CRS Stock Analysis — Carpenter Technology
Sector: Industrials
AI Verdict
You're paying up for a big earnings acceleration, but the moat in certified specialty alloys makes the growth target more credible than most industrials.
Competitive Moat
Carpenter Technology specializes in advanced specialty alloys and engineered materials, supplying critical components to aerospace, defense, and energy sectors where material performance and certification create high switching costs. Their long-term contracts and proprietary metallurgical processes make it tough for customers to substitute suppliers without risking quality or regulatory compliance.
Summary
CRS is notable for its sharp 51.6% expected EPS growth, which is far above typical industrial peers.
Where It Stands
CRS trades at 35.6x next year's earnings, well above the industrials sector median of 20x, but analysts expect a 51.6% EPS jump that helps justify the premium.
Key Metrics
- Trailing P/E: 54.0x
- Forward P/E: 35.6x
- PEG Ratio: 1.05
- Earnings Growth: +0.5%
- Revenue Growth: +0.0%
- Dividend Yield: 0.00%
- 52-Week High: $475.69
- 52-Week Low: $219.58
Analyst Consensus
12 Buy · 2 Hold · 0 Sell (14 analysts)
Bull Case
With forward EPS growth at 51.6%, the 35.6x forward P/E is cheap for the growth you're getting if execution holds.
Bear Case
If the P/E multiple falls just to the sector median of 20x, the stock could lose over 40% even if earnings hit targets.
Catalyst to Watch
Watch for updates on aerospace order volumes or contract wins, as these will determine if the 51.6% EPS growth materializes.