CR Stock Analysis — Crane Company
Sector: Industrials
AI Verdict
You're paying up for a 24.4x forward P/E in a 20x sector, but the moat of long-term customer lock-in makes the 15.4% growth expectation more credible than most industrials.
Competitive Moat
Crane Company manufactures highly engineered industrial products, including valves and pumps, for mission-critical applications in aerospace, defense, and process industries. Its moat comes from deep customer integration and high switching costs due to rigorous qualification standards and long product lifecycles.
Summary
Crane is notable for its forward P/E of 24.4x, which is above the industrials median, but backed by double-digit expected EPS growth.
Where It Stands
CR trades at 24.4x next year's earnings versus the industrials sector median of 20x, with analysts expecting 15.4% EPS growth and trailing revenue growth of 7.2%.
Key Metrics
- Trailing P/E: 28.2x
- Forward P/E: 24.4x
- PEG Ratio: 1.83
- Earnings Growth: +0.2%
- Revenue Growth: +0.1%
- Dividend Yield: 0.01%
- 52-Week High: $214.31
- 52-Week Low: $159.58
Analyst Consensus
17 Buy · 1 Hold · 0 Sell (18 analysts)
Bull Case
With a forward EPS growth estimate of 15.4% and a forward P/E of 24.4x, you're paying a fair premium for above-average growth in a sector where switching costs protect margins.
Bear Case
If the forward P/E compresses to the sector median of 20x, the stock could see a 18% valuation drop even if growth targets are met.
Catalyst to Watch
Watch for contract wins or large project announcements, as these can validate the growth forecast and justify the premium multiple.