Cynosure Group LLC Makes New $688,000 Investment in Carpenter Technology Corporation (NYSE:CRS)

Key Points

• Cynosure Group LLC has invested $688,000 in Carpenter Technology Corporation, acquiring 3,800 shares as reported in a recent SEC filing.
• Analysts have increased their price targets for Carpenter Technology, with JPMorgan raising it from $245 to $305 and Benchmark raising it from $250 to $300.
• Carpenter Technology has initiated a stock buyback plan authorizing the repurchase of $400 million in outstanding shares, suggesting that the company believes its stock is undervalued.

Cynosure Group LLC acquired a new position in shares of Carpenter Technology Corporation (NYSE:CRS - Free Report) during the first quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund acquired 3,800 shares of the basic materials company's stock, valued at approximately $688,000.

Other hedge funds have also recently bought and sold shares of the company. Horizon Family Wealth Inc. purchased a new stake in Carpenter Technology during the first quarter valued at about $212,000. Strategic Investment Solutions Inc. IL purchased a new stake in Carpenter Technology during the first quarter valued at about $49,000. Blair William & Co. IL lifted its holdings in Carpenter Technology by 7.9% during the first quarter. Blair William & Co. IL now owns 4,100 shares of the basic materials company's stock valued at $743,000 after purchasing an additional 300 shares during the last quarter. Alberta Investment Management Corp lifted its holdings in Carpenter Technology by 16.8% during the first quarter. Alberta Investment Management Corp now owns 31,586 shares of the basic materials company's stock valued at $5,723,000 after purchasing an additional 4,537 shares during the last quarter. Finally, Natixis Advisors LLC lifted its holdings in Carpenter Technology by 36.5% during the first quarter. Natixis Advisors LLC now owns 22,333 shares of the basic materials company's stock valued at $4,046,000 after purchasing an additional 5,969 shares during the last quarter. 92.03% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

CRS has been the topic of several recent research reports. JPMorgan Chase & Co. upped their price objective on shares of Carpenter Technology from $245.00 to $305.00 and gave the company an "overweight" rating in a report on Tuesday, June 17th. Benchmark upped their price target on Carpenter Technology from $250.00 to $300.00 and gave the company a "buy" rating in a research report on Monday, June 9th. Cowen reiterated a "buy" rating on shares of Carpenter Technology in a research report on Thursday, June 12th. Finally, BTIG Research reiterated a "buy" rating on shares of Carpenter Technology in a research report on Monday, August 4th. One equities research analyst has rated the stock with a hold rating and four have assigned a buy rating to the company's stock. According to data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus price target of $278.33.

Carpenter Technology Price Performance

Shares of CRS traded down $7.57 during midday trading on Wednesday, hitting $249.74. 477,288 shares of the company traded hands, compared to its average volume of 918,476. The company has a debt-to-equity ratio of 0.37, a current ratio of 3.65 and a quick ratio of 2.01. The stock has a 50-day moving average of $265.12 and a 200-day moving average of $220.25. The firm has a market cap of $12.43 billion, a P/E ratio of 33.66, a PEG ratio of 1.15 and a beta of 1.44. Carpenter Technology Corporation has a one year low of $129.57 and a one year high of $290.84.

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

Carpenter Technology announced that its Board of Directors has initiated a stock buyback program on Thursday, April 24th that permits the company to repurchase $400.00 million in shares. This repurchase authorization permits the basic materials company to buy up to 4% of its shares through open market purchases. Shares repurchase programs are usually an indication that the company's board of directors believes its shares are undervalued.

Insider Buying and Selling at Carpenter Technology

In related news, Director Anastasios John Hart sold 1,000 shares of the company's stock in a transaction that occurred on Thursday, June 12th. The shares were sold at an average price of $243.72, for a total value of $243,720.00. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Company insiders own 2.90% of the company's stock.

About Carpenter Technology

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.