Contrasting Mechel PAO (MTL) & Commercial Metals (CMC)
Mechel PAO (NYSE: MTL) and Commercial Metals (NYSE:CMC) are both basic materials companies, but which is the better investment? We will compare the two businesses based on the strength of their analyst recommendations, institutional ownership, profitability, risk, dividends, valuation and earnings.
Volatility and Risk
Mechel PAO has a beta of -1.18, indicating that its stock price is 218% less volatile than the S&P 500. Comparatively, Commercial Metals has a beta of 1.22, indicating that its stock price is 22% more volatile than the S&P 500.
This table compares Mechel PAO and Commercial Metals’ net margins, return on equity and return on assets.
|Net Margins||Return on Equity||Return on Assets|
Commercial Metals pays an annual dividend of $0.48 per share and has a dividend yield of 2.5%. Mechel PAO does not pay a dividend. Commercial Metals pays out 73.8% of its earnings in the form of a dividend.
This is a summary of recent ratings and recommmendations for Mechel PAO and Commercial Metals, as reported by MarketBeat.com.
|Sell Ratings||Hold Ratings||Buy Ratings||Strong Buy Ratings||Rating Score|
Commercial Metals has a consensus target price of $20.63, indicating a potential upside of 9.24%. Given Commercial Metals’ stronger consensus rating and higher probable upside, analysts plainly believe Commercial Metals is more favorable than Mechel PAO.
Institutional and Insider Ownership
8.3% of Mechel PAO shares are owned by institutional investors. Comparatively, 90.6% of Commercial Metals shares are owned by institutional investors. 36.3% of Mechel PAO shares are owned by insiders. Comparatively, 1.3% of Commercial Metals shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.
Valuation and Earnings
This table compares Mechel PAO and Commercial Metals’ revenue, earnings per share (EPS) and valuation.
|Gross Revenue||Price/Sales Ratio||EBITDA||Earnings Per Share||Price/Earnings Ratio|
|Mechel PAO||$9.52 billion||0.11||$2.49 billion||N/A||N/A|
|Commercial Metals||$4.82 billion||0.45||$306.06 million||$0.65||29.05|
Mechel PAO has higher revenue and earnings than Commercial Metals.
Commercial Metals beats Mechel PAO on 11 of the 15 factors compared between the two stocks.
Mechel PAO Company Profile
Mechel PAO, formerly Mechel OAO, is a holding company. The Company operates in the mining, steel and power industry segments. Its segments include Steel segment, comprising production and sales of semi-finished steel products, carbon and specialty long products, carbon and stainless flat products, and value-added downstream metal products, including forgings, stampings, and hardware, and ferrosilicon; Mining segment, comprising production and sales of coal (coking and steam), and middlings, coke and chemical products, and iron ore, which supplies raw materials to the Steel and Power segments, and also sells raw materials to third parties, and Power segment, comprising generation and sales of electricity and heat power, which supplies electricity and heat power to the Steel and Mining segments, and also sells a portion of electricity and heat power to third parties. It has freight seaports in Russia on the Sea of Japan and on the Sea of Azov, and a freight river port on the Kama River.
Commercial Metals Company Profile
Commercial Metals Company, together with its subsidiaries, manufactures, recycles and markets steel and metal products, related materials and services through a network. The Company’s Americas Recycling segment processes scrap metals for use as a raw material by manufacturers of new metal products. The Americas Mills segment consists of steel mills, commonly referred to as minimills that produce reinforcing bar (rebar), angles, flats and rounds. Its Americas Fabrication segment consists of its steel fabrication facilities that bend, weld, cut and fabricate steel, primarily rebar. Its International Mill segment consists of its mill, recycling and fabrication operations located in Poland. Its International Marketing and Distribution segment includes international operations for the sales, distribution and processing of primary and secondary metals, fabricated metals, semi-finished, long and flat steel products, and other industrial products.
Receive News & Stock Ratings for Mechel PAO Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Mechel PAO and related stocks with our FREE daily email newsletter.