Zacks Research Has Optimistic Outlook of CRS FY2026 Earnings

Key Points

• Zacks Research slightly raised Carpenter Technology’s FY2026 EPS estimate to $10.46 from $10.44, signaling continued confidence in the company’s earnings outlook. The firm also lifted estimates for FY2027 and FY2028.
• Several other analysts remain upbeat, with multiple firms raising price targets and the stock holding a Moderate Buy consensus rating. MarketBeat says the average price target is $458.63.
• Carpenter Technology recently beat EPS expectations in its latest quarterly report, though revenue came in below estimates. The stock is trading near its 52-week high, which may limit short-term upside if expectations are already reflected in the price.

Carpenter Technology Corporation (NYSE:CRS - Free Report) - Analysts at Zacks Research boosted their FY2026 earnings per share (EPS) estimates for Carpenter Technology in a note issued to investors on Friday, June 12th. Zacks Research analyst Team now expects that the basic materials company will post earnings per share of $10.46 for the year, up from their prior forecast of $10.44. The consensus estimate for Carpenter Technology's current full-year earnings is $10.56 per share. Zacks Research also issued estimates for Carpenter Technology's Q4 2026 earnings at $2.93 EPS, Q1 2027 earnings at $2.81 EPS, Q3 2027 earnings at $3.18 EPS, Q4 2027 earnings at $3.23 EPS, FY2027 earnings at $12.05 EPS, Q1 2028 earnings at $3.22 EPS, Q2 2028 earnings at $3.34 EPS, Q3 2028 earnings at $3.87 EPS and FY2028 earnings at $14.42 EPS.

Other research analysts have also issued research reports about the company. JPMorgan Chase & Co. raised their price objective on Carpenter Technology from $465.00 to $470.00 and gave the company an "overweight" rating in a research report on Thursday, April 30th. TD Cowen increased their price target on shares of Carpenter Technology from $450.00 to $470.00 and gave the company a "buy" rating in a report on Friday, May 22nd. KeyCorp increased their price target on shares of Carpenter Technology from $453.00 to $459.00 and gave the company an "overweight" rating in a report on Monday, May 4th. Wells Fargo & Company increased their price target on shares of Carpenter Technology from $400.00 to $425.00 and gave the company an "equal weight" rating in a report on Monday, May 4th. Finally, Susquehanna increased their price target on shares of Carpenter Technology from $470.00 to $495.00 and gave the company a "positive" rating in a report on Thursday, April 30th. Eight analysts have rated the stock with a Buy rating and two have given a Hold rating to the stock. According to MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus price target of $458.63.

Carpenter Technology Trading Down 0.2%

Shares of Carpenter Technology stock opened at $560.25 on Monday. The firm has a market cap of $27.84 billion, a price-to-earnings ratio of 58.97, a PEG ratio of 1.93 and a beta of 1.25. The business has a 50-day moving average price of $446.24 and a 200-day moving average price of $384.39. The company has a quick ratio of 2.08, a current ratio of 3.73 and a debt-to-equity ratio of 0.33. Carpenter Technology has a twelve month low of $228.00 and a twelve month high of $574.52.

Carpenter Technology (NYSE:CRS - Get Free Report) last issued its quarterly earnings data on Wednesday, April 29th. The basic materials company reported $2.77 earnings per share for the quarter, beating analysts' consensus estimates of $2.59 by $0.18. The firm had revenue of $655.60 million during the quarter, compared to analyst estimates of $797.00 million. Carpenter Technology had a return on equity of 25.02% and a net margin of 15.82%.The business's quarterly revenue was up 11.6% compared to the same quarter last year. During the same quarter last year, the business posted $1.88 earnings per share.

Carpenter Technology Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, June 4th. Shareholders of record on Tuesday, April 28th were paid a $0.20 dividend. The ex-dividend date of this dividend was Tuesday, April 28th. This represents a $0.80 annualized dividend and a yield of 0.1%. Carpenter Technology's dividend payout ratio (DPR) is presently 8.42%.

Insider Activity

In other Carpenter Technology news, VP Marshall D. Akins sold 11,815 shares of the firm's stock in a transaction dated Tuesday, May 5th. The shares were sold at an average price of $441.36, for a total value of $5,214,668.40. Following the completion of the sale, the vice president owned 18,344 shares of the company's stock, valued at $8,096,307.84. This trade represents a 39.18% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Anastasios John Hart sold 750 shares of the firm's stock in a transaction dated Monday, May 4th. The stock was sold at an average price of $423.86, for a total transaction of $317,895.00. Following the completion of the sale, the director directly owned 750 shares of the company's stock, valued at approximately $317,895. The trade was a 50.00% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 2.90% of the stock is owned by company insiders.

Hedge Funds Weigh In On Carpenter Technology

A number of institutional investors have recently modified their holdings of the stock. State Street Corp increased its position in shares of Carpenter Technology by 10.1% during the third quarter. State Street Corp now owns 2,096,145 shares of the basic materials company's stock worth $514,687,000 after acquiring an additional 192,533 shares during the period. Invesco Ltd. increased its position in shares of Carpenter Technology by 18.8% during the fourth quarter. Invesco Ltd. now owns 2,071,657 shares of the basic materials company's stock worth $652,241,000 after acquiring an additional 327,302 shares during the period. Egerton Capital UK LLP increased its position in shares of Carpenter Technology by 13.0% during the fourth quarter. Egerton Capital UK LLP now owns 1,553,012 shares of the basic materials company's stock worth $488,950,000 after acquiring an additional 178,679 shares during the period. SurgoCap Partners LP increased its position in shares of Carpenter Technology by 29.5% during the third quarter. SurgoCap Partners LP now owns 1,198,895 shares of the basic materials company's stock worth $294,377,000 after acquiring an additional 272,896 shares during the period. Finally, Geode Capital Management LLC increased its position in shares of Carpenter Technology by 8.8% during the fourth quarter. Geode Capital Management LLC now owns 975,960 shares of the basic materials company's stock worth $307,333,000 after acquiring an additional 78,588 shares during the period. 92.03% of the stock is owned by hedge funds and other institutional investors.

Key Stories Impacting Carpenter Technology

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

• Positive Sentiment: Zacks Research lifted its earnings outlook for Carpenter Technology across several periods, including FY2026, FY2027, and FY2028, which suggests analysts see durable earnings growth ahead.
• Positive Sentiment: The firm’s latest note also nudged up near-term quarterly EPS estimates, reinforcing the view that Carpenter Technology’s pricing power and contract wins are supporting profitability. Carpenter Technology Contract Wins Lift Pricing Power But Stretch Valuation
• Neutral Sentiment: The estimate changes were incremental rather than dramatic, so they are more of a confirmation of existing strength than a major new catalyst.
• Negative Sentiment: The stock is already trading near its 52-week high and at a relatively rich valuation, which may limit upside if investors decide the good news is already priced in.

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. It serves to aerospace, defense, medical, transportation, energy, industrial, and consumer markets.

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