
Carpenter Technology (CRS) Stock Forecast & Price Target
Carpenter Technology (CRS) Analyst Ratings
Bulls say
Carpenter Technology Corp is experiencing significant growth in its Aerospace & Defense (A&D) bookings, which increased by 23% quarter-over-quarter, indicating a recovering confidence in the supply chain amidst rising production rates from major players like Boeing and Airbus. The Specialty Alloys Operations (SAO) segment has reported an impressive margin expansion to 32.0%, driven by improved productivity and effective working capital management, contributing to strong expectations for free cash flow generation. Furthermore, commercial aerospace demand is ramping up across multiple verticals, with engine orders growing 30% quarter-over-quarter, suggesting sustained growth potential as market confidence continues to rise.
Bears say
Carpenter Technology Corp experienced a decline in both Specialty Alloys Operations (SAO) price and EBITDA per pound for the first time since the first quarter of fiscal year 2023, indicating potential concerns about profitability despite a shift towards a model prioritizing profit per pound sold. Additionally, the company's medical sales fell significantly, reporting a decrease of 20% quarter-over-quarter and 16% year-over-year due to destocking among distribution customers, further straining revenue streams. Compounding these issues, there exists a notable 30% gap between nickel capacity and demand, with current expansions by nickel suppliers unlikely to meaningfully impact overall market pricing, contributing to a negative outlook for Carpenter Technology's stock.
This aggregate rating is based on analysts' research of Carpenter Technology and is not a guaranteed prediction by Public.com or investment advice.
Carpenter Technology (CRS) Analyst Forecast & Price Prediction
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