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CRSCarpenter Technology Corporation
$400.02$19.9B
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  4. Financial Ratios

Carpenter Technology Corporation (CRS) Financial Ratios

Latest Ratios: P/E Ratio 38.0x · EV/EBITDA 28.7x · ROE 25.8%. (1997–2026 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

CRS Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017
Market Cap$19.9B$31.1B$14.0B$5.5B$2.8B$1.4B$1.9B$1.2B$2.3B$2.5B$1.8B
Enterprise Value$20.2B$31.4B$14.4B$6.1B$3.5B$1.9B$2.4B$1.8B$2.9B$3.0B$2.3B
P/E Ratio →38.0258.6337.2529.6249.24——1064.9113.8313.2837.81
P/S Ratio6.369.954.872.001.080.741.320.540.971.160.98
P/B Ratio9.0513.967.433.381.981.021.400.811.521.681.47
P/FCF54.8685.8148.9830.91——12.9919.3844.3033.7257.24
P/OCF32.8551.3931.8220.05187.86225.617.775.059.9311.9613.63

P/E links to full P/E history page with 30-year chart

CRS EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017
EV / Revenue—10.055.022.191.361.061.620.811.201.391.28
EV / EBITDA28.7444.7121.8413.2313.1118.25—11.807.869.789.62
EV / EBIT28.74—27.1721.8625.35——67.9811.7815.8723.02
EV / FCF—86.6350.4633.95——16.0129.1554.7240.3274.73

CRS Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017
Gross Margin30.6%30.6%26.7%21.2%13.2%8.2%0.1%15.1%18.7%17.7%16.7%
Operating Margin22.5%22.5%18.1%11.7%5.2%-1.4%-16.8%1.2%10.1%8.8%6.8%
Net Profit Margin17.0%17.0%13.1%6.8%2.2%-2.7%-15.6%0.1%7.0%8.7%2.6%

Return on Capital

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017
ROE25.8%25.8%21.4%12.3%4.1%-3.6%-16.2%0.1%11.1%14.0%4.1%
ROA14.5%14.5%11.1%5.9%1.9%-1.7%-7.4%0.0%5.4%6.4%1.7%
ROIC21.8%21.8%17.5%11.4%5.0%-1.0%-9.6%0.9%9.0%7.6%5.4%
ROCE22.2%22.2%17.9%11.9%5.2%-1.0%-9.1%0.9%8.9%7.4%4.9%

CRS Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017
Debt / Equity0.310.310.390.460.530.560.530.540.380.370.50
Debt / EBITDA0.980.981.121.622.826.99—5.251.571.782.53
Net Debt / Equity—0.130.220.330.500.440.320.410.360.330.45
Net Debt / EBITDA0.420.420.641.182.665.54—3.961.501.602.25
Debt / FCF—0.821.483.04——3.029.7810.436.6017.49
Interest Coverage18.5718.578.314.242.13-0.41-7.871.319.286.663.36

CRS Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017
Current Ratio3.813.813.653.412.792.983.652.802.973.242.76
Quick Ratio2.232.232.011.841.401.662.261.201.081.351.02
Cash Ratio0.760.760.650.430.100.410.940.430.060.150.17
Asset Turnover—0.810.830.840.840.630.500.680.750.720.62
Inventory Turnover2.642.642.662.963.463.403.462.562.462.582.17
Days Sales Outstanding—82.0073.0174.4176.0475.9976.3648.9258.9064.0358.97

CRS Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017
Dividend Yield0.2%0.1%0.3%0.7%1.4%2.9%2.0%3.3%1.7%1.4%1.9%
Payout Ratio——10.7%21.4%69.9%——2586.7%23.1%18.2%72.6%

Total Shareholder Return Metrics

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017
Earnings Yield2.6%1.7%2.7%3.4%2.0%——0.1%7.2%7.5%2.6%
FCF Yield1.8%1.2%2.0%3.2%——7.7%5.2%2.3%3.0%1.7%
Buyback Yield0.9%0.6%0.7%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%
Total Shareholder Yield1.1%0.7%1.0%0.7%1.4%2.9%2.0%3.3%1.7%1.4%1.9%
Shares Outstanding—$50M$51M$50M$49M$49M$48M$48M$48M$48M$47M

Key Metrics

Growth RegimeAccelerating
ProfitabilityStrong
Balance SheetFortress
Cash FlowRobust
Top Statement Risk

Production disruption risk

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2026Q4)

Margin Expansion Reflects Mix Shift

Gross margin expanded from 21.5% in Q3 FY2025 to 31.6% in Q4 FY2026, a 10.1-point improvement, while operating margin reached 24.3%, indicating durable pricing power and premium product mix, per quarterly filings.

