Carpenter Technology (NYSE:CRS) Trading Down 3.2% – Here’s Why

Carpenter Technology Corporation (NYSE:CRS)’s share price fell 3.2% on Thursday . The company traded as low as $400.00 and last traded at $398.8010. Approximately 110,066 shares were traded during mid-day trading, a decline of 86% from the average daily volume of 762,402 shares. The stock had previously closed at $411.80.

Analyst Ratings Changes

Several research firms have commented on CRS. Susquehanna cut their price objective on Carpenter Technology from $680.00 to $600.00 and set a “positive” rating for the company in a research note on Friday, July 31st. Weiss Ratings restated a “buy (b)” rating on shares of Carpenter Technology in a research report on Monday, August 31st. BTIG Research lifted their price target on Carpenter Technology from $450.00 to $620.00 and gave the stock a “buy” rating in a research note on Friday, July 31st. Wall Street Zen upgraded Carpenter Technology from a “hold” rating to a “buy” rating in a research report on Saturday, September 12th. Finally, TD Cowen increased their price objective on Carpenter Technology from $470.00 to $650.00 and gave the company a “buy” rating in a research note on Monday, July 13th. Eight equities research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average price target of $577.25.

Carpenter Technology Stock Performance

The company has a debt-to-equity ratio of 0.31, a current ratio of 3.81 and a quick ratio of 2.23. The stock has a market cap of $19.67 billion, a price-to-earnings ratio of 37.77, a PEG ratio of 1.47 and a beta of 1.26. The firm has a fifty day moving average of $520.20 and a 200 day moving average of $480.97.

Carpenter Technology (NYSE:CRS) last released its quarterly earnings data on Thursday, July 30th. The basic materials company reported $3.23 earnings per share for the quarter, topping analysts’ consensus estimates of $3.09 by $0.14. Carpenter Technology had a return on equity of 26.46% and a net margin of 16.96%.The company had revenue of $679.70 million for the quarter, compared to analyst estimates of $863.33 million. During the same quarter in the previous year, the company posted $2.21 earnings per share. The firm’s revenue for the quarter was up 12.6% compared to the same quarter last year. As a group, sell-side analysts forecast that Carpenter Technology Corporation will post 13.28 EPS for the current year.

Carpenter Technology Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, September 3rd. Shareholders of record on Tuesday, August 25th were issued a $0.20 dividend. This represents a $0.80 annualized dividend and a yield of 0.2%. The ex-dividend date was Tuesday, August 25th. Carpenter Technology’s payout ratio is presently 7.60%.

Insider Activity

In other news, Director Ramin Younessi sold 438 shares of the firm’s stock in a transaction that occurred on Friday, August 21st. The shares were sold at an average price of $493.15, for a total transaction of $215,999.70. Following the completion of the sale, the director owned 1,953 shares in the company, valued at $963,121.95. This trade represents a 18.32% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Steven Karol sold 3,275 shares of the firm’s stock in a transaction on Friday, September 4th. The stock was sold at an average price of $474.08, for a total value of $1,552,612.00. Following the sale, the director directly owned 177,000 shares of the company’s stock, valued at approximately $83,912,160. This trade represents a 1.82% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 112,996 shares of company stock valued at $54,644,436 in the last 90 days. Company insiders own 2.90% of the company’s stock.

Hedge Funds Weigh In On Carpenter Technology

A number of hedge funds have recently made changes to their positions in the stock. Keating Financial Advisory Services Inc. acquired a new position in Carpenter Technology during the 2nd quarter worth about $29,000. Whittier Trust Co. of Nevada Inc. purchased a new position in shares of Carpenter Technology in the 1st quarter valued at about $30,000. SJS Investment Consulting Inc. boosted its stake in shares of Carpenter Technology by 81.8% in the 1st quarter. SJS Investment Consulting Inc. now owns 80 shares of the basic materials company’s stock valued at $32,000 after buying an additional 36 shares during the period. Persistent Asset Partners Ltd acquired a new position in shares of Carpenter Technology during the second quarter worth about $55,000. Finally, Mitsubishi UFJ Asset Management Co. Ltd. purchased a new stake in shares of Carpenter Technology during the second quarter worth approximately $56,000. Hedge funds and other institutional investors own 92.03% of the company’s stock.

About Carpenter Technology

Carpenter Technology Corporation is a manufacturer of premium specialty alloys and engineered materials for demanding applications. The company develops and produces stainless steels, nickel- and cobalt-based alloys, titanium, powder metals, and other high-performance materials designed to withstand extreme temperatures, corrosion, wear, and stress.

Its products are used in the aerospace and defense, medical, energy, transportation, industrial, and consumer sectors. Carpenter also provides specialty manufacturing capabilities, including additive manufacturing powders, precision-engineered components, and materials tailored to specific customer requirements.