Carpenter Technology (NYSE:CRS) Shares Gap Down – Should You Sell?

Carpenter Technology Corporation (NYSE:CRS)’s share price gapped down prior to trading on Thursday . The stock had previously closed at $331.61, but opened at $316.17. Carpenter Technology shares last traded at $320.0520, with a volume of 871,949 shares changing hands.

Key Headlines Impacting Carpenter Technology

Here are the key news stories impacting Carpenter Technology this week:

• Positive Sentiment: JPMorgan raised its price target to $394 and kept an “overweight” rating, implying roughly ~24% upside from the referenced price — a clear institutional endorsement that can support further buying interest. Article Title
• Positive Sentiment: BTIG bumped its target to $375 and reiterated a “buy” rating (?18% upside), adding another analyst upward revision that helps validate management’s message on margins and demand. Article Title
• Positive Sentiment: Q2 results: EPS of $2.33 beat consensus ($2.20) and management raised full?year guidance; operating income hit a record for the quarter — positive for margin expansion and near-term profitability. Article Title
• Positive Sentiment: Company reported accelerating aerospace & defense bookings and completed negotiations for several long?term aerospace agreements — supports revenue visibility and higher-value contract mix. Article Title
• Neutral Sentiment: Analyst and news coverage (Zacks, Seeking Alpha, Benzinga) provide transcripts, call highlights and metric breakdowns for investors digging into guidance, ROE and margin drivers. Useful for assessing whether beats are sustainable. Article Title
• Negative Sentiment: Revenue came in at $589.1M versus a consensus near $733.8M — a sizeable miss (even as EPS beat), which may temper expectations about top?line strength and could limit multiple expansion if recurring. Article Title

Wall Street Analyst Weigh In

CRS has been the topic of a number of recent research reports. KeyCorp upgraded shares of Carpenter Technology from a “sector weight” rating to an “overweight” rating and set a $380.00 price target on the stock in a research note on Thursday, November 13th. Jones Trading initiated coverage on Carpenter Technology in a research report on Wednesday, October 22nd. They set a “buy” rating and a $400.00 target price on the stock. Deutsche Bank Aktiengesellschaft set a $425.00 price target on Carpenter Technology and gave the stock a “buy” rating in a report on Friday, October 24th. TD Cowen reiterated a “buy” rating on shares of Carpenter Technology in a research note on Friday, November 14th. Finally, Wall Street Zen upgraded Carpenter Technology from a “hold” rating to a “buy” rating in a research note on Saturday. Eight analysts have rated the stock with a Buy rating and two have given a Hold rating to the company’s stock. According to data from MarketBeat, Carpenter Technology currently has a consensus rating of “Moderate Buy” and a consensus target price of $373.43.

Carpenter Technology Trading Up 2.3%

The company has a quick ratio of 2.37, a current ratio of 4.25 and a debt-to-equity ratio of 0.35. The company has a market capitalization of $15.82 billion, a PE ratio of 36.87, a price-to-earnings-growth ratio of 1.30 and a beta of 1.29. The stock’s fifty day moving average price is $324.60 and its two-hundred day moving average price is $286.79.

Carpenter Technology (NYSE:CRS) last posted its quarterly earnings data on Thursday, January 29th. The basic materials company reported $2.33 earnings per share for the quarter, beating the consensus estimate of $2.20 by $0.13. The business had revenue of $589.10 million for the quarter, compared to analysts’ expectations of $733.76 million. Carpenter Technology had a return on equity of 23.63% and a net margin of 14.77%.The business’s revenue was up 7.5% on a year-over-year basis. During the same period in the previous year, the firm posted $1.66 EPS. Sell-side analysts anticipate that Carpenter Technology Corporation will post 6.83 earnings per share for the current year.

Carpenter Technology Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Thursday, March 5th. Investors of record on Tuesday, January 27th will be given a dividend of $0.20 per share. The ex-dividend date of this dividend is Tuesday, January 27th. This represents a $0.80 annualized dividend and a dividend yield of 0.3%. Carpenter Technology’s dividend payout ratio (DPR) is 9.78%.

Insider Buying and Selling at Carpenter Technology

In other news, VP Elizabeth A. Socci sold 3,900 shares of Carpenter Technology stock in a transaction that occurred on Wednesday, November 26th. The shares were sold at an average price of $321.25, for a total value of $1,252,875.00. Following the completion of the sale, the vice president directly owned 9,594 shares in the company, valued at $3,082,072.50. The trade was a 28.90% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, COO Brian J. Malloy sold 4,130 shares of the firm’s stock in a transaction on Thursday, December 11th. The stock was sold at an average price of $303.52, for a total value of $1,253,537.60. Following the completion of the transaction, the chief operating officer owned 78,875 shares in the company, valued at approximately $23,940,140. This trade represents a 4.98% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 79,358 shares of company stock worth $24,254,008 over the last ninety days. 2.90% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the company. Woodline Partners LP bought a new stake in Carpenter Technology during the 1st quarter valued at $4,050,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its position in Carpenter Technology by 1.7% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 104,785 shares of the basic materials company’s stock valued at $18,985,000 after purchasing an additional 1,701 shares in the last quarter. Focus Partners Wealth grew its stake in Carpenter Technology by 7.3% in the first quarter. Focus Partners Wealth now owns 4,615 shares of the basic materials company’s stock valued at $836,000 after purchasing an additional 314 shares during the last quarter. HB Wealth Management LLC bought a new position in Carpenter Technology in the second quarter worth about $288,000. Finally, SteelPeak Wealth LLC lifted its position in shares of Carpenter Technology by 36.9% during the second quarter. SteelPeak Wealth LLC now owns 7,664 shares of the basic materials company’s stock valued at $2,118,000 after buying an additional 2,065 shares during the last quarter. Institutional investors own 92.03% of the company’s stock.

About Carpenter Technology

Carpenter Technology Corporation engages in the manufacture, fabrication, and distribution of specialty metals in the United States, Europe, the Asia Pacific, Mexico, Canada, and internationally. It operates in two segments, Specialty Alloys Operations and Performance Engineered Products. The company offers specialty alloys, including titanium alloys, powder metals, stainless steels, alloy steels, and tool steels, as well as additives, and metal powders and parts. It serves to aerospace, defense, medical, transportation, energy, industrial, and consumer markets.