The sequential and year-over-year margin expansion is not merely cyclical; it reflects a structural shift toward higher-value alloys, particularly in aerospace and medical end markets. Operating leverage is evident as SG&A remained flat despite 12.6% revenue growth, amplifying the flow-through to net income. Investors should monitor whether this margin level is sustainable as capacity utilization normalizes and raw material surcharges fluctuate.

ROIC Inflects Higher on Volume

ROIC improved from 2.6% in Q3 FY2025 to 6.2% in Q4 FY2026, while ROE rose from 0.4% to 7.6% over the same period, indicating that returns are compounding as fixed costs are absorbed, per reported figures.

The improvement in ROIC is driven by both margin expansion and asset turnover, though asset turnover remains low at 0.23x, reflecting the capital-intensive nature of the business. The Athens facility is likely reaching scale, contributing to the inflection. However, ROIC is still below the cost of capital on a trailing basis, and the sustainability of this trajectory depends on continued aerospace demand and disciplined capex.

Working Capital Drags Ease

Cash conversion cycle lengthened from 136 days in Q4 FY2025 to 154 days in Q4 FY2026, driven by higher DIO (130 days) and DSO (74 days), though DPO also rose to 50 days, per quarterly data.

The extension in CCC reflects deliberate inventory build to meet strong demand, but the working capital swing in Q4 FY2026 was positive (+$158.1M), indicating that receivables and inventory are being converted efficiently. The increase in DPO suggests improved supplier leverage, but the absolute level of inventory (130 days) warrants monitoring for potential obsolescence or demand softening. Asset turnover remains low, a structural feature of specialty metals production.

Leverage Declines to Fortress Levels

Debt-to-equity fell from 0.47 in Q3 FY2025 to 0.31 in Q4 FY2026, while interest coverage surged from 1.61x to 35.35x, indicating a rapidly strengthening balance sheet, as reported in financial statements.

The company's conservative capital structure provides significant resilience against aerospace cyclicality. With debt stable around $700M and equity growing to $2.2B, leverage is now minimal, and interest coverage is exceptionally comfortable. This financial flexibility could support opportunistic share repurchases or strategic investments, but it also suggests management may be under-leveraging the balance sheet in a period of strong returns.

Liquidity Buffer Strengthens

Current ratio improved from 3.20 in Q3 FY2025 to 3.81 in Q4 FY2026, with cash tripling to $393.3M, providing ample coverage for short-term obligations, per quarterly balance sheet data.

The liquidity position is robust, with a quick ratio of 2.23 indicating that even without inventory sales, the company can cover current liabilities. This buffer is critical given the cyclicality of aerospace demand and potential production disruptions. The cash build is partly due to working capital release and strong operating cash flow, which reached $240.1M in Q4 FY2026. Investors should note that the current ratio may overstate liquidity if inventory becomes slow-moving, but the cash component provides genuine safety.

Misapplied Metric: Gross Margin

Gross margin is often misread as a pure profitability gauge, but raw material surcharges inflate revenue without adding profit, compressing the margin percentage during commodity spikes, per industry analysis.

Analysts should evaluate CRS on an ex-surcharge basis to isolate true value-added margins. The reported gross margin of 31.6% may understate underlying profitability when nickel prices are high, as the surcharge passes through costs. A better metric is gross profit per pound or contribution margin, which reflects the premium alloy mix. Additionally, LIFO inventory accounting can distort earnings during inventory drawdowns, so cash flow metrics like operating cash flow (1.48x net income in Q4 FY2026) provide a cleaner picture of economic performance.

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Includes 30+ ratios · 30 years · Updated daily

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CRS — Frequently Asked Questions

Quick answers to the most common questions about buying CRS stock.

What is Carpenter Technology Corporation's P/E ratio?

Carpenter Technology Corporation's current P/E ratio is 38.0x. The historical average is 28.8x. This places it at the 88th percentile of its historical range.

What is Carpenter Technology Corporation's EV/EBITDA?

Carpenter Technology Corporation's current EV/EBITDA is 28.7x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 12.0x.

What is Carpenter Technology Corporation's ROE?

Carpenter Technology Corporation's return on equity (ROE) is 25.8%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 8.7%.

Is CRS stock overvalued?

Based on historical data, Carpenter Technology Corporation is trading at a P/E of 38.0x. This is at the 88th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.

What is Carpenter Technology Corporation's dividend yield?

Carpenter Technology Corporation's current dividend yield is 0.20%.

What are Carpenter Technology Corporation's profit margins?

Carpenter Technology Corporation has 30.6% gross margin and 22.5% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.

How much debt does Carpenter Technology Corporation have?

Carpenter Technology Corporation's Debt/EBITDA ratio is 1.0x, indicating low leverage. A ratio below 2x is generally considered financially healthy.