Carpenter Technology Corporation (CRS)

Debt-to-equity ratio

		Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019
Long-term debt	US$ in thousands	694,200	693,900	693,600	693,300	693,000	692,700	692,400	692,100	691,800	690,900	695,000	694,800	694,500	694,300	694,000	693,800	551,800	552,400	550,600	550,900
Total stockholders’ equity	US$ in thousands	1,628,800	1,502,600	1,473,800	1,429,300	1,396,100	1,327,200	1,321,100	1,306,800	1,330,500	1,347,100	1,333,100	1,367,600	1,392,300	1,381,200	1,332,900	1,407,500	1,445,700	1,618,500	1,603,400	1,577,000
Debt-to-equity ratio		0.43	0.46	0.47	0.49	0.50	0.52	0.52	0.53	0.52	0.51	0.52	0.51	0.50	0.50	0.52	0.49	0.38	0.34	0.34	0.35

June 30, 2024 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $694,200K ÷ $1,628,800K
= 0.43

The trend of Carpenter Technology Corporation's debt-to-equity ratio over the past few quarters indicates a relatively stable level of leverage. The ratio has fluctuated within a narrow range, ranging from 0.34 to 0.53. Despite some minor fluctuations, the ratio has generally remained around the mid to high 0.40s to low 0.50s.

A debt-to-equity ratio of around 0.43 to 0.53 suggests that the company relies more on equity financing than debt financing to fund its operations. This indicates a lower financial risk compared to companies with higher levels of debt.

Overall, the trend in Carpenter Technology Corporation's debt-to-equity ratio suggests a balanced capital structure with moderate leverage, which could be viewed positively by investors and creditors alike. It is important to continue monitoring this ratio to ensure that the company's financial health remains stable and sustainable.