Zacks Research Has Pessimistic Outlook of CRS Q4 Earnings

Key Points

• Zacks Research has reduced its Q4 2027 earnings estimate for Carpenter Technology Corporation from $3.45 to $3.43 per share, maintaining a "Hold" rating on the stock.
• Despite Zacks' pessimistic outlook, several brokerages, including Benchmark and JPMorgan Chase & Co., have raised their target prices and assigned buy ratings on the shares, with an average target price of $278.33.
• In recent news, Carpenter Technology announced a quarterly dividend of $0.20 per share with a payout ratio of 10.78%, highlighting its commitment to returning value to shareholders.

Carpenter Technology Corporation (NYSE:CRS - Free Report) - Zacks Research lowered their Q4 2027 earnings estimates for shares of Carpenter Technology in a note issued to investors on Friday, October 3rd. Zacks Research analyst Team now anticipates that the basic materials company will post earnings per share of $3.43 for the quarter, down from their previous estimate of $3.45. Zacks Research has a "Hold" rating on the stock. The consensus estimate for Carpenter Technology's current full-year earnings is $6.83 per share.

Several other brokerages also recently commented on CRS. Benchmark raised their target price on shares of Carpenter Technology from $250.00 to $300.00 and gave the stock a "buy" rating in a report on Monday, June 9th. Weiss Ratings restated a "buy (b+)" rating on shares of Carpenter Technology in a report on Saturday, September 27th. BTIG Research reiterated a "buy" rating on shares of Carpenter Technology in a report on Monday, August 4th. Cowen reiterated a "buy" rating on shares of Carpenter Technology in a report on Thursday, June 12th. Finally, JPMorgan Chase & Co. lifted 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. Five investment analysts have rated the stock with a Buy rating and two have given a Hold rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average target price of $278.33.

Carpenter Technology Stock Performance

Shares of CRS stock opened at $246.95 on Monday. The company has a debt-to-equity ratio of 0.37, a quick ratio of 2.01 and a current ratio of 3.65. The company has a market capitalization of $12.31 billion, a P/E ratio of 33.28, a price-to-earnings-growth ratio of 1.12 and a beta of 1.46. The company's 50 day moving average price is $247.03 and its two-hundred day moving average price is $233.79. Carpenter Technology has a 52 week low of $138.61 and a 52 week high of $290.84.

Carpenter Technology (NYSE:CRS - Get Free Report) last announced its earnings results on Thursday, July 31st. The basic materials company reported $2.21 EPS for the quarter, topping the consensus estimate of $2.03 by $0.18. The firm had revenue of $755.60 million for the quarter, compared to the consensus estimate of $790.73 million. Carpenter Technology had a net margin of 13.07% and a return on equity of 21.50%. The business's quarterly revenue was down 5.4% on a year-over-year basis. During the same period last year, the company posted $1.82 EPS.

Carpenter Technology Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, September 4th. Investors of record on Tuesday, August 26th were issued a dividend of $0.20 per share. This represents a $0.80 dividend on an annualized basis and a yield of 0.3%. The ex-dividend date was Tuesday, August 26th. Carpenter Technology's payout ratio is presently 10.78%.

Insider Buying and Selling

In related news, CEO Tony R. Thene sold 19,000 shares of the business's 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 transaction, the chief executive officer directly owned 535,019 shares in the company, valued at approximately $131,074,304.81. The trade was a 3.43% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Steven E. Karol sold 3,433 shares of the business's stock in a transaction on Tuesday, September 9th. The stock was sold at an average price of $245.78, for a total transaction of $843,762.74. Following the transaction, the director owned 180,000 shares in the company, valued at approximately $44,240,400. The trade was a 1.87% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders have sold 28,124 shares of company stock worth $6,890,250. Insiders own 2.90% of the company's stock.

Hedge Funds Weigh In On Carpenter Technology

Institutional investors have recently added to or reduced their stakes in the company. Stratos Wealth Partners LTD. increased its holdings in Carpenter Technology by 22.9% during the first quarter. Stratos Wealth Partners LTD. now owns 2,968 shares of the basic materials company's stock worth $538,000 after buying an additional 553 shares during the last quarter. Bessemer Group Inc. increased its holdings in Carpenter Technology by 50.3% during the first quarter. Bessemer Group Inc. now owns 230 shares of the basic materials company's stock worth $42,000 after buying an additional 77 shares during the last quarter. Wealth Enhancement Advisory Services LLC increased its holdings in Carpenter Technology by 27.8% during the first quarter. Wealth Enhancement Advisory Services LLC now owns 15,953 shares of the basic materials company's stock worth $2,890,000 after buying an additional 3,467 shares during the last quarter. Hancock Whitney Corp acquired a new position in Carpenter Technology during the first quarter worth $819,000. Finally, Fifth Third Bancorp boosted its position in Carpenter Technology by 13.6% during the first quarter. Fifth Third Bancorp now owns 651 shares of the basic materials company's stock worth $118,000 after purchasing an additional 78 shares during the period. 92.03% of the stock is currently owned by institutional investors and hedge funds.

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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