CARPENTER TECHNOLOGY (CRS)
US1442851036 - Common Stock
CRS gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 157 industry peers in the Metals & Mining industry. CRS has an excellent profitability rating, but there are some minor concerns on its financial health. CRS has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
CRS had positive earnings in the past year.
CRS had a positive operating cash flow in the past year.
In multiple years CRS reported negative net income over the last 5 years.
CRS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CRS has a better Return On Assets (6.97%) than 78.98% of its industry peers.
Looking at the Return On Equity, with a value of 13.67%, CRS belongs to the top of the industry, outperforming 83.44% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 11.71%, CRS belongs to the top of the industry, outperforming 89.81% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.97% | ||
| ROE | 13.67% | ||
| ROIC | 11.71% |
ROA(3y)1.94%
ROA(5y)-0.38%
ROE(3y)3.92%
ROE(5y)-0.94%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
CRS has a Profit Margin of 8.03%. This is amongst the best in the industry. CRS outperforms 80.25% of its industry peers.
CRS's Profit Margin has been stable in the last couple of years.
Looking at the Operating Margin, with a value of 14.24%, CRS is in the better half of the industry, outperforming 72.61% of the companies in the same industry.
CRS's Operating Margin has improved in the last couple of years.
CRS has a Gross Margin of 22.53%. This is in the better half of the industry: CRS outperforms 62.42% of its industry peers.
CRS's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.24% | ||
| PM (TTM) | 8.03% | ||
| GM | 22.53% |
OM growth 3YN/A
OM growth 5Y4.82%
PM growth 3YN/A
PM growth 5Y-0.55%
GM growth 3Y291.66%
GM growth 5Y2.53%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), CRS is creating some value.
The number of shares outstanding for CRS has been increased compared to 1 year ago.
Compared to 5 years ago, CRS has more shares outstanding
The debt/assets ratio for CRS has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 5.71 indicates that CRS is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 5.71, CRS is in the better half of the industry, outperforming 74.52% of the companies in the same industry.
The Debt to FCF ratio of CRS is 3.37, which is a good value as it means it would take CRS, 3.37 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of CRS (3.37) is better than 75.80% of its industry peers.
A Debt/Equity ratio of 0.42 indicates that CRS is not too dependend on debt financing.
The Debt to Equity ratio of CRS (0.42) is worse than 73.25% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 3.37 | ||
| Altman-Z | 5.71 |
ROIC/WACC1.06
WACC11.08%
2.3 Liquidity
A Current Ratio of 3.84 indicates that CRS has no problem at all paying its short term obligations.
CRS has a better Current ratio (3.84) than 71.34% of its industry peers.
A Quick Ratio of 2.00 indicates that CRS should not have too much problems paying its short term obligations.
CRS has a Quick ratio (2.00) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.84 | ||
| Quick Ratio | 2 |
3. Growth
3.1 Past
CRS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 156.42%, which is quite impressive.
Measured over the past 5 years, CRS shows a small growth in Earnings Per Share. The EPS has been growing by 7.69% on average per year.
The Revenue has been growing slightly by 5.45% in the past year.
CRS shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.00% yearly.
EPS 1Y (TTM)156.42%
EPS 3YN/A
EPS 5Y7.69%
EPS Q2Q%94.38%
Revenue 1Y (TTM)5.45%
Revenue growth 3Y23.21%
Revenue growth 5Y3%
Sales Q2Q%10.08%
3.2 Future
Based on estimates for the next years, CRS will show a very strong growth in Earnings Per Share. The EPS will grow by 30.12% on average per year.
Based on estimates for the next years, CRS will show a small growth in Revenue. The Revenue will grow by 7.77% on average per year.
EPS Next Y46.45%
EPS Next 2Y29.06%
EPS Next 3Y30.12%
EPS Next 5YN/A
Revenue Next Year8.1%
Revenue Next 2Y7.58%
Revenue Next 3Y7.77%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
CRS is valuated quite expensively with a Price/Earnings ratio of 32.33.
The rest of the industry has a similar Price/Earnings ratio as CRS.
When comparing the Price/Earnings ratio of CRS to the average of the S&P500 Index (28.96), we can say CRS is valued inline with the index average.
A Price/Forward Earnings ratio of 22.84 indicates a rather expensive valuation of 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 23.82, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.33 | ||
| Fwd PE | 22.84 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as CRS.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CRS indicates a somewhat cheap valuation: CRS is cheaper than 66.88% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 43.68 | ||
| EV/EBITDA | 17.77 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
CRS has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as CRS's earnings are expected to grow with 30.12% in the coming years.
PEG (NY)0.7
PEG (5Y)4.21
EPS Next 2Y29.06%
EPS Next 3Y30.12%
5. Dividend
5.1 Amount
With a yearly dividend of 0.47%, CRS is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 2.98, CRS pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.23, CRS's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.47% |
5.2 History
The dividend of CRS decreases each year by -0.06%.
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)-0.06%
Div Incr Years0
Div Non Decr Years20
5.3 Sustainability
CRS pays out 17.71% of its income as dividend. This is a sustainable payout ratio.
DP17.71%
EPS Next 2Y29.06%
EPS Next 3Y30.12%
CARPENTER TECHNOLOGY
NYSE:CRS (11/21/2024, 4:15:00 PM)
After market: 180.71 0 (0%)180.71
+0.01 (+0.01%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap9.01B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.47% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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Min EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.33 | ||
| Fwd PE | 22.84 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.7
PEG (5Y)4.21
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.97% | ||
| ROE | 13.67% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 14.24% | ||
| PM (TTM) | 8.03% | ||
| GM | 22.53% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.87
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 3.84 | ||
| Quick Ratio | 2 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)156.42%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y46.45%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)5.45%
Revenue growth 3Y23.21%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y