Fundamental analysis: Carpenter Technology Corporation (CRS)

Awarener score: 4.5

Conclusion

The higher the Awarener score, the more bang you get for the buck. It measures how much genuine funds the company generates for the stock price paid (Modest), the business stability (Lacking) and growth (Very poor), and the company's inclination to return cash to the stockholders (Average).

Note: All scores range from 1 (worst) to 10 (best). Conclusions are updated daily with closing stock prices and new reported quarterly financial statements.

Revenue score: 3.0

Business has been shrinking at a fast pace. It's been below average when measured against peer companies.
Carpenter Technology Corporation business shows some variation, there's some risk. It looks somewhat worse than rivals.

Margins score: 4.2

CRS profit margins -on goods and services sold- are usually extremely poor. They stand worse than most rival companies.
Business profit on sales tends to be meagre. It's weak when measured against competitors.
Profits on sales made -available to repay debt and purchase properties- are usually hardly sufficient. They remain lacking compared to peers.
Earnings -before income taxes and interests on loans taken- tend to be meagre in relation to total revenues. They're still mediocre against similar companies.
Profits -before income taxes- are usually hardly sufficient considering total sales, and remain weak when measured against rivals.
Total net profit tends to be hardly sufficient when confronted to sales. Company stands weak when measured against comparable firms.

Growth score: 2.3

Carpenter Technology Corporation profit -on goods and services sold- has been growing at an extremely fast pace. It's been excellent in relation to competitors.
In recent years, the firm hasn't always been able to profit from operations, which has been bottom tier against comparable firms.
In past years, the company couldn't always turn a profit -available to repay debt and purchase properties-, which compares last-in-rank when measured against peer enterprises.
In the previous years, the firm couldn't always make a profit -before income taxes and interests on loans taken-. It turns to be a disappointment compared to similar stocks.
In past years, at least once the company lost money -before income taxes-. It was bottom tier against rivals.
In the previous years, the firm had at least a total net loss, and last-in-rank when measured against peer companies.
The company lost money at least once in the past years. It's been a disappointment compared to industry peers.

Miscellaneous score: 1.0

CRS had still to pay income taxes, even though in recent past years mostly lost money. It's been bottom tier against peers.
The company does not report R&D expenses. It's meaningless to measure in relation to competitors.
We have insufficient data to estimate how effective is research and development effort. It stands unknown against rival companies.

Profitability score: 4.8

Carpenter Technology Corporation usually gets hardly sufficient returns on the resources it controls. It proves weak when measured against peer firms.
The company normally gets low proceeds -on the resources directly invested in the business-. They remain in a weak position compared to similar companies.
Profitability -in relation to owned resources- is usually modest. It ranks weak when measured against competitors.
In the past, got barely sufficient returns -on the tangible resources it controls-. This metric is usually related to the industry in which operates and combines profitability versus reinvestment needs. It's weak when measured against comparable enterprises.

Usage of Funds score: 4.5

CRS usually uses almost all genuine funds generated to buy or replace property, plant, or equipment. The need for reinvestments is huge. It stands weak when measured against rival firms.
The company is usually somewhat investing in new property, plant, and equipment, to improve its operating capabilities, which is similar to industry peers.
In the past twelve months it paid run-of-the-mill dividends, considering the current stock price. It came slightly worse than competitors.
In recent years, has slightly cut back dividend payments. The company has behaved lacking compared to similar firms.
The company pays more dividends than genuine funds is usually able to generate, therefore borrowing more funds. Future payments may be at risk, especially if a downturn in business occurs. Sustainability looks worse than most comparable companies.
The company barely enlarges the pool of investors, resulting in slightly more mouths feeding on the pie of profits. It remains lacking compared to peer enterprises.
We are not sure on the effectiveness of the company when repurchasing shares, as there were not enough numbers to crunch. It stands unidentified against rivals.
We do not have sufficient data to comment on buybacks and their sustainability. It still looks dubious against competitors.

