Stock Price & Analysis

Buy CRS stock as it is currently undervalued with strong earnings growth and positive analyst sentiment.

Carpenter Technology (CRS) is expected to reach a price target of $221 by 2025. This prediction is supported by strong earnings growth, with the stock up 212% in the past year, and positive analyst sentiment with a Zacks Rank of #2 (Buy) and a Momentum Score of A. Analysts maintain a bullish outlook, citing the company's pricing power and long-term growth potential despite short-term challenges.

The S1 support level for CRS Stock is $171.67 ,The R1 resistant level for CRS Stock is $208.75.

As of the end of day on 2025-03-13, the price of CRS Stock was $177.55.

The target price for CRS Stock according to analyst rating is 248.60, with the highest price target at 288.00 and the lowest at 220.00. Analysts have a Strong Buy rating on CRS Stock overall.

The market cap of CRS is $9.1B.

Analysis and Insights

Valuation Metrics

Carpenter Technology Corp (CRS) currently has a P/E ratio of 27.18, which is higher than the industry average, suggesting potential overvaluation. The EV/EBITDA ratio of 12.14 and P/S ratio of 2.99 further indicate a premium valuation compared to peers.

Financial Performance

The company has shown improving net income and gross profit margins, with net income growing significantly in Q4 2024 to $93.6 million. However, the net margin of 12.42% remains moderate compared to industry leaders.

Technical Analysis

The stock is currently trading below its 50-day and 200-day moving averages, with an RSI of 34.06, indicating oversold conditions. The MACD is negative, signaling bearish momentum. Fibonacci levels suggest resistance at $209.97 and support at $172.90.

Analyst Sentiment

Analysts maintain a "Buy" rating with a price target of $240, reflecting confidence in the company's long-term growth.

Conclusion

While CRS has strong earnings growth, its high valuation metrics and bearish technical indicators suggest it may be overvalued. Investors should monitor support levels and earnings growth before making decisions.

Carpenter Technology Corporation is engaged in the manufacturing, fabrication, and distribution of specialty metals. The Company operates in two segments: Specialty Alloys Operations (SAO) and Performance Engineered Products (PEP). The SAO segment is comprised of alloy and stainless-steel manufacturing operations. This includes operations performed at mills primarily in Reading and Latrobe, Pennsylvania, and surrounding areas as well as South Carolina and Alabama. The PEP segment is comprised of the Company’s differentiated operations. This segment includes the Dynamet titanium business, the Carpenter Additive business and the Latrobe and Mexico distribution businesses. It provides specialty alloy-based materials and process solutions for critical applications in the aerospace, defense, medical, transportation, energy, industrial and consumer markets. The Company operates its own network of service and distribution centers, located in the United States, Canada, Mexico, Europe and Asia.

Price Prediction for CRS Stock by 2030

Carpenter Technology Corporation (CRS) is expected to reach $240 per share by 2030, driven by strong analyst sentiment, positive momentum, and growth potential in specialty alloys.

The stock currently shows a low RSI of 18.69, indicating potential oversold conditions, while Fibonacci levels suggest upside targets at $209.97 and $221.42. Analysts maintain a Buy rating with price targets up to $235, reflecting confidence in the company's long-term outlook.

CRS has a total of 4500 employees.