📊 CRS Key Takeaways
Investment Thesis
Carpenter Technology demonstrates exceptional profitability improvement with net income doubling YoY and strong operational margins of 21.1%, supported by solid revenue growth and excellent balance sheet health. The company generates robust free cash flow (82.5M) with conservative leverage (0.35x debt/equity), indicating strong financial stability and capacity for shareholder returns or reinvestment.
CRS Strengths
- Outstanding earnings growth with net income up 101.6% YoY and EPS doubling
- Strong operational efficiency with 21.1% operating margin and 15.6% net margin
- Excellent liquidity position with 4.25x current ratio and 231.9M cash balance
- Conservative capital structure with 0.35x debt/equity and 8.0x interest coverage
- Solid free cash flow generation of 82.5M providing financial flexibility
CRS Risks
- Cyclical industry exposure in specialty steel with sensitivity to economic downturns
- Modest revenue growth of 4.3% YoY suggests limited top-line expansion despite strong profitability
- Capital intensive business requiring sustained capex (88.9M annually) that could pressure cash flow
- ROE of 11.5% and ROA of 6.5% indicate moderate asset utilization efficiency
- Concentrated customer base risk typical of specialty materials suppliers serving aerospace/defense sectors
Key Metrics to Watch
- Quarterly revenue trends and organic growth rate sustainability
- Operating margin maintenance as input costs and market conditions evolve
- Free cash flow conversion and capital expenditure levels relative to revenue
- Debt reduction trajectory and leverage ratio stability
- Order book indicators and customer demand signals in aerospace and industrial markets
CRS Financial Metrics
💡 AI Analyst Insight
Strong liquidity with a 4.25x current ratio provides a solid financial cushion.
CRS Profitability Ratios
CRS vs Default Sector
How CARPENTER TECHNOLOGY CORP compares to Default sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
CRS Balance Sheet & Liquidity
CRS 5-Year Financial Trend
5-Year Trend Summary: CARPENTER TECHNOLOGY CORP's revenue has grown significantly by 21% over the 5-year period, indicating strong business expansion. The most recent EPS of $1.14 reflects profitable operations.
CRS Growth Metrics (YoY)
CRS Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q2 2026 | $676.9M | $84.1M | $1.66 |
| Q1 2026 | $717.6M | $84.8M | $1.67 |
| Q3 2025 | $684.9M | $6.3M | $0.12 |
| Q2 2025 | $624.2M | $42.7M | $0.85 |
| Q1 2025 | $651.9M | $43.9M | $0.88 |
| Q3 2024 | $684.9M | $6.3M | $0.12 |
| Q2 2024 | $579.1M | -$600.0K | $-0.02 |
| Q1 2024 | $522.9M | -$6.9M | $-0.14 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
CRS Capital Allocation
CRS SEC Filings
Access official SEC EDGAR filings for CARPENTER TECHNOLOGY CORP (CIK: 0000017843)
📋 Recent SEC Filings
❓ Frequently Asked Questions about CRS
What is the AI rating for CRS?
CARPENTER TECHNOLOGY CORP (CRS) has an AI rating of BUY with 78% confidence, based on fundamental analysis of SEC EDGAR filings.
What are CRS's key strengths?
Outstanding earnings growth with net income up 101.6% YoY and EPS doubling. Strong operational efficiency with 21.1% operating margin and 15.6% net margin.
What are the risks of investing in CRS?
Cyclical industry exposure in specialty steel with sensitivity to economic downturns. Modest revenue growth of 4.3% YoY suggests limited top-line expansion despite strong profitability.
What is CRS's revenue and growth?
CARPENTER TECHNOLOGY CORP reported revenue of $1.5B.
Does CRS pay dividends?
CARPENTER TECHNOLOGY CORP pays dividends, with $20.1M distributed to shareholders in the trailing twelve months.
Where can I find CRS SEC filings?
Official SEC filings for CARPENTER TECHNOLOGY CORP (CIK: 0000017843) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is CRS's EPS?
CARPENTER TECHNOLOGY CORP has a diluted EPS of $4.52.
How is the AI analysis conducted?
Our AI (Claude) analyzes publicly available SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports to evaluate financial health, profitability ratios, balance sheet strength, and growth metrics.