentiment: Revenue of $634.8 million fell well short of the approximately $830.9 million consensus estimate. Investors appear to be treating the sales miss and valuation concerns as more significant than the EPS beat. Why Carpenter Technology stock fell after earnings
• Negative Sentiment: Deutsche Bank reduced its price target from $555 to $361, while BTIG lowered its target from $620 to $470. Both firms retained Buy ratings, but the reductions signal lower near-term expectations and add pressure to CRS shares. Deutsche Bank Carpenter Technology price target

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in CRS. Gibbs Wealth Management boosted its stake in shares of Carpenter Technology by 9.6% during the 3rd quarter. Gibbs Wealth Management now owns 1,640 shares of the basic materials company’s stock worth $638,000 after acquiring an additional 143 shares during the period. Inspire Investing LLC increased its holdings in shares of Carpenter Technology by 11.7% during the 3rd quarter. Inspire Investing LLC now owns 2,980 shares of the basic materials company’s stock worth $1,159,000 after acquiring an additional 313 shares during the last quarter. MBL Wealth LLC raised its stake in Carpenter Technology by 8.6% in the 3rd quarter. MBL Wealth LLC now owns 698 shares of the basic materials company’s stock valued at $271,000 after acquiring an additional 55 shares during the period. E. Ohman J or Asset Management AB bought a new stake in Carpenter Technology in the 3rd quarter valued at $731,000. Finally, Crossmark Global Holdings Inc. lifted its holdings in Carpenter Technology by 3.8% during the 3rd quarter. Crossmark Global Holdings Inc. now owns 4,105 shares of the basic materials company’s stock valued at $1,596,000 after purchasing an additional 150 shares during the last quarter. Institutional investors own 92.03% of the company’s stock.

Carpenter Technology Stock Down 3.1%

The firm has a fifty day simple moving average of $428.25 and a 200-day simple moving average of $480.10. The firm has a market cap of $14.03 billion, a price-to-earnings ratio of 26.91, a P/E/G ratio of 1.29 and a beta of 1.29. The company has a debt-to-equity ratio of 0.31, a quick ratio of 2.23 and a current ratio of 3.81.

Carpenter Technology (NYSE:CRS) last released its quarterly earnings data on Thursday, October 22nd. The basic materials company reported $3.25 EPS for the quarter, beating the consensus estimate of $3.04 by $0.21. Carpenter Technology had a net margin of 16.96% and a return on equity of 26.46%. The firm had revenue of $634.80 million for the quarter, compared to the consensus estimate of $830.85 million. During the same period in the previous year, the company earned $2.43 earnings per share. The company’s quarterly revenue was up 8.8% on a year-over-year basis. As a group, sell-side analysts expect that Carpenter Technology Corporation will post 13.30 EPS for the current year.

Carpenter Technology Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, December 3rd. Stockholders of record on Tuesday, October 20th will be paid a dividend of $0.20 per share. This represents a $0.80 dividend on an annualized basis and a dividend yield of 0.3%. The ex-dividend date is Tuesday, October 20th. Carpenter Technology’s dividend payout ratio (DPR) is currently 7.60%.

Carpenter Technology Company Profile

Carpenter Technology Corporation is a manufacturer of premium specialty metals and engineered materials for demanding applications. The company produces stainless steels, nickel- and cobalt-based alloys, titanium, powder metals, and other high-performance materials designed to withstand extreme temperatures, corrosion, stress, and wear.

Its products are used in aerospace and defense, medical devices, energy, transportation, industrial equipment, and other specialized markets. Carpenter Technology supplies materials in forms such as bar, wire, strip, sheet, and powder, and also provides processing and engineered component solutions through its performance-engineered products operations.

Founded in 1889 as Carpenter Steel Company, the company has developed a global customer base supported by manufacturing, research, and service operations in the United States and international markets.