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DCF Valuation
Base-case fair value
$207.86
Intrinsic $277.15 · 25% MOS
Base-case summary
Our base-case DCF for Carpenter Technology Corp (CRS) projects 10 years of free cash flow growth at 17.3% for years 1–5 and 8.7% for years 6–10, anchored to 17.3% historical FCF growth, then applies a 2.5% perpetual growth rate and a 8.0% discount rate. Starting from $332M in trailing free cash flow, this produces an intrinsic value of $277.15 per share. A 25% safety margin gives a fair value of $207.86.
See 3 scenarios side by side
Conservative, Base, and Optimistic fair values, plus the sensitivity matrix and FCF history. Free account.
Model inputs
TTM Free Cash Flow
$332M
Cash & equivalents
$295M
Total debt
$699M
Shares outstanding
50M