Commercial Metals Company (CMC) vs Carpenter Technology Corporation (CRS)

Commercial Metals Company and Carpenter Technology Corporation are both Metal Fabrication companies. Carpenter Technology Corporation is the larger, with a market value of $13.8B against $6.8B — 2.0× the size. Commercial Metals Company trades at the lower P/E: 10.6× against 24.6×. Commercial Metals Company grew revenue faster over the last twelve months: 20.5% against 10.2%. Carpenter Technology Corporation has the higher net margin (17.9% vs 6.98%) and the higher return on invested capital (17.2% vs 7.45%). Both pay a dividend; Commercial Metals Company yields more (1.25% vs 0.29%). Across the 23 metrics below, Commercial Metals Company leads on 12 and Carpenter Technology Corporation on 11.

Valuation

Metric CMC CRS Metal Fabrication median
P/E 10.57 24.56 18.21
P/S 0.74 4.37 1.14
P/B 1.48 6.39 1.75
Price to free cash flow 14.14 40.90 24.69
EV/EBITDA 7.51 16.55 14.24
EV/Sales 1.02 4.63 1.83
Earnings yield 9.46% 4.07% 2.37%
Free cash flow yield 7.07% 2.45% 2.06%

Profitability

Metric CMC CRS Metal Fabrication median
Gross margin 18.65% 31.22% 21.63%
Operating margin 9.26% 23.37% 4.86%
Net margin 6.98% 17.87% 4.13%
Free cash flow margin 5.22% 10.69% 3.13%
Return on equity 14.75% 27.84% 0.67%
Return on assets 7.53% 15.95% 1.56%
Return on invested capital 7.45% 17.16% 2.90%

Growth

Metric CMC CRS Metal Fabrication median
Revenue growth (TTM) 20.46% 10.21% 11.38%
EPS growth (last fiscal year) 691.89% 41.78% 31.26%
Revenue growth, 5-year CAGR 6.90% 16.19% 5.71%
Net income growth, 5-year CAGR 9.70% 0.00% 0.00%

Health

Metric CMC CRS Metal Fabrication median
Debt to equity 0.72 0.32 0.30
Current ratio 2.34 3.94 2.05
Net debt to EBITDA 2.05 0.35 1.67

Dividend

Metric CMC CRS Metal Fabrication median
Dividend yield 1.25% 0.29% 1.24%
Payout ratio 0.13 0.07 0.15

Size

Metric CMC CRS Metal Fabrication median
Market cap 6.84b 13.82b 1.07b

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