Balance Sheet score: 4.2

Carpenter Technology Corporation intangible assets (like brands and goodwill) represent a modest portion of resources controlled, according to accounting books. There could be some difficulties in liquidating them if the company ever gets in financial distress. It happens to be almost average when measured against peer companies.
The company has roughly triple short-term resources than short-term obligations. Liquidity concerns are most likely unimportant. It turns to be lacking compared to similar firms.
Roughly a quarter of resources controlled were provided for with financial debt. Creditors have some claims on the company. It remains slightly worse than rival firms.
Controlled resources can be made into cash within reason, which is quite good for liquidity. It looks below average when measured against rivals.
For every dollar of short-term obligations, the company has roughly another of cash and short-term receivables. It's lacking compared to peer firms.
For every dollar of short-term obligations, the company has extremely few cents of cash and equivalents, which is worse than most similar enterprises.
Usually, sales are on somewhat less than three months credit. It still ranks substantially worse when measured against peers.
Normally has approximately five months of sales worth in inventory. It comes up as in a weak position compared to competitors.
On average, it takes higher than six months from the purchase to charging customers. It happens to be worse than most peers.
On average pays suppliers longer than two months after the purchase. It ranks encouraging in relation to industry peers.
The company pays its suppliers six months or more before charging its customers, so there's abundant money invested in working capital. It's a disappointment compared to similar companies.
Usual business earnings barely cover net interest expenses. Creditors may be earning money by assuming risks, but hardly shareholders. Situation is risky, profitability must increase, or additional stockholders' funding will eventually be required. It stands worse than most rival firms.
Business earnings have usually been reasonable when measured against loans taken. Cutting back reinvesting in the business, it could take more than five years to repay the obligations with current profitability. It ranks below average when measured against comparable enterprises.
Revenues are low in relation to property, plant, and equipment required to operate. This metric is likely dependent on the industry the company operates in. The more property, plant, and equipment used, the more the company must reinvest to fight obsolescence, which usually means less available funds for the shareholders in the long run. It looks a disappointment compared to similar firms.
Resource exploitation is quite good when yearly sales are considered. This metric is normally tied to the industry where the firm belongs. It's still worse than most peer companies.

Valuation score: 4.7

Carpenter Technology Corporation reported losses, so valuating it in relation to earnings is meaningless. It happens to be last-in-rank when measured against competitors.
Price-to-Tangible-Book-Value is a fairly complex metric. Run again in analytical mode if you're interested in a technical explanation. It remains lacking compared to peers.
In the past twelve months, the company generated some free funds in relation to the stock price, which stands somewhat worse than similar companies.
In the past years the company barely generated enough genuine funds to cover up for its business needs. Business prospects should improve to be in a better position to reward investors. It's still below average when measured against industry firms.
In the past twelve months, the company hasn't rewarded investors, considering both dividends and share on the pie of earnings. It came up lacking compared to peer ventures.
The company is somewhat indebted, loan repayment needs to be taken into account. It looks somewhat worse than similar enterprises.
Considering the past twelve months, traditional Price-to-Earnings relation has been negative, as the company lost money. It ranks last-in-rank when measured against peer companies.
Comparing the current stock price with the past twelve-months revenues gives a more than one-to-one relationship. This is an important metric to check its evolution through time, and to compare to industry peers. It looks in a weak position compared to rival firms.
The relation between the stock price and accounting book value is somewhat high. It's important both to check this metric through time and to compare it with rival companies. The company remains somewhat worse than peer firms.
In the past twelve months, the operating business lost a little money. It happens to be substantially worse when measured against industry peers.
In an alternate metric of bang for the buck, the company has usually shown a mediocre earnings power ability when measured against the current stock price and financial position. It's still in a weak position compared to peer companies.

Total score: 3.6

Company at a glance: Carpenter Technology Corporation (CRS)

Sector, industry: Industrials, Metal Fabrication

Market Cap: 2.23 billions

Revenues TTM: 2.15 billions

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 aerospace, defense, medical, transportation, energy, industrial, and consumer markets. The company was founded in 1889 and is headquartered in Philadelphia, Pennsylvania.