Here’s Why Carpenter Technology Corporation (CRS) Traded Lower in Q3

Polen Capital, an investment management company, released its “Polen U.S. Small Cap Growth Strategy” third-quarter 2025 investor letter. A copy of the letter can be downloaded here. In the quarter, the strategy returned 21.4% gross and 21.1% net of fees, respectively, compared to a 12.2% return for the Russell 2000 Growth Index. In addition, you can check the fund’s top 5 holdings to find out its best picks for 2025.

In its third-quarter 2025 investor letter, Polen U.S. Small Cap Growth Strategy highlighted stocks such as Carpenter Technology Corporation (NYSE:CRS). Carpenter Technology Corporation (NYSE:CRS) engages in the manufacturing, fabrication, and distribution of specialty metals. The one-month return of Carpenter Technology Corporation (NYSE:CRS) was 10.29%, and its shares gained 83.26% of their value over the last 52 weeks. On November 19, 2025, Carpenter Technology Corporation (NYSE:CRS) stock closed at $324.15 per share, with a market capitalization of $16.159 billion.

Polen U.S. Small Cap Growth Strategy stated the following regarding Carpenter Technology Corporation (NYSE:CRS) in its third quarter 2025 investor letter:

“The most significant detractors from the Portfolio’s relative performance in the quarter were Oddity Tech, Carpenter Technology Corporation (NYSE:CRS), and TransMedics Group. Carpenter Technology is a leading manufacturer of high performance specialty alloy-based materials used for critical applications in the aerospace/defense, medical, and energy industries. The company is executing a multi-year strategy to transform from a commodity metals and materials supplier into an aerospace focused supplier of value-added parts. Profit margins have been rising as the transformation has progressed. During the quarter, the stock declined on revenue growth coming in slightly below expectations.”

Is Carpenter Technology Corp. (CRS) the Best GARP Stock to Buy Now?

Carpenter Technology Corporation (NYSE:CRS) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 78 hedge fund portfolios held Carpenter Technology Corporation (NYSE:CRS) at the end of the second quarter, up from 55 in the previous quarter. While we acknowledge the risk and potential of Carpenter Technology Corporation (NYSE:CRS) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than Carpenter Technology Corporation (NYSE:CRS) and that has 10,000% upside potential, check out our report about this cheapest AI stock.

In another article, we covered Carpenter Technology Corporation (NYSE:CRS) and shared the list of stocks Jim Cramer discussed. In addition, please check out our hedge fund investor letters Q3 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.