Critical Survey: Carpenter Technology Corporation (CRS) versus The Competition
Carpenter Technology Corporation (NYSE: CRS) is one of 28 publicly-traded companies in the “Steel” industry, but how does it compare to its peers? We will compare Carpenter Technology Corporation to related businesses based on the strength of its dividends, profitability, risk, analyst recommendations, earnings, institutional ownership and valuation.
Carpenter Technology Corporation pays an annual dividend of $0.72 per share and has a dividend yield of 1.7%. Carpenter Technology Corporation pays out 72.0% of its earnings in the form of a dividend. As a group, “Steel” companies pay a dividend yield of 2.2% and pay out 60.2% of their earnings in the form of a dividend. Carpenter Technology Corporation lags its peers as a dividend stock, given its lower dividend yield and higher payout ratio.
Valuation & Earnings
This table compares Carpenter Technology Corporation and its peers revenue, earnings per share (EPS) and valuation.
|Gross Revenue||EBITDA||Price/Earnings Ratio|
|Carpenter Technology Corporation||$1.80 billion||$213.50 million||41.42|
|Carpenter Technology Corporation Competitors||$7.58 billion||$993.35 million||32.68|
Carpenter Technology Corporation’s peers have higher revenue and earnings than Carpenter Technology Corporation. Carpenter Technology Corporation is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.
This table compares Carpenter Technology Corporation and its peers’ net margins, return on equity and return on assets.
|Net Margins||Return on Equity||Return on Assets|
|Carpenter Technology Corporation||2.61%||4.48%||1.83%|
|Carpenter Technology Corporation Competitors||-1,550.91%||3.59%||2.20%|
Institutional & Insider Ownership
93.5% of Carpenter Technology Corporation shares are owned by institutional investors. Comparatively, 52.1% of shares of all “Steel” companies are owned by institutional investors. 3.6% of Carpenter Technology Corporation shares are owned by insiders. Comparatively, 12.1% of shares of all “Steel” companies are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.
Risk & Volatility
Carpenter Technology Corporation has a beta of 2.09, indicating that its stock price is 109% more volatile than the S&P 500. Comparatively, Carpenter Technology Corporation’s peers have a beta of 1.37, indicating that their average stock price is 37% more volatile than the S&P 500.
This is a summary of recent recommendations and price targets for Carpenter Technology Corporation and its peers, as reported by MarketBeat.
|Sell Ratings||Hold Ratings||Buy Ratings||Strong Buy Ratings||Rating Score|
|Carpenter Technology Corporation||0||2||3||0||2.60|
|Carpenter Technology Corporation Competitors||330||959||1008||35||2.32|
Carpenter Technology Corporation currently has a consensus price target of $43.40, indicating a potential upside of 4.78%. As a group, “Steel” companies have a potential upside of 16.47%. Given Carpenter Technology Corporation’s peers higher possible upside, analysts plainly believe Carpenter Technology Corporation has less favorable growth aspects than its peers.
Carpenter Technology Corporation peers beat Carpenter Technology Corporation on 8 of the 15 factors compared.
Carpenter Technology Corporation Company Profile
Carpenter Technology Corporation is engaged in the manufacturing, fabrication and distribution of specialty metals. The Company’s segments include Specialty Alloys Operations (SAO) and Performance Engineered Products (PEP). Its SAO segment consists of alloy and stainless steel manufacturing operations. Its PEP segment includes the Dynamet titanium business, the Carpenter Powder Products business, the Amega West business, the Specialty Steel Supply business and the Latrobe and Mexico distribution businesses. It develops, manufactures and distributes cast/wrought and powder metal stainless steels, and special alloys, including high temperature (iron-nickel-cobalt base), stainless, corrosion resistant, controlled expansion alloys, ultra-high strength and implantable alloys, tool and die steels and other specialty metals, as well as cast/wrought titanium alloys. The Company manufactures and rents down-hole drilling tools and components used in the oil and gas industry.
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