Carpenter Technology (NYSE:CRS) Downgraded to Hold Rating by Zacks Research

Key Points

• Carpenter Technology has been downgraded by Zacks Research from a "strong-buy" to a "hold" rating, affecting investor sentiment.
• JPMorgan Chase & Co. raised its target price on Carpenter Technology from $245.00 to $305.00, indicating a more positive outlook from some analysts despite the downgrade.
• Insider transactions reveal significant share sales, including a $4.65 million sale by CEO Tony R. Thene, which may signal concerns about future performance.

Carpenter Technology (NYSE:CRS - Get Free Report) was downgraded by equities research analysts at Zacks Research from a "strong-buy" rating to a "hold" rating in a report issued on Wednesday,Zacks.com reports. Zacks Research also issued estimates for Carpenter Technology's Q1 2026 earnings at $2.09 EPS, Q3 2026 earnings at $2.45 EPS, Q4 2026 earnings at $2.79 EPS, FY2026 earnings at $9.45 EPS, Q2 2027 earnings at $2.60 EPS, Q3 2027 earnings at $3.04 EPS, FY2027 earnings at $11.56 EPS and FY2028 earnings at $13.82 EPS.

A number of other equities research analysts have also issued reports on CRS. JPMorgan Chase & Co. lifted their target price on Carpenter Technology from $245.00 to $305.00 and gave the company an "overweight" rating in a research report on Tuesday, June 17th. BTIG Research reaffirmed a "buy" rating on shares of Carpenter Technology in a research note on Monday, August 4th. Cowen reiterated a "buy" rating on shares of Carpenter Technology in a report on Thursday, June 12th. Finally, Benchmark boosted their price objective on shares of Carpenter Technology from $250.00 to $300.00 and gave the stock a "buy" rating in a research report on Monday, June 9th. Four equities research analysts have rated the stock with a Buy rating and two have given a Hold rating to the company. According to data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average price target of $278.33.

Carpenter Technology Trading Down 1.8%

CRS opened at $246.94 on Wednesday. The stock has a market capitalization of $12.31 billion, a P/E ratio of 33.28, a P/E/G ratio of 1.14 and a beta of 1.46. The company has a current ratio of 3.65, a quick ratio of 2.01 and a debt-to-equity ratio of 0.37. Carpenter Technology has a 12 month low of $138.61 and a 12 month high of $290.84. The firm's fifty day simple moving average is $247.62 and its 200 day simple moving average is $232.72.

Carpenter Technology (NYSE:CRS - Get Free Report) last released its earnings results on Thursday, July 31st. The basic materials company reported $2.21 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.03 by $0.18. The firm had revenue of $755.60 million during the quarter, compared to analysts' expectations of $790.73 million. Carpenter Technology had a return on equity of 21.50% and a net margin of 13.07%.The company's revenue was down 5.4% on a year-over-year basis. During the same quarter in the prior year, the company earned $1.82 EPS. As a group, research analysts anticipate that Carpenter Technology will post 6.83 EPS for the current fiscal year.

Insider Activity

In other Carpenter Technology news, Director Steven E. Karol sold 3,433 shares of the company's stock in a transaction on Tuesday, September 9th. The shares were sold at an average price of $245.78, for a total transaction of $843,762.74. Following the sale, the director directly owned 180,000 shares of the company's stock, valued at approximately $44,240,400. This represents a 1.87% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, CEO Tony R. Thene sold 19,000 shares of the stock in a transaction on Monday, August 18th. The shares were sold at an average price of $244.99, for a total transaction of $4,654,810.00. Following the completion of the sale, the chief executive officer owned 535,019 shares of the company's stock, valued at approximately $131,074,304.81. This represents a 3.43% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders sold 28,124 shares of company stock valued at $6,890,250. 2.90% of the stock is owned by insiders.

Institutional Investors Weigh In On Carpenter Technology

A number of institutional investors and hedge funds have recently modified their holdings of the company. Egerton Capital UK LLP bought a new stake in Carpenter Technology in the first quarter valued at approximately $329,727,000. Invesco Ltd. boosted its stake in shares of Carpenter Technology by 37.1% during the 1st quarter. Invesco Ltd. now owns 2,107,676 shares of the basic materials company's stock worth $381,869,000 after acquiring an additional 570,441 shares during the period. William Blair Investment Management LLC acquired a new position in shares of Carpenter Technology during the 2nd quarter worth approximately $134,790,000. TOMS Capital Investment Management LP acquired a new position in shares of Carpenter Technology during the 2nd quarter worth approximately $106,683,000. Finally, Nuveen LLC bought a new stake in Carpenter Technology in the 1st quarter valued at $63,136,000. 92.03% of the stock is owned by institutional investors.

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.

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